If you’re a trader based in the UK or other EU country which has adopted vat as a medium of taxation then you should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations and you too should save on effort and time by utilizing all online vat services provided by your own vat department vat registration.
In the United Kingdom vat rules specify that you could apply for vat registration if your taxable sales rise over the vat threshold limit of Â£70,000 in the past 12 months or if you feel that they are going to do this over the following 1 month, even though you can still register before your sales touch this figure. However, you can at the moment only complete basic vat online registration by filling and submitting vat form 1 online. This method is normally used by small businesses. If your business is a partnership firm, a group of companies, or intends to conduct business internationally then you can download and print all vat registration forms but will probably be needed to fill up the form manually before sending it back to the HM Revenue and Customs or hmrc vat department.
If you are planning to go in for online vat registration in another eu country which has adopted vat then you’ll have to first study all applicable vat rules before you decide to register your business online. In case you have trouble in deciphering uk vat or eu vat rules then it is better if you appoint a vat agent or even a customs and excise customs vat agent in the event you plan to conduct your small business on an international level. This may allow you to remain safe while following all vat rules in several countries with falling foul of any department.
When you send your vat online registration form to your hmrc department then you’ll get a vat questionnaire within 15 days that will require additional details to be submitted including your business address, telephone and fax numbers, bank account numbers, and several other details connected to your small business including a few purchase and sales invoices.
As soon as your application is eligible you will receive your vat number and you’ll now have to change your invoicing approach to issue vat invoices for all your sales. This vat invoice will need to display your vat no, vat rate, vat amount and the same will also need to be shown in your vat returns which will have to be submitted to the hmrc vat department at regular intervals.
Currently, in the UK there are 3 different types of vat rates applicable to all goods and services. The standard vat rate is 17.5% that is set to increase to 20% from January 4, 2011 onwards. There’s a reduced vat rate of 5% plus a zero vat rate on specific goods and services that will stay the same. There’s also certain products or services that are vat exempt. However, the vat rates are different in each eu country although the basic concept of charging vat tax continues to be same in all vat enabled countries vies.
If you wish to register your business for vat then going online may help save time plus enable you to securely complete the necessary process needed for vat registration. You should simply log on to the hmrc vat department in case your organization is based in the UK or ask your vat agent to do this for you before using online vat registration to get registered as a vat dealer without having problem.