If you have already paid vat on the services or goods more than once and would like to get the original amount back then while reclaiming vat ensure proper procedures are followed. You can use the vat refund scheme to get back vat that might already have been paid earlier in order to lower your costs and even get respite from the issue of double taxation over your goods or services.
While you won’t be allowed to deduct the VAT tax amount straight from your next vat return, you still be permitted to state that amount in the separate vat refund scheme. This scheme is available in the United Kingdom subject to certain conditions. Most eu countries that follow vat usually have such procedures where vat amounts which have previously been paid may be reclaimed. If you’re a vat registered trader in the UK that does not have vat registration in the nation of origin you’ll be able to claim any vat paid in that country provided you meet some other vat rules.
You may also claim vat paid in another eu country if you haven’t got relief through any other vat scheme. You will have to use a standard vat reclaiming form through the HM revenue and customs or hmrc vat website that looks after the customs, excise and vat department in the United Kingdom. However, since the reclaiming rules might differ abroad, you’ll need the services of an expert vat agent well-versed in uk vat and eu vat rules to ensure that you extract vat refunds in the relevant country. Your agent can act on your behalf as soon as you provide them with a power of attorney or even a letter or authority to do so.
It is possible to go for a vat reclaim no after 9 months within a year or so after you’ve paid the vat amount. You will first have to register your business name and also your agent?s name too in the event you intend on reclaiming vat through your agent. You need to use the hm vat refunds service that is a part of the vat online services offered by the hmrc vat website in order to save on time and energy. As soon as you submit the required online vat form you will be issued an online reference number that may indicate that the request is received by the vat refund department.
While you will not need to send any paper documents, certain eu countries might request a scanned vat invoice to be attached with your vat refund request. Once you’ve sent your reclaiming request hmrc will send you a confirmation about the same within 15 days even though the concerned eu country will normally offer you a vat refund within 4 months, if all your documents are in proper order. In the event further details are required from that eu country then you can expect your vat reclaim to be settled after around 8 months of your original application.
In order to avoid the problem of double taxation, most eu countries that have adopted vat including the UK offer vat refunds that may be claimed by using proper procedures and ultizing proper applications. You too can claim back vat paid in any other eu country that follows vat by reclaiming vat back from that eu country when you use the vat refund scheme.