In case you run a trading business in the united kingdom or other EU country and also have imported services or goods that has already paid vat in the nation of origin then you can claim vat back after vat registration. However, you should study many different rules required for vat refund before you stake your claim for any vat reclaim vat validation.
Although tourists and certain other people can claim VAT or value added tax once they return back in order to their country simply by showing the original vat invoice displaying the vat rate and vat amount, businesses need to furnish a lot more details before they can be eligible for a reimbursement. If you too have imported goods or services from a member EU country into the UK and have already paid vat in the country then to prevent double taxation and reduce your costs, you ought to surely have a vat refund. Even though you may not be in a position to directly deduct the vat amount as part of your next vat return, you may surely claim vat back from your country of origin provided you follow their vat rules.
If you’re not vat registered then you can certainly utilize the vat online services provided by HM customs and excise customs vat or visit the hmrc vat website to register your organization first. If you’re not internet savvy or have trouble in comprehending vat rules then it would be better to appoint a vat agent that provides all vat services including applying for refunds and handling vat returns. Now you can authorize your vat agent to submit your vat claims on your behalf. You can also appoint different vat agents in different countries and register them separately, especially if you import goods and services from different countries.
You need to ensure that you retain all original documents of vat paid within the original country before you claim vat back. You should fill up the vat form for vat reclaim before 9 months in the next twelve months once you have paid the original vat amount in order to qualify for a vat refund. However, this time around period varies in various countries. You might also need to climb over language barriers between various EU countries while submitting your tax documents. For instance, Poland stipulates that you attach the faktura vat or tax invoice which is written in Polish language before it’s sent for a reclaim. When this happens, the local vat agent will be in a very better position to comprehend the specific laws of each country.
After you have submitted all relevant documents to claim vat back, then you ought to receive the vat refund in the designated time frame specified by the exact country. In the UK the timeframe is usually around 4 months if your claim is processed and approved without any requirement for additional proof. You may receive your vat refund in a EU country that you want or even in the UK provided you have a valid banking account in the desired country. However, remember that to submit proper documentation since any rejected vat claim will usually be looked with suspicion and handled strictly by the concerned vat authorities of the country check vat number.
In case your business requires services or goods that have already paid vat in the nation of origin before reaching the shores of your country in which you need to pay vat again, you’ll be able to claim back the extra vat paid on them. A vat agent that’s well versed in international and national vat rules will be able to guide you towards claiming vat back with ease. If you have just started trading internationally you’ll be able to claim vat back after vat registration and lower your costs to a large degree.