If you’re a trader located in the UK or any other EU country which has adopted vat to be a medium of taxation you then should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations so you too should save on time and effort by utilizing all online vat services offered by your own vat department.
In the United Kingdom vat rules specify that you can apply for vat registration in case your taxable sales rise above the vat threshold limit of £70,000 during the past 1 year or if you feel that they will do so within the next 30 days, even though you can still register even before the sales touch this figure. However, you are able to at present only complete basic vat online registration by filling up and submitting vat form 1 online. This form is generally used by small establishments. If your organization is a partnership firm, a group of companies, or plans to do business internationally then you can download and print all vat registration forms but will be required to fill the form manually before sending it 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 that has adopted vat then you’ll need 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 its better if you appoint a vat agent or perhaps a customs and excise customs vat agent in the event you plan to conduct your business on an international level. This will 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 such as your business address, telephone and fax numbers, bank account numbers, and a lot of other details associated with 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 alter your invoicing approach to issue vat invoices for all of your sales. This vat invoice will need to display your vat no, vat rate, vat amount and the same must also be shown on your vat returns which will need to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom there are 3 different types of vat rates applicable to all services and goods. The regular vat rates are 17.5% that is set to raise to 20% from January 4, 2011 onwards. There’s a reduced vat rate of 5% and a zero vat rate on specific goods and services which will remain the same. There are also certain products or services which are vat exempt. However, the vat rates will vary in each eu country although the basic concept of charging vat tax remains the same in all vat enabled countries.
If you want to register your business for vat then going on the internet may help save time and also allow you to securely complete the necessary process required for vat registration. You should simply log on to the hmrc vat department in case your organization is located in the UK or ask your vat agent to do this on your behalf before using online vat registration to get registered as a vat dealer without any problem.