If you have already paid vat on your goods or services again 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 for getting back vat that might have already been paid earlier in order to reduce your costs and even get relief from the problem of double taxation over your goods or services.
Although you won’t be allowed to deduct the VAT amount of taxes directly from your next vat return, you will still be permitted to state that amount in a separate vat refund scheme. This scheme is available in the UK subject to certain terms and conditions. Most eu countries that follow vat usually have such procedures where vat amounts that have already been paid may be reclaimed. If you are a vat registered trader in the United Kingdom that doesn’t have vat registration in the country of origin you’ll be able to claim any vat paid in the country provided you meet a few other vat rules.
You can also claim vat paid in another eu country if you have not got relief through some other vat scheme. You will have to make use of 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 UK. On the other hand, since reclaiming rules might differ abroad, you might need the services of an expert vat agent well-versed in uk vat and eu vat rules to ensure that you extract vat refunds from the relevant country. Your agent can act on your behalf once you let them have a power of attorney or even a letter or authority to do so.
It is possible to go in for a vat reclaim no after 9 months within a year or so after you’ve paid the vat amount. You will first need to register your business name and also your agent?s name too in case you intend on reclaiming vat through your agent. You should use the hm vat refunds service that’s a part of the vat online services provided by the hmrc vat website so as to save on time and energy. Once you submit the necessary online vat form you will be issued a web based reference number that will indicate that the request has been received by the vat refund department.
Although you will not need to send any paper documents, certain eu countries might ask for a scanned vat invoice to be attached to your vat refund request. Once you have sent your reclaiming request hmrc will be sending 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 of your documents are typically in proper order. In the event any further details are required from that eu country then you can expect your vat reclaim to be settled after around 8 months of the original application.
To prevent the situation of double taxation, most eu countries that have adopted vat such as the UK offer vat refunds that may be claimed by using proper procedures and using proper applications. You also can claim back vat paid in any other eu country that follows vat by reclaiming vat back from that eu country by using the vat refund scheme.