If you run a trading business in the UK or any 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 all different rules necessary for vat refund before you stake your claim for a vat reclaim.
Although tourists and certain other people can claim VAT or value added tax once they return back in order to their own country by simply 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 a refund. In the event you too have imported goods or services originating from a member EU country into the UK and have already paid vat in that country then in order to avoid double taxation and lower your costs, you should surely apply for a vat refund. Even though you may not be able to directly deduct the vat amount as part of your next vat return, you may surely claim vat back from the country of origin provided you follow their vat rules.
If you are not vat registered then you can certainly utilize the vat online services offered by HM customs and excise customs vat or go to the hmrc vat website to register your organization first. If you are 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. You can now authorize your vat agent to submit your vat claims in your stead. You may also appoint different vat agents in different countries and register them separately, especially if you import services and goods from different countries.
You should make sure 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 within the next twelve months once you have paid the initial vat amount so that you can be eligible for a a vat refund. However, this time around period varies in various countries. You need to to climb over language barriers between various EU countries while submitting your tax documents. For example, Poland stipulates that you just attach the faktura vat or tax invoice that is coded in Polish language before it is sent for a reclaim. In such a case, a local vat agent would be in a stronger position to comprehend the specific laws of each country.
Once you have submitted all relevant documents to claim vat back, then you ought to get the vat refund within the designated time period specified by the exact country. In great britan the time period is usually around 4 months if your claim is processed and approved without the requirement for additional proof. You may receive your vat refund in any EU country that you want or perhaps the UK provided you’ve got a valid banking account in the desired country. However, you should remember 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.
If your business requires services or goods that have already paid vat in the nation of origin before reaching the shores of one’s country in which you need to pay vat again, then you can reclaim the excess vat paid on them. A vat agent that’s amply trained in international and national vat rules will be able to guide you towards claiming vat back without difficulty. If you have just started trading internationally then you can claim vat back after vat registration and lower your costs to a large degree.