If you operate a trading business in the united kingdom 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, it is important to study many different rules necessary for vat refund before you decide to stake your claim for a vat reclaim.
Although tourists and certain other people can claim VAT or vat when they return back in order to their own country simply by showing the initial vat invoice displaying the vat rate and vat amount, businesses have to furnish many more details before they can be eligible for a a refund. In the event you too have imported services or goods originating from a vatcontrol member EU country into the UK and also have already paid vat in that country then to prevent double taxation and lower your costs, you should surely apply for a vat refund. Although you might 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 the country of origin provided you follow their vat rules.
If you’re not vat registered then you can utilize the vat online services provided by HM customs and excise customs vat or visit the hmrc vat web site to register your organization first. If you are not internet savvy or have trouble in comprehending vat rules it could well be better to appoint a vat agent that delivers all vat services including applying for refunds and handling vat returns. Now you can authorize your vat agent to submit your vat claims in your stead. You can also appoint different vat agents in different countries and register them separately, particularly 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 can claim vat back. You should fill the vat form for vat reclaim before 9 months in the next calendar year after you have paid the original vat amount in order to qualify for a vat refund. However, this time around period varies in different countries. You need to to climb over language barriers between various EU countries while submitting your tax documents. For example, Poland stipulates that you attach the faktura vat or tax invoice that is coded in Polish language before it is sent for any reclaim. When this happens, a local vat agent would be in a very stronger position to understand 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 period specified by the exact country. In the UK the time period is generally around 4 months when your claim is processed and approved without any requirement for additional proof. You may receive your vat refund in a EU country that you desire or even in britain provided you have a valid banking account within the desired country. However, remember that to submit proper documentation since any rejected vat claim will most likely be looked with suspicion and handled strictly by the concerned vat authorities of the country.
If your business requires services or goods which have already paid vat in the nation of origin before reaching the shores of your country where you need to pay vat again, you’ll be able to claim back the extra vat paid on them. A vat agent that is well versed in international and national vat rules should be able to help you towards claiming vat back without difficulty. For those who have just started trading internationally then you can claim vat back after vat registration and lower your costs to some large degree.