You are able to reclaim vat to reduce the load of double taxation

In case you have already paid VAT in a foreign eu country and also have to pay extra for the same again throughout your home country then you can certainly reclaim vat to lower the load of double taxation. The entire procedure can be completed online, particularly if your vat registered organization is situated in the United Kingdom in which the HM revenue and customs or hmrc department offers several vat online services such as the vat refund scheme which makes reclaiming vat an easy process.

If you have purchased goods from another vat enabled country within the European Union such as Spain, Sweden, Hungary, Poland, Italy, Germany, etc where you do not have a vat registered business and have already paid vat in the country of origin then you can certainly and must claim that vat back. This can not just reduce your product cost but will also enable vital funds to circulate back into your business. Even though the vat reclaiming process typically takes between four to eight months to finish, you can simply appoint a vat agent vatnumbers that’s a specialist in eu vat and uk vat refund rules. This will help you to concentrate on your organization while your agent attempts to reclaim vat on your behalf by using the online vat refund scheme.

Before you post your first claim for vat, you will need to become a vat registered trader in the United Kingdom and will need to register for vat refund with the hmrc. You’ll have maximum of 9 months after the end of the calendar year to make your vat refund application. As you can easily complete the online vat form to reclaim any previously paid vat, you will not need to fill out and dispatch any paperwork but might need to attach scanned copies of vat paid invoices for claims more than a stipulated amount. Some countries might also insist on taking a look at original invoices that you might need to dispatch in order to get a successful refund. Again, your vat agent can assist you to complete all necessary formalities.

Many eu countries have their own version of a vat invoice and also have different vat rates for various products or services. For instance, Poland requires its vat registered traders to issue a faktura invoice or vat invoice. However, most eu countries provide some kind of vat refunds to avoid the issue of double taxation on goods and services. You cannot deduct the vat refund amount in your routine vat returns but will instead have to use the vat refund scheme for the very same. If you have made a vat reclaim within a eu country then you’ll usually receive the refund amount in their currency. You can either transfer the refund amount to an account in that country or directly arrange for the money to generally be received within your UK bank account by providing them the necessary details including your bank account number.

In case you constantly have to import services or goods into the UK where vat was already paid you then should register for the vat refund scheme offered by the hmrc vat department. Once you successfully reclaim vat you’ll be able to accurately price your items and services while receiving a much needed financial injection in your business.