Ensure that you fulfill all conditions while claiming vat back

If you’re a vat registered dealer or manufacturer in the UK or any other EU country then you must ensure to fulfill all conditions while claiming vat back. Your claim may help offset any expenses proportional to the business or lessen costs on products imported from another country in which you have previously paid VAT.

VAT or value added tax is really a system of collecting taxes which has been implemented in several countries all over the world including the European Union. It helps in avoiding double taxation on products and if you are a vat registered trader in the EU having a official vat number then you can surely claim back any VAT that has already been paid while importing goods imported into your own country. However, you need to fulfill all terms and conditions imposed by the customs and excise customs vat department throughout your home country before you can reclaim vat successfully from the country of origin.

If you are not conversant with vat rules imposed throughout your home country then you should hire a vat consultant or tax consultant that is amply trained with the latest amendments in vat tax, vat rates, and in addition knows the appropriate vat refund procedures that must be followed while trying to get a vat refund. There are several factors that can qualify you for a vat reclaim. In case you have imported services or goods from another EU country where vat has already been paid then you can reclaim that vat amount provided you don’t own a home or business in the country, are not vat registered in the country, and do not supply to that country. However, you need to fully comprehend each rule in great detail before claiming vat back as there are other sub-sections in each rule that need to be fulfilled too.

You’ll be able to reclaim vat on import vat if there has been vat paid in another country by using vat online services to register yourself first. If you are in the United Kingdom then when you register with hmrc vat online services then you will be in a position to post your request for your vat reclaim either directly or using your vat agent. You need to send all related documents as proof for claiming vat back and you’ll also need to be conversant with vat rules in the country or countries in which the vat amounts have originally been paid.

There’s also a time frame of nine months following end of any calendar year within that you will have to apply for a vat claim in UK even though time limit will vary in other European countries. You’ll have to be careful while filling out your vat claim since most EU countries do much more than frown on incorrect or fraudulent claims. You could be penalized for a wrong claim or may also be denied any refunds.

A vat claim can help reduce your vat burden provided you meet all the required criteria applicable throughout your home country and also the country in which you might have originally paid the vat amount. However, it is very important study each vat rule in great detail and understand its implications before claiming vat back directly or through your agent.

Tags: vat verification, vat increase