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

If you have already paid VAT inside a foreign eu country and have to pay for the same again in your own country then you can reclaim vat to lower the load of double checkvatnumber.com taxation. The whole process could be completed online, especially if your vat registered business is located 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 that makes reclaiming vat easy.

If you have purchased goods from another vat enabled country within the EU like Spain, Sweden, Hungary, Poland, Italy, Germany, etc where you don’t have a vat registered business and have already paid vat in the country of origin then you can certainly and should claim that vat back. This will not just lower product cost but also allow for vital funds to circulate back to your business. Even though the vat reclaiming process usually takes between four to 8 months to finish, you can simply appoint a vat agent that’s an expert in eu vat and uk vat refund rules. This will help you to concentrate on your organization while your agent attempts to reclaim vat as your representative by using the online vat refund scheme.

Before you can post your first claim for vat, you will need to become a vat registered trader in the UK and will need to sign up for vat refund with the hmrc. You’ll have maximum of 9 months following the end of a year or so to make your vat refund application. As you can simply fill out the online vat form to reclaim any previously paid vat, you will not have to complete and dispatch any paperwork but should attach scanned copies of vat paid invoices for claims over a stipulated amount. Some countries may also insist on taking a look at original invoices which you may have to dispatch to get an effective refund. Again, your vat agent can help you to complete all necessary formalities.

Many eu countries have their own version of a vat invoice and also have different vat rates for a number of products or services. For example, Poland requires its vat registered traders to issue a faktura invoice or vat invoice. However, most eu countries do offer some kind of vat refunds to prevent the problem of double taxation on products or services. You cannot deduct the vat refund amount within your routine vat returns but will instead have to use the vat refund scheme for the same. In case you have made a vat reclaim within a eu country then you’ll usually get the refund amount in their currency. You may either transfer the refund figure to a merchant account in that country or directly arrange for the money to be received in your UK banking account by providing them the necessary details including your banking account number.

If you constantly have to import services or goods into the UK where vat has already been paid you then should register for the vat refund scheme provided by the hmrc vat department. As soon as you successfully reclaim vat then you can accurately price your products and services while getting a necessary financial injection in your business.