Warning: Illegal string offset 'box_blank' in /home/myunixho/public_html/worldlottocoperation.com/wp-content/plugins/seo-smart-links-business/seo-smart-links-business.php on line 634

Claiming vat back can enhance your business income


Warning: Illegal string offset 'box_blank' in /home/myunixho/public_html/worldlottocoperation.com/wp-content/plugins/seo-smart-links-business/seo-smart-links-business.php on line 634

If you’re a vat registered trader in Britain you would then have to pay vat on many services and goods but did you know that claiming vat back can enhance your business cash flow? In case you have already paid vat once on any goods or services necessary for your business or paid vat on it even in another eu country then you can certainly make an application for a vat refund.

Most eu countries have adopted the system of vat or value added tax on movement of goods and services as a way of collecting more revenue and plugging tax leaks. Great Britain too has shifted to vat and when you operate a business in Britain then you will need to apply for vat registration once your last Twelve month sales turnover touches ?70,000. As a vat registered trader you will need to pay and collect vat on all purchases and sales in connection with your company according to the classification of these products or services as per the HM Revenue and Customs or hmrc vat department.

However, in order to avoid double taxation on such services and goods, the hmrc department has established vat rules that will permit you to definitely claim vat back on any services or goods purchased for the business. This amount may be recovered even though you have paid that vat in another eu country that www.vatnumbersearch.com follows vat, provided you are able to show documentary proof that includes the vat invoice or vat receipt. If you have imported goods to the UK after paying vat in the country of origin or have attended a trade fair in a foreign eu country where vat is charged for you then it may be claimed back as soon as you fill the required vat reclaim form.

You need to hire an excellent vat agent with complete knowledge of uk vat and eu vat rules so that your vat refund claim is passed within the shortest time possible. You’ll have a time frame of 9 months after the end of the year or so once you had first paid your vat on those services or goods. You can use several online vat services provided by hmrc vat including filing online claims for vat refunds. You will have to register on the hmrc website before you fill up the mandatory online vat form for vat reclaim. The form will then be sent to the member eu country where you might have paid vat initially, along with scans of vat invoices that you might have to affix to the application.

Once you get a confirmation usually within 15 days of receipt of the refund claim, it will require around 4 months for your claim to be approved from that member country before you can get your vat back. In the event any additional clarification or documents are required then you should expect a delay of 4 more months and hence it is essential to get it right the very first time itself. Your vat refund can be deposited in a bank account which you specify within or outside Britain. However, this amount will be in the currency of the country of origin and will need to be changed into sterling pounds prior to it being transferred into your UK bank account.

Although the process to reclaim vat back is a bit tedious, an efficient vat agent can apply for vat refunds on your behalf and inform you on the status of the applications. The reality is that claiming vat back can certainly improve your business cash flow by pumping back that double-taxed amount back into your business.