Knowing about europa vat can help to save money for your business

If you want to import goods and services to your own country that follows vat or value added tax system then knowing about europa vat can save money in your business. You will be able to accurately calculate the buying price of your imported products whilst have the ability to charge the correct vat rate when you sell them in local markets.

Most countries within the EU have shifted to vat which has helped achieve uniformity in cross-country imports and exports. It’s also allowed businesses to go in for vat refunds on imports where vat was already paid in the original country of export. In case you too plan to import goods where vat was already paid then you definitely can also make an application for vat reclaim in the country of origin with supporting documents that show the local sales along with the vat rates.

However, before you begin issuing vat invoices to your clients, you will have to apply for vat registration in your own country. For instance, in the UK you can get vat registered once your taxable sale during the last Twelve months touches £70,000, which is known as vat verification the vat threshold. You will need to contact the hmrc vat department and may use their vat online services to fill up the vat form to apply for vat registration. Once your business has the necessary registration you’ll be able to charge vat rates as prescribed by the department by way of a vat invoice that mentions your unique vat number.

You can import goods and services from many europa vat countries including Sweden, UK, France, Germany, Greece, Spain, Italy, Poland, and many more. Although customs duties, excise duties and import vat might differ in each eu country, the basic principle of taxes remains the same. All vat friendly countries have a standard vat rate which is between 15-25%, a particular low vat rate between 1-6% and vat exempt items or services where no vat is charged. The rates might differ so might the language in each vat invoice but the formula for calculating vat continues to be same in all these countries.

Since customs, excise and vat rules might be a bit complicated to decipher, you need to enroll the expertise of an expert vat and import agent so that your products or services are placed within the appropriate classification as deemed fit by relevant tax authorities. Your agent must also be able to assist you in filing regular vat returns and applying for vat refunds in the country of origin so as to return the doubly-charged tax amount back into your coffers.

In case you want to handle other business in other europa countries that follow vat then you could also cross-check the validity of their vat numbers by utilizing the internet. There are many websites that allow you to input the nation code and the vat number before informing you if the vat number remains to be valid. This move can help you save lots of hassle and money whilst keeping you safe from unscrupulous businesses and folks.

Conducting business with vat friendly eu countries will ensure that your paperwork proceeds in a seamless manner due to the common platform of vat. If you’re going to begin a business in any EU country which has embraced vat then you definitely should first check the europa vat list before you begin importing products or services from such countries.