If you run a trading business in the UK or other EU country and have imported goods or services that has already paid vat in the country of origin then you can claim vat back after vat registration. However,
you should study all different rules required for vat refund before you decide to stake your claim for a vat reclaim.
Although tourists and certain other individuals can claim VAT or vat once they go back to their own country simply by showing the initial vat invoice displaying the vat rate and vat amount, businesses have to furnish many more details before they are able to qualify for a refund. If you too have imported services or goods from a member EU country to the UK and have already paid vat in the country then in order to avoid double taxation and lower your costs, you ought to surely have a vat refund. Even though you might not be in a position to directly deduct the vat amount as part of your next vat return, you may surely claim vat back from your country of origin provided you follow their vat rules.
If you are not vat registered then you can certainly utilize the vat online services offered by HM customs and excise customs vat or visit the hmrc vat website to register your business first. If you are not internet savvy or have trouble in comprehending vat rules then it would be better to appoint a vat agent that delivers all vat services including applying for refunds and handling vat returns. You can now authorize your vat agent to submit your vat claims in your stead. You may also appoint different vat agents in different countries and register them separately, especially if you import goods and services from different countries.
You should make sure that you retain all original documents of vat paid in the original country before you claim vat back. You need to fill the vat form for vat reclaim before 9 months within the next calendar year after you have paid the original vat amount in order to be eligible for a a vat refund. However, this time around period varies in different countries. You need to to climb over language barriers between various EU countries while submitting your tax documents. For example, Poland stipulates that you just attach the faktura vat or tax invoice which is written in Polish language before it is sent for a reclaim. In such a case, the local vat agent will be in a very better position to understand the specific laws of each country.
After you have submitted all relevant documents to claim vat back, then you should receive the vat refund in the designated time frame specified by the specific country. In the UK the timeframe is generally around 4 months when your claim is processed and approved without any need for additional proof. You may receive your vat refund in a EU country that you want or even in britain provided you have a valid bank account in the desired country. However, you should remember to submit proper documentation since any rejected vat claim will most likely be looked with suspicion and handled strictly by the concerned vat authorities of that country.
If your business requires services or goods which have already paid vat in the nation of origin before reaching the shores of one’s country where you have to pay vat again, then you can reclaim the excess vat paid on them. A vat agent that’s amply trained in international and national vat rules will be able to help you towards claiming vat back without difficulty. If you have just started trading internationally you’ll be able to claim vat back after vat registration and lower your costs to a large degree.