While reclaiming vat ensure proper procedures are followed

If you have already paid vat on your goods or services more than once and want to receive the original amount back then while reclaiming vat ensure proper procedures are followed. You can use the vat refund scheme for getting back vat which may already have been paid earlier in order to lower your costs as well as get respite from the problem of double taxation over your services or goods.

While you won’t be allowed to deduct the VAT tax amount directly from the next vat return, you still be permitted to claim that amount in the separate vat refund scheme. This scheme is available in the UK subject to certain conditions. Most eu countries that follow vat usually have such procedures where vat amounts which have already been paid may be reclaimed. If you are a vat registered trader in the UK that does not have vat registration in the nation of origin you’ll be able to claim any vat paid in that country provided you meet some other vat rules.

You may also claim vat paid in another eu country if you have not got relief through some other vat scheme. You will need to make use of a standard vat reclaiming form from the HM revenue and customs or hmrc vat website that looks after the customs, excise and vat department in the UK. However, since the reclaiming rules might differ abroad, you’ll need the services of a specialist vat agent well-versed in uk vat and eu vat rules to ensure that you extract vat refunds in the relevant country. Your agent can act on your behalf as soon as you let them have a power of attorney or even a letter or authority to accomplish this.

It is possible to go for a vat reclaim no later than 9 months in a year or so after you’ve paid the vat amount. You may first need to register your organization name and also your agent?s name too in case you plan on reclaiming vat through your agent. You need to use the hm vat refunds service that is a part of the vat online services offered by the hmrc vat website in order to reduce time and energy. As soon as you submit the required online vat form you’ll be issued a web based reference number that may indicate that the request has been received by the vat refund department.

Although you will not need to send any paper documents, certain eu countries might ask for a scanned vat invoice to be attached with your vat refund request. Once you have sent your reclaiming request hmrc will be sending a confirmation regarding the same within 15 days even though the concerned eu country will normally offer you a vat refund within 4 months, if all of your documents are typically in proper order. In case any further information is required from that eu country you’ll be able to expect your vat reclaim to get settled after around 8 months of the original application.

To prevent the problem of double taxation, most eu countries which have adopted vat such as the UK offer vat refunds that can be claimed by following proper procedures and using proper applications. You too can reclaim vat paid in almost any other eu country that follows vat by reclaiming vat back from that eu country when you use the vat refund scheme.