Make sure to file for vat claims to reclaim vat back

Being a vat registered trader in Britain like many other eu countries which have adopted VAT or value added tax, you should make sure to file for vat claims to reclaim vat back. In case you have purchased goods or services where vat has already been charged, even in another eu country, you can certainly claim that vat amount to provide a boost to your business cash-flow.

As a business you can claim vat back only on services and goods linked to your business but not for your personal use. This vat is known as input tax by the HM Revenue and Customs or hmrc department http://vatnumbers.com that handles customs, excise and vat departments in the UK. You can reclaim vat charged regardless of the rates, whether it is the regular, reduced or zero rate. However, you will usually not be able to claim vat on vat exempt goods as well as certain exceptions.

Considering that the procedure for filing for vat refunds is quite complex and time-consuming, particularly for goods or services imported from other eu countries, you should utilize the services of an expert vat agent that is totally familiar with the most up-to-date uk vat and eu vat rules. Several agents charge you a fee based on a amount of the vat reclaim amount once it has been approved and will not charge any fees in the event the claim does not materialize. This facility should be accepted by you to not pay any money out of your pocket to the agent since vat claims usually take between four to eight months to come to a successful conclusion.

You will first need to register yourself online at the hmrc vat website if you want to make use of all vat services offered by the department. Even if you wish to file a vat claim for vat paid in a foreign eu country, you will still need to apply for vat reclaim with hmrc first and in addition provide all necessary vat documents including vat receipts so that your claim can be processed further. Hmrc will forward the application to the mentioned country and you might also have to send additional documents such as your vat certificate together with the original vat invoice, if desired by that country. If all of your documents are found to be in order at the first attempt itself, you could receive your vat refund within 4 months, albeit in the currency of the foreign eu country, which can be converted into sterling pounds whenever you transfer it to your UK bank account.

Reclaiming vat can provide relief to your business by lowering costs and injecting vital funds into your business. In the event you regularly participate in industry events in member eu countries and pay vat in those countries, or import goods into the UK where vat has already been paid then you certainly should opt for vat refunds since this move will lower the cost of your goods while enabling you to legally claim doubly paid tax back from the government.

When you do turn into a vat registered trader in the United Kingdom then you should explore all legal ways to recover any tax which has already been paid on goods or services utilized by your business. You need not invest your own time or staff while making vat claims since a competent vat agent can do precisely the same on your behalf and just collect fees when your refund claim is eligible.