If you are planning to sell goods or services in the UK then you definitely might soon have to turn into a VAT registered trader and to achieve it you will have to complete a vat application for vat registration and vat refunds in the foreseeable future. It is however, essential that you get your application right the first time around for seamless integration into the vat tax system.
Great Britain together with most of the eu countries have shifted over to vat or value added tax for taxing goods and services sold in their respective countries and even re-exported from those countries. In case your trading business deals in a quite small scale to individual end-users you then might not have to sign up for vat since this will let you keep the costs in a lower level. However, once your sales touch the vat threshold limit of 70,000 sterling pounds in the previous Yr or if you think that this figure could be achieved within the coming 30 days then you’ll have to apply for vat registration.
In the UK all vat rules are issued and managed by Her Majesty?s Revenue and Customs department or hmrc. In case your sales have reached the vat threshold limit or if you feel that you need to issue vat invoices to all your customers then you definitely should submit an application for vat certification to the hmrc. You can easily achieve this by looking into making an online application, especially if you are a person running your individual business. You can simply fill up a vat form referred to as VAT 1 online and submit it online to hmrc vat department. In case your business is a partnership, a company, a trust, a charity, or any other kind of organization you may download the applicable vat application form but will have to print it out at your end, fill it up and dispatch it physically to hmrc.
If the hmrc vat department does not have any additional queries upon receiving the application then you can certainly expect your vat certificate to reach within 30 days. Thus, if you wish to receive your vat registration with no hiccups then you should hire a vat agent that has knowledge of uk vat and even eu vat systems to ensure that there’s complete adherence to all vat rules. Your vat agent can also guide you during filing of vat returns.
Should you import services or goods from other eu countries which have already charged you vat on the same then you will again want to make a vat refund application to recoup that double-taxed amount. Again, your vat agent can make necessary vat applications for vat refunds in the stipulated time. This helps redirect vital funds directly into your enterprise. Since all applications associated with vat usually are of time-bound nature, it is important that you file them within the stipulated time period.
If you want to charge vat to the clients then you’ll need to apply for vat registration to the hmrc once your business becomes entitled to such a move. You should enrol the help of an expert vat agent so your vat application qualifies instantly plus your vat registration and future vat refunds are awarded without problems.