If you are planning to sell goods or services in Britain then you might soon need to turn into a VAT registered trader in order to achieve it you will need to complete a vat application for vat registration and vat refunds in the foreseeable future. It is however, important that you get the application right to begin with for seamless integration to the vat tax system.
Great Britain along with the majority of the eu countries have shifted over to vat or value added tax for taxing services and goods available in their respective countries and even re-exported from those countries. In case your trading business deals at a very modest scale to individual end-users you then might not have to register for vat since this will allow you to keep the costs in a lower level. However, when your sales touch the vat threshold limit of 70,000 sterling pounds in the previous 12 months or if you feel that this figure could be achieved in the coming 1 month then you will need to make an application for vat registration.
In Britain 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 have to issue vat invoices to all your clients then you should submit an application for vat certification to the hmrc. You can easily do so by looking into making an online application, particularly if you are an individual running your own business. You can simply fill up a vat form referred to as VAT 1 online and submit it online to hmrc vat department. Should your organization be a partnership, a company, a trust, a charity, or any other type of organization you may download the applicable vat application form but will have to print it in your end, fill it up and dispatch it physically to hmrc.
If the hmrc vat department does not have any additional queries upon receiving your application then you can expect your vat certificate to arrive within one month. Thus, if you wish to receive your vat registration with no hiccups then you should hire a vat agent who has expertise in uk vat and even eu vat systems to ensure that there is complete adherence to all vat rules. Your vat agent may also direct 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’ll 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 within the stipulated time. This will help redirect vital funds back into your business. Since all applications associated with vat usually are of time-bound nature, it is important you file them well within the stipulated time period.
If you want to charge vat to your clients then you’ll have to apply for vat registration to the hmrc as soon as your business becomes eligible for this kind of move. You must enrol the aid of a professional vat agent so your vat application is approved instantly plus your vat registration and future vat refunds are awarded without problems.