If you plan to market services or goods in the UK then you might soon have to turn into a VAT registered trader and to achieve it you will need to complete a vat application for vat registration and vat refunds in the future. It is however, essential that you get the application right to begin with for seamless integration to the vat tax system.
The UK along with most of the eu countries have shifted over to vat or value added tax for taxing goods and services available in their respective countries and even re-exported out of those countries. In case your trading business deals in a quite modest scale to individual end-users you then might not have to register for vat since this will allow you to keep your costs at a lower level. However, when your sales touch the vat threshold limit of 70,000 sterling pounds within the previous 12 months or if you feel that this figure could be achieved within the coming 1 month then you’ll 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 are near the vat threshold limit or if you feel that you have to issue vat invoices to all your clients then you definitely should make an application for vat certification to the hmrc www.vatcontrol.com. It is possible to achieve this by making a web-based application, particularly if you are a person running your individual business. You can simply fill a vat form known as VAT 1 online and submit it online to hmrc vat department. Should your organization be a partnership, a firm, a trust, a charity, or other type of organization you may download the applicable vat application but will need to print it out 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 the application then you can expect your vat certificate to arrive within 30 days. Thus, if you want to receive your vat registration with no hiccups then you should hire a vat agent who 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 direct you during filing of vat returns.
If you import goods or services from other eu countries that have already charged you vat on the very same then you will again want to make a vat refund application to recover that double-taxed amount. Again, your vat agent can make the necessary vat applications for vat refunds in the stipulated time. This helps redirect vital funds back into your business. Since all applications associated with vat tend to be of time-bound nature, it is important you file them within the stipulated time period.
If you want to charge vat to your clients then you will have to make an application for vat registration to the hmrc once your business becomes eligible for such a move go here. You should enrol the help of a professional vat agent so that your vat application qualifies instantly and your vat registration and future vat refunds are awarded without any problems.