If you are a trader located in the UK or any other EU country which has adopted vat as a medium of taxation then you should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations so you too should save on effort and time by utilizing all online vat services offered by your vat department.
In the United Kingdom vat rules specify that you can apply for vat registration in case your taxable sales rise above the vat threshold limit of Â£70,000 in the past 12 months or if you feel that they will do this over the following 1 month, although you could register before your sales touch this figure. However, you are able to at the moment only complete basic vat online registration by filling and submitting vat form 1 online. This form is normally http://vatverification.com used by small establishments. If your business is a partnership firm, a group of companies, or plans to do business internationally then you could download and print all vat registration forms but will be required to fill up the form manually before sending it to the HM Revenue and Customs or hmrc vat department.
If you plan to go in for online vat registration in another eu country which has adopted vat then you will need to first study all applicable vat rules before you decide to register your organization online. In case you have trouble in deciphering uk vat or eu vat rules then its better if you appoint a vat agent or even a customs and excise customs vat agent in the event you intend to conduct your small business on an international level. This will enable you to remain safe while following all vat rules in several countries with falling foul of any department.
Once you send your vat online registration form to your hmrc department then you will receive a vat questionnaire within 15 days that will need additional details to be submitted including your organization address, telephone and fax numbers, banking account numbers, and several other details associated with your small business together with a few purchase and sales invoices.
As soon as your application is approved then you will receive your vat number and you’ll now have to change your invoicing approach to issue vat invoices for all your sales. This vat invoice will have to display your vat no, vat rate, vat amount and the same will also need to be shown on your vat returns that will have to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom there are 3 types of vat rates applicable to all goods and services. The standard vat rate is 17.5% that is set to raise to 20% from January 4, 2011 onwards. There’s a reduced vat rate of 5% plus a zero vat rate on specific goods and services which will remain the same. There’s also certain products or services which are vat exempt. However, the vat rates are different in each eu country even though basic concept of charging vat tax remains the same in most vat enabled countries.
If you wish to register your organization for vat then going online will help save time and also allow you to securely complete the necessary process required for vat registration. You ought to simply log on to the hmrc vat department in case your business is based in the UK or ask your vat agent to do this for you before using online vat registration to have registered as being a vat dealer without having problem.