Complete company vat registration process before you start trading

If you have started a fresh business that intends to start trading in services or goods that attract vat or value added tax then you should complete company vat registration process before you start trading. This will likely make sure you get a vat number, issue vat invoices, file your vat returns, and claim vat refunds in order to reduce the financial burden on your business due to duplicate taxation.

If you plan to import services or goods from EU countries which have enveloped vat control vat, you’ll certainly require to get registered with the relevant vat authorities throughout your home country. You might use vat online services which will allow you sign up for a vat refund whenever you import goods or services that have already paid vat in the country of origin. When you are within the vat threshold limit set by the country to turn into a vat registered dealer, you are able to fill out the necessary vat form to get your vat no and start trading like a registered vat trader.

For example, if you are already trading in the UK and also have crossed over the minimum vat limit in taxable sales in the last 12 months, you’ll be able to apply for company vat registration. You need to contact your local hmrc vat department or customs and excise customs vat department to begin the procedure for vat registration. You can go to their webpage and fill in the web based form to set the ball rolling for quick registration. You’ll also have to do a detailed study on the actual vat rates about the products that you propose to trade in, if you plan to start a fresh business.

While vat rules are quite simple to comprehend, it will make better sense to appoint a vat agent or vat consultant, especially if you plan to import goods from other EU States where vat would have also been paid before shipping it to your country. This move will help you reclaim vat in those countries in order to get to actual costing figures for the products. Additionally, you will need to file regular vat returns stating your purchase, sales, vat collected and vat amount to be paid for that specific period. A competent vat agent would be in a very better position to handle your vat requirements so that you can concentrate on other avenues to boost revenues of your business.

There are different vat rates on different services and goods while certain items and services may also be vat exempt. If you have not registered for vat then you can start trading but won’t be permitted to collect vat or claim any vat refunds until your business is vat registered. Anyway, most other businesses that you deal with will insist on your vat registration before they commence business together with you in order that the vat chain is not interrupted.

If you have started an enterprise or are intending to do so in the future you will need to obtain registered for uk vat in addition to eu vat, specifically if you plan to deal with other EU countries. This may enable you to claim vat which has previously been paid as well as control your product costs by remaining within the vat cycle. You should certainly complete company vat registration process before you begin trading on a large scale so as to corner all benefits offered by vat.