If you have already paid vat on your services or goods again and want to get the original amount back then while reclaiming vat ensure proper procedures are followed. You can use the vat refund scheme to get back vat that might already have been paid earlier in order to reduce your costs and even get respite from the problem of double taxation over your goods or services.
Although you will not be allowed to deduct the VAT amount of taxes directly from your next vat return, you will still be allowed to state that amount in a separate vat refund scheme. This scheme is available in the United Kingdom subject to certain conditions. Most eu countries that follow vat will often have such procedures where vat amounts that have already been paid can be reclaimed. If you are a vat registered trader in the UK that doesn’t have vat registration in the nation of origin you’ll be able to claim any vat paid in the country provided you meet a few other vat rules.
You may also claim vat paid in another eu country if you have not got relief through some other vat scheme. You will need to use a standard vat reclaiming form through the HM revenue and customs or hmrc vat website that looks after the customs, excise and vat department in the United Kingdom. However, since reclaiming rules might differ in other countries, you’ll need the services of an expert vat agent well-versed in uk vat and eu vat rules to successfully extract vat refunds in the relevant country. Your agent can act in your stead once you provide them with a power of attorney or even a letter or authority to do so.
It is possible to go for a vat reclaim no after 9 months in a year or so after you have paid the vat amount. You will first have to register your business name and also your agent?s name too in the event you intend on reclaiming vat using your agent. You need to use the hm vat refunds service that’s a part of the vat online services offered by the hmrc vat website in order to save on time and energy. As soon as you submit the necessary online vat form you’ll be issued an online reference number that may indicate that the request is received by the vat refund department.
While you will not need to send any paper documents, certain eu countries might request a scanned vat invoice to generally be attached to your vat refund request. Once you’ve sent your reclaiming request hmrc will send a confirmation about the same within 15 days while the concerned eu country will usually provide you with a vat refund within 4 months, if all of your documents are typically in proper order. In the event further information is required from that eu country then you can expect your vat reclaim to get settled after around 8 months of the original application.
In order to avoid the situation of double taxation, most eu countries which have adopted vat including the UK offer vat refunds that can be claimed by using proper procedures and using proper applications. You too can reclaim vat paid in almost any other eu country that follows vat by reclaiming vat back from that eu country by using the vat refund scheme.