If you want to import goods and services to your own country that follows vat or value added tax system then being aware of europa vat will save money for your business Vatcheck.com. You’ll be able to accurately calculate the buying price of your imported products while also be able to charge the appropriate vat rate whenever you sell them in local markets.
Most countries within the EU have shifted over to vat and this has helped achieve uniformity in cross-country imports and exports . It has also allowed businesses to go in for vat refunds on imports where vat was already paid in the original country of export. In case you too intend to import goods where vat has already been paid then you can also apply for vat reclaim in the country of origin with supporting documents that show the local sales together with the vat rates.
However, before you begin issuing vat invoices to your clients, you will have to apply for vat registration in your own country. For instance, in the United Kingdom you can get vat registered when your taxable sale in the last 12 months touches £70,000, which is known as the vat threshold. You will need to contact the hmrc vat department and may even use their vat online services to fill up the vat form to apply for vat registration. Once your business has the necessary registration you’ll be able to charge vat rates as prescribed by the department by way of a vat invoice that mentions your unique vat number.
You can import goods and services from several europa vat countries including Sweden, UK, France, Germany, Greece, Spain, Italy, Poland, and many others. Although customs duties, excise duties and import vat might differ in each eu country, the essential principle of taxes remains the same. All vat friendly countries have a standard vat rate which is between 15-25%, a special low vat rate between 1-6% and vat exempt items or services where no vat is charged. The rates might differ and so might the text in each vat invoice but the formula for calculating vat remains the same in all these countries.
Since customs, excise and vat rules might be a bit complicated to decipher, you need to enroll the expertise of an expert vat and import agent so your products or services are placed within the appropriate classification as deemed fit by relevant tax authorities. Your agent should also be able to assist you in filing regular vat returns and getting vat refunds in the nation of origin so as to return the doubly-charged tax amount back to your coffers.
In case you want to handle other business in other europa countries that follow vat then you could also cross-check the validity of the vat numbers by using the internet. There are several websites that permit you to input the country code and the vat number before informing you if the vat number remains valid. This move can save you a lot of hassle and funds whilst protecting you from unscrupulous businesses and individuals.
Conducting business with vat friendly eu countries will ensure your paperwork proceeds in a seamless manner due to the common platform of vat. If you plan to begin an enterprise in any EU country that has embraced vat then you should first look into the europa vat list before you begin importing products or services from such countries.