Understanding europa vat can help to save money for your business

If you wish to import goods and services to your own country that follows vat or value added tax system then knowing about europa vat will save money in your business. You will be able to accurately calculate the cost of your imported products whilst have the ability to charge the appropriate vat rate when you sell them in local markets.

Most countries within the EU have shifted to vat which has helped achieve uniformity in cross-country imports and exports vatvalidation. 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 plan to import goods where vat was already paid then you too can apply for vat reclaim in the country of origin with supporting documents that show your local sales along with the vat rates.

However, before you begin issuing vat invoices to your clients, you will need to apply for vat registration in your own country. For instance, in the United Kingdom you can get vat registered once your taxable sale in the last 12 months touches £70,000, which is called the vat threshold. You will need to contact the hmrc vat department and may even use their vat online services to fill the vat form to get vat registration. Once your business gets the necessary registration you’ll be able to charge vat rates as prescribed by the department through a vat invoice that mentions your distinct vat number.

You may import goods and services from many 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 basic principle of taxes remains the same. All vat friendly countries have a standard vat rate which is between 15-25%, a particular low vat rate between 1-6% and vat exempt items or services where no vat is charged. The rates might differ so might the language in each vat invoice but the formula for calculating vat continues to be same in all these countries.

Since customs, excise and vat rules might be a bit complicated to decipher, you should enroll the services of a professional vat and import agent so that your goods and services are put in 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 into 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 this site. There are many websites that permit you to input the nation code and the vat number before informing you if your vat number remains to be valid. This move can help you save a lot of hassle and funds while also keeping you safe from unscrupulous businesses and individuals.

Conducting business with vat friendly eu countries will ensure your paperwork proceeds in a seamless manner thanks to the common platform of vat. If you’re going to start a business in a EU country that has embraced vat then you definitely should first check the europa vat list before you begin importing services or products from such countries.