Knowing the set of eu countries that follow vat can help save money
Starting a business that needs to import services or goods to the UK can be tough during these competitive times but understanding the number of eu countries which follow vat may help reduce costs. You may easily be able to track tax systems that are a lot like your while also
claiming vat refunds for previously paid vat abroad.
There are several countries in the eu which adhere to the system of value-added tax. Although the language used in the vat invoice might differ in addition to vat rates, the system followed is virtually exactly the same. The list of countries within the EU which have adopted the system of vat are Estonia, Denmark, Bulgaria, Ireland, Latvia, Poland, Spain, Italy, Luxembourg, Belgium, Hungary, Slovak Republic, Czech Republic, Portugal, Sweden, Finland, Slovenia, Austria, Netherlands, Greece, Germany, France, Romania, Malta, Lithuania, and Cyprus. Some territories in this list of eu countries have however opted to remain out of the vat gambit. You can visit the hmrc vat or hm revenue and customs website to read about such territories.
One major advantage that you have when importing goods from such eu countries is that any vat which you may have paid in a particular country may be refunded to you by that country once you file for a vat reclaim. This process can be handled by an expert vat agent who has offices in the UK as well as in other countries from which your imports take place. In addition, if you have attended trade shows inside a eu country and have paid vat for the same then such vat amounts can also be recovered back. This vat refund can surely help shore up your business net profit while suitably cutting your product costs.
If you hire a specialist vat, customs duties, and excise duties agent then that agent will also help calculate sales vat rates and also file your vat returns in the stipulated time period. Vat rates in the United Kingdom range from 17.5% for standard vat rates to 5% for reduced vat rates to zero vat rates for specific services and products. There are also specific services and products that are vat exempt. The hmrc website offers the detailed list of such services and products that are put into 14,000 classifications.
To be able to claim a vat refund you will need to preserve and submit all original vat documents together with your vat certificate too. While procedures and language in several countries might pose problems, a vat agent amply trained in several vat systems must be able to recover your hard earned cash back to your bank account. Additionally, there are different deadlines in different eu countries for filing for a vat reclaim and therefore having an in-depth knowledge of eu vat and uk vat rules will certainly provide a distinct benefit to you and your business.
If you wish to import services or goods to the UK then opting for eu countries that follow vat would offer several distinct advantages. Having the list of eu countries that follow vat can certainly help save money and also offer simplicity of operation as the system for paying and collecting vat would be the same in all these countries.