If you’re a trader based in the UK or other EU country that has adopted vat as a medium of taxation you then should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations and you too should save on time and effort by utilizing all online vat services offered by your own vat department.
In the United Kingdom vat rules specify that you can make an application for vat registration in case your taxable sales rise over the vat threshold limit of £70,000 in the past 12 months or if you feel that they are going to do this within the next 30 days, even though you could register even before the sales touch this figure. However, you are able to at present only complete basic vat online registration by filling up and submitting vat form 1 online. This form is generally utilised by small establishments. In case your business is a partnership firm, a group of companies, or intends to do business internationally then you can download and print all vat registration forms but will probably be required to fill up the form manually before sending it back to the HM Revenue and Customs or hmrc vat department.
If you plan to go in for online vat registration in another eu country that has adopted vat then you’ll have to first study all applicable vat rules before you decide to register your organization online. In case you have trouble in deciphering uk vat or eu vat rules then it is better if you appoint a vat agent or even a customs and excise customs vat agent in case you intend to conduct your small business on an international level. This may allow you to remain safe while following all vat rules in different countries with falling foul of any department.
Once you send your vat online registration form to the hmrc department then you’ll receive a vat questionnaire within 15 days that will require additional details to be submitted including your business address, telephone and fax numbers, banking account numbers, and several other details associated with your business including a few purchase and sales invoices.
As soon as your application is approved you will receive your vat number and you will now have to change your invoicing approach to issue vat invoices for all your sales. This vat invoice will need to display your vat no, vat rate, vat amount and the same will also need to be shown in your vat returns that will need to be submitted to the hmrc vat department at regular intervals.
Currently, in the UK there are 3 types of vat rates applicable for all services and goods. The regular vat rates are 17.5% that is set to raise to 20% from January 4, 2011 onwards. There is a reduced vat rate of 5% and a zero vat rate on specific services and goods which will stay the same. There are also certain goods and services that are vat exempt. However, the vat rates will vary in each eu country even though basic concept of charging vat tax remains the same in most vat enabled countries.
If you wish to register your business for vat then going on the internet will help save your time and also enable you to securely complete the necessary process required for vat registration. You ought to simply log on to the hmrc vat department in case your organization is based in the UK or ask your vat agent to do this for you before using online vat registration to get registered as a vat dealer without having problem.