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