If you’re a trader located in the UK or any other EU country which has adopted vat to be a medium of taxation then you should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations and you too should reduce effort and time by using all online vat services provided by your 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 Â£70,000 in the past 1 year or if you feel that they are going to do this within the next 30 days, although you could register before the sales touch this figure. However, you can at the moment only complete basic vat online registration by filling up and submitting vat form 1 online. This form is normally vatverification.com used by small businesses. If your organization is a partnership firm, a group of companies, or plans to do business internationally then you can download and print all vat registration forms but will probably be needed to fill the form manually before sending it to the HM Revenue and Customs or hmrc vat department.
If you plan to go in for online vat registration in another eu country which has adopted vat then you’ll have to first study all applicable vat rules before you decide to register your organization online. Should you have trouble in deciphering uk vat or eu vat rules then its 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 will enable 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 your hmrc department then you’ll receive a vat questionnaire within 15 days that will need additional details to be submitted such as your organization address, telephone and fax numbers, bank account numbers, and several other details connected to your small business together with a few purchase and sales invoices.
As soon as your application is eligible then you will receive your vat number and you’ll now need to change your invoicing approach to issue vat invoices for all of your sales. This vat invoice will need 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 need to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom you will discover 3 different types of vat rates applicable for all goods and services. The standard 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% plus a zero vat rate on specific goods and services that will remain the same. There’s also certain goods and services that are vat exempt. However, the vat rates are different in each eu country although the basic reasoning behind charging vat tax continues to be same in all vat enabled countries.
If you wish to register your organization for vat then going online will help save time and also allow you to securely complete the necessary process required for vat registration. You should simply log on to the hmrc vat department in case your business is located in the UK or ask your vat agent to do so on your behalf before using online vat registration to have registered as a vat dealer without having problem.