If you want to import goods or services from EU States or countries then you should first get the eu countries list that follow the system of vat or value added tax http://www.vatnumbersearch.com. This should help you to stay within the same taxation system, go for vat refunds and also benefit you if you plan to re-export some material back into those EU countries.
In case your trading company is located in the UK then it is extremely important to understand fellow EU countries which follow vat simply because this will continue uniformity in taxation and simplify your paperwork when you import items from such countries. You’ll of course need to pay customs duties, excise duties or import vat for your goods or services based on their classification as deemed by the UK revenue and customs department or hmrc vat department.
If you have already paid vat in any of the eu countries which are mentioned from the list you’ll be able to go for vat reclaim as soon as you sell the goods in the local market at prevailing vat rates. However, before you start selling your goods and charging vat on the same you will have to be a vat registered trader. The hmrc vat department offers several vat online services and you can simply download the right vat form to complete the vat registration process, even though you will need to submit documentary proof too. As soon as you get the unique vat no you may issue a vat invoice against each sale and charge the related vat rate to the clients in the local market.
The hmrc website features the eu countries list that follows the system of vat. These countries are Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovak Republic, Slovenia, Spain, and Sweden. However, there are some specific territories within some countries that do not follow vat. Each EU country has been assigned a particular code and follows a specific vat number format. Vat invoices are also prepared in each country in their own language. For instance, Poland issues a faktura vat, which is their version of the vat invoice.
If you want to reclaim vat paid in another country then your best way forward should be to hire a vat agent that’s a professional in uk vat as well as eu vat rules. This will allow you to file your vat returns correctly and within the stipulated time period while also doing the same when claiming vat refunds in the nation of origin. It is also important to study various classifications in customs, excise and vat duties and also find out about vat exempt items so your product costs are reduced in a legal manner. While duty rates could be different in these eu countries, the fact that each of them follow vat will certainly reduce paperwork and help you with your cost calculations.
Most eu countries follow vat and this also factor should certainly be noted if you’re going to import goods or services into the UK or in some other vat friendly EU country. The eu countries list already mentioned should allow you to identify countries that follow vat and allow you to definitely import products while avoiding the issue of double taxation by allowing you to reclaim vat back.