If you’re a trader based in the UK or 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 and you too should save on time and effort by utilizing all online vat services offered by your vat department.
In the UK vat rules specify that you can make an application for vat registration if your taxable sales rise above the vat threshold limit of £70,000 during the past 1 year or if you feel they are going to do this within the next 1 month, even though you can still register even 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 form is normally used by small businesses. In case your organization is a partnership firm, a group of companies, or plans to conduct business internationally then you could download and print all vat registration forms but will be required to fill the form manually before sending it back 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 that has adopted vat then you will have to first study all applicable vat rules before you decide to register your business online. In case 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 business on an international level. This will allow you to remain safe while following all vat rules in different countries with falling foul of any department.
When you send your vat online registration form to your hmrc department then you will get 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 a lot of other details associated with your business including a few purchase and sales invoices.
As soon as your application is eligible you will receive your vat number and you’ll now need to alter your invoicing method 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 that will have to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom there are 3 different types of vat rates applicable for all goods and services. The regular vat rate is 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 goods and services that will stay the same. There’s also certain products or services that are vat exempt. However, the vat rates are different in each eu country even though basic concept of charging vat tax remains the same in most vat enabled countries.
If you want to register your organization 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 business is located in the UK or ask your vat agent to do this on your behalf before using online vat registration to have registered as being a vat dealer without having problem.