If you are a trader based in the UK or any other EU country which has adopted vat as 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 save on effort and time by using all online vat services offered by your own vat department.
In the UK vat rules specify that you could 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 that they are going to do so within the next 30 days, although 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 form is generally utilised by small establishments. If your business 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 probably be needed 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 that has adopted vat then you’ll need 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 its better if you appoint a vat agent or perhaps a customs and excise customs vat agent in the event you plan to conduct your small business on an international level. This will enable 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 your 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, bank 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 need to alter your invoicing approach to issue vat invoices for all of your sales. This vat invoice will have to display your vat no, vat rate, vat amount and also the same must also be shown in your vat returns that will need to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom you will discover 3 types of vat rates applicable to all services and goods. The standard vat rate is 17.5% that is set to increase 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 which will remain the same. There are also certain products or services which are vat exempt. However, the vat rates will vary in each eu country even though basic concept of charging vat tax continues to be same in most vat enabled countries.
If you want to register your organization for vat then going online will help save time plus allow you to securely complete the necessary process needed for vat registration. You should simply log on to the hmrc vat department if your business is based 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 any problem.