If you have a vat registered business in a VAT enabled EU country or are on the verge of turning into a vat registered trader then you should use the vat guide to successfully implement vat. This guide can help you to calculate vat correctly, help you file your vat returns on time and generally help you to stay on the right side of vat rules and regulations.
For example, if your vat registration is in the UK, which is one of the countries in the eu that follows vat, in addition to Sweden, Italy, Spain, Germany, Greece, etc then you will need to follow uk vat rules that are broadly based on eu vat rules. The EU rules have been formulated by the European Commission that guides all member countries towards a unified system of vat. In the UK, it is Her Majesty’s Revenue and Customs department or hmrc that lays down all vat rules.
All vat rules in the UK are available within the vat guide, which is under reference of Notice 700. You can simply visit the hmrc website and download the entire guide or click on any particular point that requires additional clarification. This guide offers explanations on every aspect of vat including import vat, vat registration, vat number, vat certificate, vat invoice, vat exemption, vat rates, vat returns, vat refunds, and much more. The hmrc vat website also offers various other vat online services including online filing of vat returns and vat refunds along with explanation on customs and excise duties too.
Most other eu countries that follow vat also have their own guides that can help direct new entrants as well as old ones that want to change vat schemes, to take the best possible route. Most countries also come out with amendments in a bid to fine-tune the process of boosting revenues and plugging loopholes in the vat tax system. Various directives also guide taxpayers towards better implementation of the vat act. New notifications such as the change in standard vat rates in the UK from 17.5% to 20% in the year 2011 also helps vat registered traders to get ready to shift over seamlessly to new rates well in advance.
The vat guide can explain in great detail as to what is vat and also guide you on your rights when you come under the system. The guide also explains the rights of vat officers when they arrive at your premises to conduct a vat audit and its implications in case you have willingly or unwillingly avoided payment of vat to hmrc. The UK guide covers vat rules applicable to the UK, Northern Ireland and the Isle of Man. Similarly, other eu countries have certain geographical areas that are included or excluded in the vat rules based on their discretion.
If you are a vat registered trader in the UK or want to turn into one then you should have a guide that can help you to understand all rules and regulations pertaining to vat. You will need to understand all uk vat rules as well as eu vat rules if you plan to import goods and services from EU countries into the UK. In such a case, you should make it a point to first study the vat guide in great detail so that your transition into the system of vat tax does not turn out to be a taxing one.