Learning about vat customs rules can benefit your organization

Running a business in Britain that needs importing goods is usually stressful unless you know all about vat customs rules imposed from the HM Revenue and Customs department. Learning all about these rules can benefit your business as you can ensure that your purchase and sales deadlines are maintained and your cost is kept to the minimum.

If you import taxable goods into the UK you will then be charged import vat or customs duties. These duties have to be paid on the value of the goods and they are subject to vat rules that form part of the Vat Act of 1994. The amount of customs duty to be paid is called the ?ad valorem duty? and there are 6 methods that can be used www.vatvalidation.com/vat to reach the amount of this duty. You will need to provide documentary proof to hmrc vat department as to why you've chosen a particular way of the valuation of the products which you have imported into the UK.

If you have imported goods into the UK from a eu country which has also collected vat tax from you prior to goods were dispatched to the UK then you have effectively paid double tax on the same goods. If you're a vat registered trader in the United Kingdom you'll be able to apply for vat reclaim to get the earlier amount back to your bank account. You will need to mention your vat number and give your vat certificate to the country of origin whenever you apply for a vat refund. Although refund process might take between four to eight months to materialize, your costs will certainly get lowered. You should employ the services of a competent vat agent that charges fees only on the amount of refunds that you receive. This move will provide a reason for your vat agent while rewarding you with many successful vat refunds.

Once you've paid vat customs on your goods and start selling the same under vat invoices then you will have to maintain detailed accounts of the amount of vat paid and collected built in. You will have to mention these vat amounts during your vat returns that will have to be filed regularly in line with the vat scheme which you have chosen. You should remember that any genuine mistake on your part while importing goods to the UK should be rectified as quickly as possible since it could be construed as evasion of customs duties and would invoke strict action including penalties from the hmrc department. Your vat agent must have complete knowledge on customs and excise rules as well as eu vat and uk vat rules so that there are no miscalculations while importing goods into the UK.

If you are a vat registered trader in the United Kingdom that needs to import goods into the UK then you'll surely have to pay all applicable customs duties on the same. However, you may also claim back vat amounts paid in the country of origin on goods and even on services that were utilized in that country. A competent vat agent can help you decipher vat customs rules and help you to get back all excess vat previously paid whilst helping smooth entry of imported goods into the UK.