We completely get that VAT is the last thing you want to think about. It’s not only the boring stuff when you’re running a business but it can be the scary stuff.
Here we try and demystify what you need to know
What is ‘VAT’?
VAT (Value Added Tax) is a form of consumption tax.
All 28 European countries have VAT. It has different names in different countries eg. In France it is TVA, Spain – IVA, Germany – Mwst, etc. Each country also applies its own VAT rate. VAT collected on online sales is a key source of revenue for any government.
How is VAT collected?
The seller charges VAT to the customer and the seller pays over this VAT to the government.
Why should I register for VAT?
You may be legally required to do so. If you do not comply, the tax authority can fine you and in some cases stop your goods getting to your customers. Find the VAT Registration Thresholds for 2018 here
We can discuss with you all your potential VAT obligations – make an appointment to speak to one of the lovely team members on calendly or fill out the form today so we can start to help grow your business internationally, successfully and compliantly.
What is a VAT PACK?
We send you a SIMPLYVAT.com VAT PACK – A registration pack for the country(ies) you need to register in. The pack contains a list of the documents you will need to send to us in order for us to register you. Standard documents can include copy of Certificate of Incorporation and Power of Attorney.
Will I need to give your anything so you can get my VAT registration?
The tax authorities are government departments which need certain official documents supplied to them to allow them to issue an official VAT registration number to any person or business.
The process is therefore paperwork heavy. Our on-boarding team, however, will get in touch with you and guide you through what we need from you. They are always happy to jump on a skype call or arrange a phone call to talk you through exactly how to complete the documents we have pre-prepared for you.
How long will it take for me to get an international VAT registration number?
Once we have all the paperwork it can take up to 4 – 6 weeks to receive a VAT registration number, dependent on the country
How much will it cost?
Prices vary depending on which country you need to register in. Please contact us for a quote: https://www.simplyvat.com/contact/ , email us at firstname.lastname@example.org or arrange a time to talk with someone of our team at calendly
What happens once I VAT register?
Once VAT number/s have been issued, we allocate a dedicated client manager to you who will arrange a time to speak to you and talk you through the process. We also provide you with a customised VAT registration pack which the client manager will guide you through during the call.
The VAT registration pack contains all you need to know and can be referred back to at any point.
How often will I have to submit a VAT return?
This depends on which country you are registered in. Some countries will ask for VAT returns each month, others – quarterly or even bi-monthly. At SimplyVAT.com, we will ensure you never miss a deadline through our timely email reminders.
What if I don’t get the information you need to compile the VAT returns to you on time?
If we don’t get the correct data sent to us in time, the tax authority can issue penalties or fines that you will have to pay in addition to any VAT you owe. Our new, market-leading software ensures we can collate the sales data directly from the channels* you sell on time. We do, however, need you to supply other bits of information such as import documents. Your client manager will work with you each time a VAT return is due to ensure we have everything we need to keep you compliant.
De-registration – what if I don’t want to be registered for VAT any longer?
We can help you work out if you are eligible to de-register in the country(ies) you don’t want to be registered in. If you are selling over that country’s VAT threshold you will have to continue to be registered and file periodic VAT returns. If, however, you are eligible, we will deregister you.
Other Reporting Requirements?
Aside from reporting to the tax authorities how much VAT you have collected and paid, there are other reporting requirements that may become relevant. For example, if your stock is transferred between EU countries, this needs to be reported via an EC sales List. If you are using Amazon’s Pan EU-service, EC sales Lists may need to be filled in some countries.
Another potential requirement is Intrastat Declarations. These are statistical reports that are used by European governments to collect information and produce statistics on the movement of goods between Member States in the European Union (EU). These have different thresholds to VAT.
If you would like to discuss these additional reporting requirements further – don’t hesitate to contact someone of our team at email@example.com
Do you have an Affiliate’s programme?
Yes we do and we would love the opportunity to work with you. We will pay commission for every client we sign up that has been introduced by you. Please go to our Partner page to read more.
Contact us on: Introduce@simplyvat.com.