If you are a vat registered trader in the UK or perhaps any other member EU country which has embraced vat then you need to conduct a vat check of your supplier before finalizing your transaction, particularly if you intend to import services or goods into your country. It is really quite simple to conduct a vat number check on the internet before you decide to part with your hard-earned money.
VAT or value added tax is really a system of taxing goods and services that's followed in a number of countries across the globe including most eu countries. If you are a trader in the United Kingdom that may be vatnumbers.com importing goods or services from other eu countries where vat has already been paid in the country of origin you'll be able to apply for a vat refund. This may allow you to reclaim vat paid earlier so as to avoid double-taxation. However, it is necessary that you purchase your goods originating from a vat registered trader or exporter in another country so that the chain of vat continues when the services or goods are imported into the UK.
However, there may be a chance that an unregistered vat trader might try to dupe you of your savings by charging you vat even while offering you a fake or expired vat number on the vat invoice. In such a case, you may not have the ability to reclaim any vat on that transaction, which inturn will raise your costs and deny you your rightful refund. It is actually thus vitally important to conduct a vat check that usually takes a short time when you get on the official European Commission or EUROPA website that permits you to conduct a vat registration check and validate if your supplier has indeed provided you with a genuine vat number.
All that you should do is log on to the EUROPA website ec.europa.eu directly or visit the hmrc vat department website and follow the link provided at the website. All you need to do is to choose the eu country of your supplier, enter the vat number of your proposed supplier, choose your country code, and type in your own vat number. You may now need to click on verify, upon which the verification software will inform you if your vat number is valid.
If possible, you should try to print the validation screen as proof of having conducted the check at the particular date and time. In the event the registration number is not valid you'll be able to inform your supplier since there could be a lot of reasons for this kind of response, ranging from an authentic mistake in supplying you with the vat number to willful wrongdoing on the supplier?s part. You should remember that ultimately it's your business that will suffer if you don't conduct a vat number check.
Performing a vat registration number check is very important if you are planning to buy services or goods from vat registered traders in a foreign country that also adheres to the system of vat. The exact checking process hardly takes more than a few seconds and performing a vat check will certainly save your business a lot of money and pain in case the supplied vat number ends up being incorrect.