If you are a vat registered trader in the UK or even in any other member EU country that has embraced vat then you need to conduct a vat check of your supplier before finalizing your transaction, especially 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 part with your hard-earned money.
VAT or value added tax is a system of taxing products or services that is followed in several countries across the globe including most eu countries. If you are a trader in the United Kingdom that is vatnumbers.com importing services or goods from other eu countries where vat was already paid in the country of origin you’ll be able to make application for a vat refund. This may allow you to reclaim vat paid earlier in order to avoid double-taxation. However, it is necessary that you purchase your goods from a vat registered trader or exporter in another country so that the chain of vat continues when the goods or services are imported into the UK.
However, there may be a possibility that an unregistered vat trader might attempt to dupe you of your savings by charging you vat even while providing you with a fake or expired vat number on the vat invoice. In such a case, you might not have the ability to reclaim any vat on that transaction, which in turn will raise the costs and deny you your rightful refund. It is thus vitally important to conduct a vat check that usually takes a short time when you log on to 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 you need to 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 site. All you need to do is always to pick the eu country of your supplier, enter the vat number of your proposed supplier, choose your country code, and enter your own personal vat number. You may now need to click on verify, upon which the verification software will inform you if your vat number is valid.
Whenever possible, you should try to print the validation screen as proof of having conducted the check at the particular date and time. If the registration number isn’t valid you’ll be able to inform your supplier since there may be many reasons for such a response, ranging from a genuine mistake in supplying you with the vat number to willful wrongdoing on your supplier?s part. You should remember that ultimately it is your business which 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 purchase goods or services from vat registered traders in another country which follow the system of vat. The actual checking process hardly takes more than a few seconds and conducting a vat check will certainly save your business lots of money and pain should the supplied vat number ends up being incorrect.