VAT registration

Why is VAT registration required?

When businesses sell goods or services in foreign countries, they may have an obligation to comply with VAT or other indirect tax laws in the country where their transactions are taking place. This obliges businesses to register for VAT in the country of the transaction and, in most cases, they will need to account for VAT on their supplies.

The types of transactions that can oblige businesses to VAT register include:

• Importing goods into the country for sale;
• Buying and selling goods locally;
• Storing goods in a warehouse, as consignment stock or in a fulfilment centre; and
• Organising an event in the country (specifically if there is paid admission to the event).

If a business does not VAT register, they may face financial penalties and interest charges for any taxes not reported or paid late. It is, therefore, essential that you understand the legal requirements for VAT registration in each country you are trading in and register immediately if you do have a requirement.

VAT registration from Fiscal Solutions

Fiscal Solutions provide an efficient VAT registration service which:

• Lends foreign traders the use of our in-country business address from which you can apply for VAT registration;
• Grants access to our multi-lingual team of VAT specialists, which enables foreign traders to provide all information requested in the language of the country of registration, speeding up the registration process; and
• Provides foreign traders with an all-round VAT registration service, including information on how to stay compliant after the VAT number is in place.