How to claim back paid VAT in UK from HMRC?

You can claim back paid VAT from European tax administrations. It is always an easier process if you are VAT registered in the country which also allows you to simply deduct paid from payable VAT.

In general, businesses can claim back the Value Added Tax (VAT) they've paid on eligible business expenses from HMRC (Her Majesty's Revenue and Customs) in the UK. However, there are several important conditions and requirements to keep in mind:

  1. Eligible Expenses: You can typically claim back VAT on goods and services that you've purchased for your business and that are used for business purposes. This includes things like office supplies, equipment, business travel, and certain professional services.

  2. VAT Registration: To claim back VAT, your business must be registered for VAT in the UK. You must have a VAT registration number, and you should charge VAT on your sales (unless you're using a VAT scheme that doesn't require it).

  3. VAT Invoices: You need to have valid VAT invoices from your suppliers that clearly show the amount of VAT charged. These invoices must meet HMRC's requirements.

  4. VAT Returns: You will need to report the VAT you've charged on your sales and the VAT you've paid on your purchases in your VAT returns. The amount you can claim back is the difference between the VAT you've charged and the VAT you've paid.

  5. Timely Filing: You must submit your VAT returns on time to HMRC. Late filings may result in penalties.

  6. Compliance: Ensure that your VAT claims are in compliance with HMRC's rules and regulations. Incorrect claims can lead to penalties or audits.

  7. Exemptions and Exceptions: Some goods and services are exempt from VAT, and you cannot claim back VAT on these items. Additionally, certain industries and businesses may have specific VAT rules and schemes that apply to them.

You can claim the paid VAT from HMRC by following the instructions on the HMRC website: 

https://www.gov.uk/guidance/refunds-of-uk-vat-for-non-uk-businesses-or-eu-vat-for-uk-businesses

 

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