VAT can be a complicated tax, with frequent changes arising from new legislation, HMRC policy and court rulings. VAT compliance is also something that can be expensive to get wrong or fall behind on, which is the last thing you want as a business owner.
A virtual finance team can provide clear advice and solutions for any VAT issues your business faces to ensure your business is treating VAT correctly. A virtual finance team offers include:
- VAT issues around new business activities – changes to your business activities or organisational structure, for example expansion into new markets might need overseas VAT registration or new products with a change in VAT rate.
- HMRC VAT enquiries – help with navigating HMRC VAT enquiries to resolve any VAT disputes with HMRC. If you have a forthcoming VAT inspection or have received a challenge or unfavourable decision from HMRC on VAT, a virtual finance team can liaise with HMRC on your behalf with the aim of achieving the optimum outcome and ensure optimal VAT compliance is adhered to.
- VAT partial exemption – If you are a VAT partially exempt business, there are a myriad of VAT management issues you can face in calculating your business’ VAT recovery – an experienced virtual finance team can review and advise of your right to recovery of VAT and perform your VAT partial exemption calculations and can assess whether it would be beneficial to agree a partial exemption special method with HMRC and make any such applications to HMRC on your behalf.
- International VAT – If you undertake international trade, VAT compliance is vital as you must comply with the rules in the relevant jurisdictions – a virtual finance team can advise you on your international transactions so you can be sure your business is fully VAT compliant, as well as advising on any alternative structures or schemes that can be utilised to minimise your non-UK registration obligations.
In getting your VAT right, you can ensure your VAT position is optimised, whilst minimising risks of unforeseen liabilities to VAT, penalties and interest.