Businesses are encouraged to verify the Value Added Tax (VAT) registration numbers of their customers and suppliers on regular basis.
The UK VAT registration number is made up of 9 digits for example 111 2222 33. Your company’s VAT registration number is printed on your VAT registration certificate issued by HM Revenue and Customs (HMRC).
Your VAT registered company must submit VAT returns regularly with HMRC to avoid the VAT registration number being rendered invalid or cancelled. If you require help with preparation and filing of your quarterly VAT returns, our accountants will be more than happy to assist you.
Another reason to verify the VAT registration number is to ensure the VAT registration numbers are genuine and that you are not paying for VAT on your goods and services you bought or sold where you are obliged to.
Only VAT registered businesses are allowed to charge VAT on their sales to their customers.
If you paid for VAT on purchases to suppliers that do not have valid VAT numbers you will not be able to reclaim that VAT amount in your VAT return and HM Revenue and Customs would not issue the refund.
It is best that you check or verify the VAT number before you either remove it from your sale invoice for EC Customers or pay your suppliers who claimed they are VAT registered especially when the VAT amount involved is considerable. This is to avoid scamming and also create awareness and it is a good system to ensure everyone takes part to make sure VAT compliance function as it should be.
Verify VAT numbers – to see it is still valid?
UK limited company registered with VAT do not normally charge VAT to customers from European Countries who can provide valid TVA or VAT numbers.
Before you remove your VAT amount from your sales invoice, it is strongly recommended you verify the TVA or VAT numbers of your customers and note that number on your sales invoices.
Click here to verify – Your VAT or TVA numbers provided by your EC customers or suppliers.
Invalid VAT registration numbers
If VAT or TVA numbers appeared to be incorrect, please inform your customers or suppliers so they are aware and can contact their home country tax office or accountants to verify the situation.
If your customers are highlighting to you that your VAT numbers are invalid, contact your accountants as soon as possible if you have one to verify or you may contact HM Revenue and Customs VAT helpline. They will be able to advice you accordingly.