Tuesday, 28 September 2010

Vat on expenses incurred in other EU countries

An area that has always been a huge frustration has been reclaiming VAT on expenses incurred in other EU countries. Many simply have not bothered. A new system for reclaiming VAT on these expenses started from 1 January 2010. UK registered businesses should submit their claims through the HMRC website. HMRC will pass on the claim to the relevant national authority. The deadline for claiming VAT refunds relating to expenses will be September of the following year (ie the end of this month for 2009). See www.hmrc.gov.uk/vat/refund-procedure.pdf.

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