The value added tax (VAT)

The standard rate is 17.5% since 1 January 2010.

Companies whose turnover is below the limit set by the state are not required to register with the services of VAT. This limit, which is reviewed in April each year, is currently £ 68,000 (+ / - € 77,800) for the last twelve consecutive months.

As this limit is not exceeded for twelve consecutive months, the registration will remain optional.

The registration becomes obligatory in the month where the cumulative last twelve months exceeds that limit.

VAT returns are based quarterly for most companies. These periods of three months can cover either the periods ending:

• January, April, July and October
• February, May, August and November
• March, June, September and December

The period for which the VAT returns are made can be changed to coincide with the end of the fiscal year.

You should also know that:

By creating your company in England, you will have VAT at 17.5% and choose to purchase duty free in France, Belgium, ...after obtaining your VAT number.

Subsequently, the concept is basique. You buy duty free in the world, you sell duty free in France. The latter, in this configuration is within the Community. Your customers will be even happier, for sure it will ease their cash which may already be weakened by a ruthless (regulation of VAT invoicing). The positioning of your price on the market will become attractive for without tax. It is the same for the purchase of your materials without forgetting the operating company vehicles and direction (subject to tax on company cars in FRANCE). I'll let you guess the extent of this feature.

VAT In practice, anyone wishing to carry on business in Great Britain, must comply with registration requirements by contacting, in the shortest possible time, the local office of the UK Customs and Excise ("Customs & Excise).

• Conditions of registration with the UK Customs Administration For fiscal year 2010 the exemption limit is £ 68,000 (+ / - € 77,800) per annum.
• Range of application of VAT:
  
  
  • The following are exempt from VAT, the services provided by insurance companies, finance companies, funeral societies, societies of betting and games, postal services, and health services. All other sales transactions of goods and services are subject to VAT at the rate appropriate.

• Tax rate 

• There are two main rates of VAT applicable in Great Britain: a standard rate of 17.5% and a zero rate. The standard rate of 17.5% applies to the vast majority of transactions. The zero rate applies to certain products: namely, basic foodstuffs, books and newspapers, clothing and footwear for young children, helmets and boots provided to employees by their employers. The zero rate was designed to allow companies selling certain products to be registered for VAT and be at the same time entitled to deduction. Companies whose services are exempt from VAT do not have this option. There is also a reduced rate of 5%, but it applies only to fuels, gas and electricity for domestic use.

• No business tax is to be noted that in the UK there is no similar tax to the tax professional.

WARNING: CAN NOT GET VAT NUMBER IF THE LIMITED COMPANY DOES NOT HAVE ACTIVITIES IN THE UK, the creation of your company, you do not have a VAT number with a turnover below £ 68 000 (+ / - € 77,800). You must then issue invoices net and you can not recover VAT on your invoices. This one is 17.5%. The request for  VAT number needs to take a management contract with an English accountant and requires great patience (3 to 6 months). Except of course if you are liable for their VAT, then the record comes to be faster ...