Once registered for VAT a business is obliged to conform with all VAT compliance rules and reporting deadlines. But, if taxable business activity no longer exists in the country, or if the company has ceased trading, it is permitted to cancel the ‘VAT Registration’. This can be in the form of de-registration or de-activation of the VAT number.
Some EU countries may have minimum registration periods, so even if the taxable activity has stopped, the company may still be obliged to file VAT returns (nil returns) until this period lapses. A ‘VAT De-Registration’ will not be accepted by a tax office if there are any outstanding VAT returns, or if there are tax office queries or audits which have not been resolved.
The rationale for a VAT registration requires to be reviewed on an ongoing basis, as any changes to a business’ activity may mean the registration is no longer required.
The selected member firms of amavat® can help you to establish when ‘VAT De-Registration’ is appropriate and will assist with making an application to the tax authority on your behalf to de-register your business for VAT purposes. At the same time, we can also advise on how to make sure that all VAT incurred by the business in the country concerned is recovered.
amavat® ‘VAT De-Registrations’ are a one-off cost and are charged at €500.00 per country.