VAT Refund and Expense Types
Subject to the different regulations and VAT rates, which vary from country to country, a US company can receive a VAT Refund on business Travel & Expenses and Accounts Payable.
Expenses include hotels, restaurants, car rental, fuel, conferences, import and export fees, legal fees and other international expenses.
Frequently Asked Questions
What is VAT?
The United States has a sales tax system, however other countries have a Value Added Tax (VAT) system. What is VAT?
Value Added Tax (VAT) is a consumption tax, which ranges between 8 – 25%, that is levied on both goods and services in most international countries.The national tax systems of Europe, UK, Canada, Japan, South Korea and Australia allow for a refund of VAT – Tax to most non-resident business entities worldwide. In most cases, US companies should be eligible for a VAT refund for business done internationally.
VAT rates and regulations differ for each expense type, and from country to country. Below is an illustration of a US company that paid for a conference for its employees in England:
|Purchase of UK conference tickets|
|Total paid to XYZ Conference|
Global VaTax would apply for a €20,000 VAT refund for the US company with the UK tax authorities and convert the reclaim into $ and wire the refund, minus our fees.
What are our fees?
Who is entitled to a refund?
What documents will you need?
After we sign a service and confidentiality agreement, we will give you access to our VaTAx Cloud application and run you through the simple process. If necessary, we will also send a team directly to your regional office to collect original invoices. If legislation requires that your invoices need to be formatted differently, we will contact your supplier or vendor and make sure the invoices are reformatted to the compliant format. We will research the particular requirements and complete the necessary forms in the various languages and complete the submission process based on the particular regulations until you
How big is our network?
We recover VAT in over 30 countries. The VAT
What is the extent of the cash recovery?
How long will it take?
From the point you give us the green light, we start immediately compiling and filing the necessary documents for your VAT refund. The entire recovery process can take between 2-6 months, depending on the country and its regulations. We will issue you progress reports and keep you up to date as we complete the process. You can also follow the progress via your personal encrypted web portal. You will have access to live interactive data.
Why use Global VaTax's management services?
VAT recovery is a complex process and requires a detailed understanding of the processes and requirements in each country, in its specific language. VAT rules vary from country to country.
The local tax authorities require that the application and the communication are done in their own language. Global VaTax makes it convenient for your company to collect its VAT refund and manage its VAT registration. We communicate with the local tax authorities, and we understand and have experience with their unique requirements and rules.
You will also have access to the VaTax Cloud encrypted private online portal where you can track progress, with live interactive data.
We have the necessary knowledge and experience to expedite your claims for prompt returns and maximize payments. We can also assist with efficiently structuring your organization’s financial and operational processes for ongoing VAT registrations and management.
Travel & Expenses
Invoice correction, Recovery of wrongly charged VAT, and
Tours & Entertainment
VAT refund for international Tour operators and Entertainment professionals.
VAT refund on an invoice from a freight forwarder, such as Federal Express or UPS.
TV & Movie Production
Research & Development
VAT refund for Research and Development services from European vendors.