Here are some of the commonly overlooked VAT areas that can save your business money:
- Bad Debt Relief – can you claim a refund of VAT already paid to Revenue? Many businesses have used this relief where debts can be difficult to collect.
- Cash Receipts – can you account for VAT when paid by your customers rather than when the invoice is raised?
- Large Asset Purchases/ Unprocessed Supplier Invoices – are you reclaiming VAT at the earliest possibility?
- Retained Deposits/Cancellation Fees – can you claim a refund of VAT where a deposit or advanced payment from a customer has been retained but no supply has taken place?
- Is 75% or more of your turnover generated from selling goods to customers established overseas? If so, you may be able to have your suppliers invoice you without charging VAT?
- VAT on “Qualifying Accommodation” in Ireland – can you reclaim VAT incurred on these costs which relate to attending conferences?
- VAT on “Business Cars” – can you reclaim VAT incurred on such purchases?
- Reclaiming Foreign VAT –EU VAT refund claims can now be made to Irish Revenue who in turn seek the refund from the other country.
- Timing of Invoices – is it possible for a business to delay issuing invoices to defer the time at which the VAT is due?
- Timing of VAT Returns – can you submit your VAT returns less frequently if you have small liabilities or more frequently if you are in a continuous refund position?
- Tax Recovery Strategies – should you be reclaiming more VAT? There are many ways to calculate the appropriate percentage recovery, not just turnover basis.
- VAT Rates – should you be accounting for VAT at a lower rate? Suppliers should review whether there are opportunities to reduce their VAT liabilities, particularly where they supply a wide range of goods and services
It is vital that businesses dedicate time to evaluating their VAT position as this can help to ensure that liabilities are less likely to accrue and may well open up the possibility of some actual tax savings.
For information and assistance on processing payroll for employees, speak to Niamh on +353 (0)41 68 63 000 or Request a callback from our Payroll Team today.
PaycheckPlus – 10 years Making Payroll Easy!