Accounts Payable Invoices from foreign suppliers attract significant foreign VAT charges which is often refundable. Many businesses miss this VAT refund as the VAT recovery process can be complex. That’s where Taxback International can help.
Taxback International are experts in AP VAT Recovery! Did you know that $30 billion in VAT goes unclaimed each year? Expenses incurred through these foreign suppliers are material and attract significant foreign VAT, but many companies are not aware that this cost is refundable.
We have in-depth knowledge of each country’s VAT deadlines and VAT filing rules, which streamlines the refund process and eliminates missed opportunities.
Each country has its own specific deadlines and rules with different administrative filing practices. This makes identifying and qualifying opportunities for AP VAT refunds time consuming and burdensome, especially across multiple markets. Many companies are simply not aware of the fact they can reclaim foreign VAT on accounts payable invoices which leads to them missing out on huge foreign VAT reclaim opportunities.
Taxback International have the expertise in legislation, foreign language support and relationships with the local tax offices and can effectively manage the VAT refund process.
IT Service Providers / Telecoms companies
Manufacturing and Production companies
Retail / Consumer Goods companies
Industrial equipment / construction companies
Your company is eligible to recover VAT on Accounts Payable invoices in eight business spend categories:
VAT Recovery is available on fixtures, injection moulding gauges, cutting equipment and patterns. VAT on tooling can add up to 27% to production costs.
VAT Reclaim is available on installation of machinery, infrastructure, and pipelines.
VAT Recovery is available on premises rental, infrastructure expenses such as storage and data centres and technical support office.
VAT Recovery is available on services provided by Engineers, consultants, lawyers, real estate agencies etc and maintenance/management fees.
VAT Recovery is available on Venue hire for training or events, restaurant/catering costs and transport abroad in relation to training or events.
VAT Reclaim is available Meetings, incentives, conferences and events (MICE), these include packaged foreign travel expenses, accommodation, car hire and flights.
VAT Recovery is available on Mineral & oil tax for fuel costs, passenger aviation tax compliance costs, fuel invoice costs, corporate plane repairs or maintenance.
VAT Recovery is available on Warranty parts shipped overseas, goods purchased for manufacturing projects overseas, goods shipped overseas and DDP shipping (Delivery Duty Paid).
Foreign VAT is paid on certain types of business transactions but is often missed by finance departments. Our research has shown that the main reasons for this include: