Any ideas ?

[wightbees]

I am in the process of importing and the supplier has asked for this ( CIF unic nr on witch company is registered probable at HMRC ) any ideas what they are asking ?

 

[user 6228]

I am in the process of importing and the supplier has asked for this ( CIF unic nr on witch company is registered probable at HMRC ) any ideas what they are asking ?

is the supplier Spanish? found this on the web


By shaun king
20th Dec 2012 15:58


The CIF number is the Certificado de Identificación Fiscal number which is the Spanish VAT number which in part equates to a UK VAT number. The problem with Spain is that any business, however small, is required to register for VAT and companies can only trade with VAT registered businesses. A Spanish business is required to verify the VAT number of its' supplier and if the supplier doesn't have a VAT number the Spanish company is not allowed, under Spanish law, to trade with it. The probem is that the Spanish do not recognise the UK registration threshold and I know from experience there are only two options.

1) Register for UK VAT

2) Lose the client.

The Spanish company will not accept anything other than a valid VAT registration number.

 

[wightbees]

Thank you very much for that, I'm not vat reg either as under bracket and like it that way. Oh well, see what they say.
Many thanks

 

[For want of a better word]

is the supplier Spanish? found this on the web


By shaun king
20th Dec 2012 15:58


The CIF number is the Certificado de Identificación Fiscal number which is the Spanish VAT number which in part equates to a UK VAT number. The problem with Spain is that any business, however small, is required to register for VAT and companies can only trade with VAT registered businesses. A Spanish business is required to verify the VAT number of its' supplier and if the supplier doesn't have a VAT number the Spanish company is not allowed, under Spanish law, to trade with it. The probem is that the Spanish do not recognise the UK registration threshold and I know from experience there are only two options.

1) Register for UK VAT

2) Lose the client.

The Spanish company will not accept anything other than a valid VAT registration number.

Spot on !

Possible option is to collect and pay cash in Euros

Yeghes da

 

[wightbees]

That's a good idea

 

[B+.]

That's a good idea

Except you aren't supposed to send cash through the post.
Surely, the point is that the company wont take your order without a VAT number rather than any difficulties in paying them in a currency that they prefer?

 

[wightbees]

I wouldn't put cash in the post, I was thinking more of going abroad with cash lol

 

[For want of a better word]

I wouldn't put cash in the post, I was thinking more of going abroad with cash lol

Are you not already abroad ?

Yeghes da

 

[Stiffy]

Thank you very much for that, I'm not vat reg either as under bracket and like it that way. Oh well, see what they say.
Many thanks

You can still. register for VAT even if you don't reach the threshold (£83,000). The threshold is the figure you are required to register by HMRC. Obviously seek your own advice as your circumstances may be different but I have been advised that a beekeeping business may be worth registering as most of what we sell will be VAT free and you can reclaim 20% on most things you buy in.
S

 

[wightbees]

Going vat registered is really not in my interest right now, it would not work well with my current small business, it would mean a instant loss of 20℅ or a rise of all customers @20% either way, not good.

 

[For want of a better word]

You can still. register for VAT even if you don't reach the threshold (£83,000). The threshold is the figure you are required to register by HMRC. Obviously seek your own advice as your circumstances may be different but I have been advised that a beekeeping business may be worth registering as most of what we sell will be VAT free and you can reclaim 20% on most things you buy in.
S

Absolute minefield.... bees zero rated.... container +20% ( set to rise to 27% in next budget?)... unless the container is worth less than the bees!

Honey zero rated but only once again if worth more than the container.

Yes read that again!

Keep an eye on the cost of your packaging!

As for bringing / importing equipment into the UK from even EU countries... get and keep receipts as customs can impound goods if ( they think) duty has not been paid in the country where purchased.

Two certainties in life... death and taxes

Yeghes da

 

[Beefriendly]

Going vat registered is really not in my interest right now, it would not work well with my current small business, it would mean a instant loss of 20℅ or a rise of all customers @20% either way, not good.

That all depends what goods your business is currently selling. If for instance you sell honey in jars which is zero rated for VAT (important the zero rated as different from VAT exempt), then, if you do what is called a voluntary VAT registration, you can claim back all the VAT you have paid when you bought the jars/labels etc. It doesn't mean you have to add 20% VAT onto your honey sales as they are zero rated, but if your products are vatable. eg. beeswax candles then you need to charge VAT on your sales if you are registered.

 

[wightbees]

The trouble is, I don't sell much. My main income is from supplying a service, hence the loss if vat registered. I know all the options as I have looked at it many times and with my current business setup, it's really not worth it.

 

[Beefriendly]

The trouble is, I don't sell much. My main income is from supplying a service, hence the loss if vat registered. I know all the options as I have looked at it many times and with my current business setup, it's really not worth it.

Easy, divide the businesses into separate parts. But I would talk to a qualified accountant before doing that. I know it works because I know people who do this. I know it goes along the lines of registering two or three businesses as your income sources and having one voluntarily registered for VAT.

 

[wightbees]

Trouble with that idea is this ( HMRC have rules to protect against “artificial separation” of business) as you say I would need advice.

 

[Magwat]

For a business below the threshold for VAT registration (we run a small farm), even if it is loss making it can be VAT registered provided HMRC can see, that it is actually trading.

 

[Nige.Coll]

Why not ask a friend who is vat registered to order it for you. You must know someone who is.