Question about claiming VAT back

danton

Hi, I'm not sure if this is in the correct forum and apologies if it isn't.

I have registered online as a sole trader in the last few days. I rang the CRO and they told me it would take 4 weeks to process my application. In order for me to set up a business bank account I need the certificate of incorporation from the CRO and in order for me to register for VAT with the revenue, I need a business bank account. So realistically it'll be a number of weeks before I'll be able to register for VAT.

In the meantime I would like to get my website set up. I've to purchase hosting and a .ie domain name and there is VAT on the overall charge. I am right in saying that I will be unable to claim this VAT back because I'm not yet registered for VAT and can't until the CRO processes my application? And this question applies to all of my other business related expenses (business cards, headed paper, etc...)

Any help or advice would be appreciated.

Thanks

Axwell

When you get all your stuff sorted with the CRo and the bank etc you will still be able to claim back this VAT once you are VAT registered. You are allowed to claim on the initial start up costs involved when getting set up.

danton

Axwell wrote: »

When you get all your stuff sorted with the CRo and the bank etc you will still be able to claim back this VAT once you are VAT registered. You are allowed to claim on the initial start up costs involved when getting set up.

Thanks Axwell, and it doesn't matter that I'm using my personal credit card or my personal bank account to pay for these initial expenses? Obviously I can't use a business bank account yet as it's not set up.

dbran

Hi

You cannot claim back the VAT unless you are VAT registered and you are only registered from the date that you said you want to be registered on the TR1 form.

However revenue will allow the registration to be backdated to a reasonable extent (a few weeks ).

Beware though, if you register for VAT you will also have to charge VAT on your sales also.

Kind Regards


dbran

danger_mouse_tm

Get yourself a good accountant. When i set up my computer company I went to my accountant and he imediatly told me i was entitled to neary a grand back on over paid tax. What a great bonus to help starting my business.

I now give him every receipt i get - regardless of what it is. He goes through it and decides what i can claim and what i cant.

NCG

danton wrote: »

Hi, I'm not sure if this is in the correct forum and apologies if it isn't.

in order for me to register for VAT with the revenue, I need a business bank account. So realistically it'll be a number of weeks before I'll be able to register for VAT.

Agree with above advice, but also - you don't need the bank account to register for VAT, you can do that right now by submitting a TR1 form. Just write "to be supplied" in the bank details form. Once you are registered, you will get a letter asking you to supply your bank details and you can complete this once you have the account. You will not get any refund paid until you have the account, but you can claim for your VAT paid from the date of registration.

Regards
Niall

http://ncg.ie

ted1

just a heads up. A book keeper may be cheaper than an accountant for day to day stuff.