How should one proceed if they want to apply for a VAT refund?
April 5, 2024 | 40,00 EUR | answered by Marco Schottmann
Dear tax consultant,
I have a question regarding input tax refund and hope that you can help me. I am a self-employed entrepreneur and have made a number of expenses in the last few months for which I have paid input tax. I would like to know how I can apply for an input tax refund.
Currently, I am facing the problem that although I have collected all receipts and invoices for my expenses, I am not exactly sure how to proceed in order to apply for the input tax refund. I am concerned that I may make mistakes or overlook important steps that could ultimately cost me money.
Could you please explain to me the exact steps I need to take to apply for the input tax refund? Are there specific forms that I need to fill out or deadlines that I should adhere to? Are there any particular considerations I need to keep in mind since I am self-employed?
I would be very grateful if you could assist me with this matter, as it is of great importance for me as an entrepreneur to take advantage of all cost-saving opportunities.
Thank you in advance for your support.
Sincerely,
Marco Weiss
Dear Mr. Weiss,
Thank you for your inquiry regarding input tax refund. I understand that as a self-employed entrepreneur, it is important for you to utilize all possibilities for cost savings. I am happy to explain to you how you can apply for an input tax refund and what steps need to be taken.
First and foremost, it is important to know that input tax is the value-added tax you pay on your business expenses. You can request a refund of this input tax from the tax office if you are entitled to input tax deduction. As a self-employed individual, you are generally entitled to input tax deduction if you make taxable supplies.
To apply for an input tax refund, you need to specify the input tax amounts in your VAT return. For this, you need the corresponding receipts and invoices for your expenses, on which the input tax is separately stated. These receipts must be kept in an orderly manner, as the tax office may want to review them in case of an audit.
In your VAT return, you then enter the total amounts of input tax paid and subtract them from the VAT you have received from your customers. The result is the VAT to be paid or refunded. If your paid input tax is higher than the VAT you collect, you are entitled to an input tax refund.
There are no specific forms for input tax refund, as it is done within the framework of the VAT return. However, it is important to meet the deadlines for submitting the VAT return. Usually, the advance return must be submitted by the 10th of the following month.
In summary, you can apply for an input tax refund by specifying the input tax paid in your VAT return. Make sure to keep all receipts properly and adhere to the deadlines for submitting the return.
I hope this information is helpful to you and I am available to assist with any further questions.
Best regards,
Marco Schottmann
