Your company is established outside the European Union and you want to sell, buy or stock in one of the EU Member States? Tax representation is an interesting option to grow your business.
The Benefits for Your Company
Tax representation allows you to carry out movements of goods (purchase, sale, storage, transformation) like an European company without having to create a subsidiary or have premises and/or employees on the spot. You will be able to pilot remotely your EU purchase-resale transactions, get a VAT refund and create a local distribution point to deliver faster to your clients. Since your company is established outside Europe, your company will not be subject to income tax if specific conditions are met.
The benefits are multiple and tax representation is a flexible tool to conquer and develop new markets in the European Union.
What is the Tax Representative’s Role?
The tax representative takes care of all the formalities related to VAT registration in the EU and is accountable to the authorities. He guarantees the compliance of tax and accounting operations of the company as well as VAT payment.
The appointment of a representative is mandatory for companies not established in the EU carrying out taxable transactions in the EU (European Directive 2006/112/EC).
The tax representative:
- Obtains a VAT number for your business
- Verifies your documents and transactions (purchase, sale, import …)
- Manages VAT refund requests
- Liaises with the local authorities on behalf of your company and assists you in case of audit
- Files VAT declarations and files declarations of exchanges of goods and/or services (Intrastat)
- Pays VAT on your behalf.
Do you need advice on tax strategies in Europe? ASD Group, with its network spanning 25 countries, offers you its expertise in tax representation and VAT refund. Contact us!
