How To Check If a Company is VAT Registered

For UK business owners, verifying VAT registration is not just a formality but a critical step in ensuring compliance, avoiding fraud, and building trust. Whether you’re dealing with suppliers, clients, or partners, confirming a company’s VAT status helps protect your business from potential legal and financial issues. Fortunately, the process of checking VAT registration is very straightforward!

Let’s explore why VAT verification matters and how you can easily navigate the process.

Key Takeaways

• VAT registration is required for UK businesses whose taxable turnover exceeds the VAT threshold, currently £90,000 per annum, and it also signals professionalism and credibility to customers and partners.
• Verifying if a company is VAT registered helps you stay compliant with HMRC rules, keep accurate VAT records, and avoid issues during audits or reviews.
• Checking a company’s VAT number is straightforward; you can use HMRC’s online VAT checker to confirm whether a UK VAT number is valid and registered.
• For EU and Northern Ireland businesses, you can use the VIES (VAT Information Exchange System) tool to verify VAT numbers across borders and support compliant international trade.
• If you cannot confirm a VAT number online, request the VAT registration certificate, check invoices and the company website, or explore ways to check if a company is VAT registered without having the VAT number to hand.
• When checking VAT registrations, watch out for simple errors in the number, avoid unreliable third-party tools, and remember that VAT numbers can expire if a business deregisters, so it is important to verify them regularly.

What is VAT Registration?

Value Added Tax (VAT) registration is a legal requirement for UK businesses whose taxable turnover exceeds the VAT threshold, currently set at £90,000 annually. When a business registers for VAT, it becomes authorised to charge VAT on goods and services, file VAT returns, and reclaim VAT on certain expenses.

Being VAT-registered is not just a compliance matter; it’s also an indicator of a company’s size and credibility. Many businesses view VAT registration as a mark of legitimacy and professionalism.

The most common reason for a VAT application rejection is common mistakes. Therefore, if you’re unsure about the registration process formation agents, like us, can make the process simpler and easier. Instead of navigating the complexities alone, services like ours, Companies MadeSimple, can help you save time. Our expertise ensures a smooth registration and allows you to focus on your main aim – running your business. If you’ve been wondering, How do I register my company for VAT? we’re an excellent resource to explore. 

Reasons to Verify a Company’s VAT Registration

Compliance and Legal Requirements

Verifying VAT registration ensures that your business remains compliant with HMRC regulations. During audits, proof of accurate VAT handling is crucial to avoid penalties and complications. Therefore, it’s crucial to be sure that partners’ VAT numbers are valid to help avoid liability in case of incorrect filings.

Fraud Prevention

Fraud is a significant concern in business transactions. Scammers often use fake VAT numbers to pose as legitimate entities. Checking whether a company’s VAT number is valid is an easy but essential step to protect your business from falling victim to such schemes. So, when you ask, “Is a company VAT registered?” you’re also safeguarding your business.

Tax Deduction and Reclaim Accuracy

Businesses that verify VAT numbers can claim back VAT on business expenses without any doubt. Checking VAT numbers confirms the accuracy of your tax records and helps you minimise disputes with HMRC should they happen. The small effort it takes to verify a number can save you a lot of time and resources down the road. So if ever in doubt, or even just for practice, be sure to check those numbers! 

How to Check if a Company is VAT Registered

HMRC VAT Checker

The HMRC VAT checker is a reliable and easy-to-use tool for confirming UK VAT numbers. Follow these steps:

1. Visit the HMRC VAT checker website.
2. Enter the VAT number provided by the company.
3. Review the results to confirm whether the number is valid and registered.

This tool is trusted and updated regularly and is a legitimate way to check numbers. 

VIES (VAT Information Exchange System)

For UK businesses dealing with EU companies, VIES is an invaluable tool. It allows you to verify VAT numbers across the EU and NI by country. Here’s how to use it:

1. Access the VIES website.
2. Enter the VAT number you wish to verify.
3. Check the results to confirm validity.

VIES simplifies cross-border transactions within the EU and NI, ensuring you comply with international tax regulations and don't get caught out! 

Other Options for Verification

If you’re unable to find a VAT number online, you can try these alternatives:

• Request the VAT registration certificate directly from the company.
• Look for the VAT number on invoices, on the company website or other official documents.
• If needed, learn how to check if a company is VAT registered without a VAT number.

These steps allow you to have transparency and accountability in your business dealings.

What to Watch Out for in Checking VAT Registrations

• Misinterpreting Results: Double-check VAT numbers to avoid errors that could lead to incorrect conclusions.
• Using Unofficial Checkers: Stick to trusted tools like HMRC and VIES. Avoid third-party websites that may not provide accurate or up-to-date information.
• Expired VAT Numbers: VAT numbers can become invalid if a business deregisters. Regularly verify numbers for ongoing partnerships to stay informed.

Time to Check That Registered VAT Number

Verifying VAT registration is a simple yet important step in maintaining your business’ compliance, preventing fraud, and ensuring accurate tax reporting for your company. Whether you use HMRC’s VAT checker or VIES for EU transactions, trusted tools like these make the process efficient and reliable.

Try and make it a habit to check VAT numbers when working with new suppliers or partners. If you’re ever unsure about VAT compliance or registration, it’s advisable to consult a professional to save time and avoid potential trouble. A little diligence today can prevent significant problems tomorrow. Simple! 

FAQs

How can I check if a company is VAT registered in the UK?

You can check if a company is VAT registered by using HMRC’s VAT number checker. Enter the VAT number and the tool will confirm if it is valid and in use. If the number is incorrect, expired, or unrecognised, the checker will flag it so you can follow up with the business for clarification.

What should I do if I do not have the VAT number for the company I want to check?

If you do not have a VAT number, ask the company to provide it or look for it on invoices, receipts, or their website. VAT numbers are required on VAT invoices, so any legitimate VAT-registered business should be able to share it quickly.

How do I know if a VAT number is real and not fraudulent?

A VAT number is real if it passes validation through the HMRC VAT checker. Always double check the exact sequence of numbers, since even a small typing error can cause a failed result. If anything looks suspicious, ask the business for a copy of their VAT registration certificate.

Can I check if an EU or Northern Ireland company is VAT registered?

Yes, EU and Northern Ireland VAT numbers can be checked using the VIES (VAT Information Exchange System) tool. This system confirms whether a VAT number is registered for cross-border trade, which is helpful if you work with suppliers or customers outside the UK.

Why is it important to verify if a company is VAT registered?

Verifying VAT registration helps you stay compliant with HMRC rules and prevents incorrect VAT claims. It also ensures you only reclaim VAT from businesses that are properly registered, which protects you during audits or bookkeeping checks.

What should I do if the VAT checker says the number is invalid?

If the checker says the VAT number is invalid, confirm you entered it correctly and contact the business to double check. VAT numbers can change or become inactive if the company deregisters, so always verify the most recent details before processing payments or claiming VAT.

Where can I find a company’s VAT registration number?

You can usually find a company’s VAT registration number on VAT invoices, receipts, order confirmations, and the business’s website footer or FAQs. If it is not displayed anywhere, ask the company directly, since they are required to provide it once requested.

Can a company trade without being VAT registered?

Yes, companies can legally trade without being VAT registered if their taxable turnover is below the VAT threshold. However, they should not charge VAT on their sales until they have completed VAT registration.