The Wholesale Forums

[greedyboy]

Originally Posted by greedyboy

If you are not VAT registered the VAT element becomes part of the cost.

As said previously, it is part of the buyers cost. A non VAT registered buyer can not claim the VAT back

[to-neXt GbR]

Originally Posted by greedyboy

As said previously, it is part of the buyers cost. A non VAT registered buyer can not claim the VAT back

damn...
so I think I have to find some VAT-registered buyer here...

[to-neXt GbR]

What reasons are there for a trader not to register VAT?
Here in Germany it is the most profitable thing you can do if trade with goods, because you pay only taxes for the overvalue and every other things you have to buy for your company you buy without VAT.

So what are the reasons not to do so?

[greedyboy]

Many smaller traders deal with the general public and not businesses. So being VAT registered is an extra cost basically and can make you uncompetitive as the end user can not claim the VAT back.

There is a big discussion here which answers all your questions.