So, here we are in the new year, and I’m betting your resolutions to get fit, give up chocolate and learn a new language have disappeared like the first snow. Never mind; how about an extra resolution to save a bit of dosh?
You see, I’m a generous chap at heart, although I don’t like to squander money. I prefer to give my money to charity – which I do, a lot – rather than entrust it to the government who will squander it on schemed designed solely to appeal to the masses and assist with re-election.
But this isn’t a political or ranty comment this month, just a bit of advice to readers who organise events outside the UK (and that can include subscribers who spend much of their time at our industry conferences and exhibitions which dot the globe). Simple question; did you know you’re probably wasting money?
I make that assertion after spending just ten delightful minutes in the company of Siobhan Kelly of Dublin-based Taxback. Now normally a conversation around VAT duality and reciprocal tax arrangements would have me sliding gently into a coma, but Siobhan’s lovely Emerald Isle lilt – and the offer of free money – kept me awake.
Essentially, the wise people running the EU (stop sniggering at the back) are very happy for you to recover (usually) the VAT that you are charged on your expenses. This can be as high as 25%; yes, some governments are even greedier than Mr Cameron’s. However, often these refunds are left unclaimed, usually due to a lack of awareness, or because of the time and costs involved. After all, VAT (or the equivalent) varies not only between country but also on different products and services. So, for example, Italy’s IVA may only be 10% on hotels but rises to 21% for taxis.
We’re not talking small beer here; all that spending on croissants and bratwurste mounts up; one estimate is a staggering €5 billion which goes unclaimed.
Recoverable expenses fall into several categories, including “subsistence”, “advertising” and “entertaining”, which means that – in theory at least – writing your e-mail on a 20 euro note and slipping it into the g string of a Latvian lapdancer is a legitimate business expense. But the top category for reclaim is “trade fair and conference participation costs.”
Now, depending on the size of your organisation the sums involved may not be massive, but it is money you’re entitled to. And, as the process for SME’s is as simple as filling out a form, you can make an enquiry for free and you only pay based on results, frankly you’d be a muppet not to give it a go.
So, if some free money is something that has appeal, go to www.taxback.com and get in touch with Siobhan. Tell her I sent you. That way, you get a nice warm glow from the money you save, and I get a nice warm glow from the bottle of Irish malt that she sends me. Happy new year.