Tax and Goods/Services Registration: What Every New Company Needs

Registering the company is only the first step. To trade you also register with the tax authority. This is what lets you issue invoices and charge sales tax where it applies.

What you register for Most countries ask for a tax number for the company. If you sell goods or services you may also register for a goods and services tax. It is called VAT in Europe and GST in Canada and Australia and Singapore and New Zealand. The United States has state sales taxes instead. A few places such as Hong Kong have none.

Thresholds Many countries only require registration once your sales pass a limit. Some require it from the first sale if you are a foreign company. Registering early can also let you recover the tax you pay on business costs.

What you will need The company registration papers and proof of address and identification for the owners or directors and a description of what you sell. Some tax offices ask for a local address or a local representative.

After you register You issue invoices that follow the local rules and file returns on a schedule and keep records for the period the law sets. Late filing is often fined so set reminders.

Tips Register the company first and the tax account straight after. Ask the tax authority named on your country page whether your type of sales needs a special registration. Use a local accountant if you are unsure.

These are general guides, not legal advice. Rules differ by country and by product and they change often. Confirm the details with the regulator named on your country page or with an expert before you act.