Why you Should Automate your T&E VAT Recovery Process
You have a mountain of receipts from your employees’ business travel expenses, as well as cross-border purchases, and every single one needs to be read, checked, understood and entered into a form. Where do you draw the line on which ones are worth processing for VAT or not?
When you think about the amount of man-hours it takes to complete this process correctly, you understand why as much as £15.3 billion of refundable VAT is left on the table each year, by businesses that lack the capacity or energy to process that many receipts and invoices.
At least, that’s the VAT refund process when you don’t automate your VAT return. It’s time to consider what it would be like if you switched to automated VAT reclaim for business.
Automated VAT Reclaim for Business is Faster and More Efficient
When you add automation to your VAT refund process, you get a much quicker and more accurate system. Completing a VAT return correctly means deciphering hundreds, if not thousands, of VAT receipts. If your employees travel overseas, many receipts are in foreign currencies, written in a foreign language, and laid out in unfamiliar formats, making it difficult for your HR team to find a rhythm to their work.
What’s more, both domestic and foreign VAT receipts are liable to be torn, stained, crumpled, and generally in a poor condition, adding to the challenge of identifying the amount of VAT, verifying that it was entered correctly, and checking for discounts or refunds that could invalidate the final VAT payment.
But none of this intimidates a VAT bot. When it comes to interpreting VAT receipts, bots out-perform even the most efficient HR employee. They don’t get tired, they don’t slow down, and they don’t get confused by hard-to-read documents.
Automated VAT Bots Never Skip Small Receipts
Many VAT receipts for business travel expenses are for small amounts. A cup of coffee in the airport, a taxi ride to a meeting, emergency photocopying before a conference. The VAT refund that your company will receive for each of these receipts is miniscule.
It’s understandable that a hard-working employee, with hundreds of VAT receipts to process, might decide to skip some receipts for such small amounts. After all, sometimes the refundable VAT from these receipts is less than the cost of paying your employees to process them.
However, when you skip several VAT receipts for tiny amounts, you end up with a VAT refund that’s a few hundred pounds poorer. This is a problem that won’t affect you when you automate VAT reclaim for business. A VAT bot won’t get tired of processing receipts for tiny amounts. And because you don’t pay your bot a salary, you’ll never have to decide if your VAT refund costs more than it’s worth.
Automated VAT Reclaim for Business Cuts Down on Mistakes
Your business’s VAT reclaim needs to be 100% accurate. There’s no room for mistakes; if your VAT return has any errors, it is likely to be refused, at best. If you’re unlucky, mistakes in your VAT return could cause you to be suspected of deliberate VAT fraud. You may have to face an expensive VAT audit that takes up even more business hours than the original VAT return.
That’s why automation can be a business life-saver. Your VAT return bots don’t make mistakes. They don’t have messy handwriting that writes a six that looks like a five. They don’t accidentally enter a number into the wrong box. They don’t read the wrong line on a VAT receipt and end up entering the total paid instead of the total VAT. Automation can seriously cut down the risk of having your VAT refund refused.
VAT Automation Frees Up Employee Work Hours
As you already know, requesting VAT refund is time-consuming and tiresome. Chances are good that there are several tasks that your employees need to be doing instead of your VAT return. By introducing automation to your VAT reclaim, you can free your employees to dedicate their working hours to creative brainstorming, strategic thinking, and other tasks that you can’t delegate to an automated system.
Way2VAT Automated VAT Reclaim Improves your Business VAT Refund Process
Enlisting Way2VAT’s automated VAT reclaim for business solution means harnessing the power of deep learning and artificial intelligence to harvest vital VAT information even from receipts that are in poor condition, without the spelling mistakes that frequently plague OCR text retrieval. Way2VAT saves time for employees, reduces mistakes, and increases the amount of VAT you can claim by processing VAT receipts for small amounts.
For all the details about using an automated VAT reclaim for business for your VAT return in the EU and other countries around the world, download our eBook.