VAT. Is there a limit on VAT on purchases you can claim if have less VAT on sales?

Question

We have a lot of VAT purchases but less sales and always submit a VAT refund. Im wondering if there is a limit on the amout as im sure i read somewhere that after so far its only a percentage? can anyone help me?

Answer 1

Unless you have restrictions due to partial exemption, there is no limit on the input you can claim, or subsequent refunds. However, if this is the case you'll eventually go broke if purchases exceed sales!