Importing goods from the EU

For a step by step guide to importing goods from the EU please click here: https://www.gov.uk/import-goods-into-uk

• Goods arriving into the UK from the EU are now classed as imports rather than acquisitions
• UK import VAT will be due on any goods arriving into the UK
• Postponed accounting has been introduced from 01/01/2021
  • Available to use for all EU imports and non EU imports
  • Import VAT to pay and reclaim can be included on the same VAT return creating cash flow benefits
  • Don’t need authorisation from HMRC to use it
  • Further information can be found here: https://www.gov.uk/guidance/check-when-you-can-account-for-import-vat-on-your-vat-return

• Customs declarations will be required
  • Businesses could obtain the relevant software and training to submit their own declarations
  • It is expected that most businesses will use a customs agent to prepare and submit declarations on their behalf
    • Follow this link for HMRC’s list of customs agents: https://www.gov.uk/guidance/list-of-customs-agents-and-fast-parcel-operators

• From 01/01/2021 VAT on imported goods with a consignment value of less than £135 will be collected at the point of sale and not at the point of import
  • Where sales are made through an online market place, they are now responsible for collecting and accounting for UK VAT
  • Reverse charge can be applied where the supply is B2B (business to business) and not exceeding £135

Click here to go back to a roundup of what you need to know about trading with the EU.