Questions Answers

Tax & Dividends

How to Maximise Dividends When You Can?

The pandemic has made our lives different, with some business owners having been disadvantaged as they used dividends as a profit extraction. The article will shed some light on how to extract profits from your company most efficiently and avoid being disadvantaged...

Customs

What do I need to do to delay my customs declarations?

You can delay your customs declarations until the 1st of July 2021 if you are importing non-controlled goods. You can delay making your declarations to HMRC up to 175 days after you import your goods into the UK. If you choose to do so, it is important to make a...

VAT

Is the postponed VAT accounting available to UK-based businesses only?

The postponed VAT account is available to all businesses with UK VAT registration. Non-resident sellers require a guarantee.

Brexit & VAT

Do I need a tax agent after Brexit?

A Fiscal Representative is a special type of VAT agent for foreign businesses with a VAT registration in another country. They are responsible for the correct calculation and reporting of VAT of their client and are the first point of call for the local tax office in...

EU & UK Trade

If goods are moving between the EU and the UK, or between the EU and Northern Ireland, when are EC sales and Intrastat declarations required?

You should establish when the goods are physically located. If they physically move between the UK and the EU, they are treated as export/import. If they physically move between Northern Ireland and the EU, they are treated as intra-community movements. In such case...

Import VAT & Duty

How to deal with import VAT or duty on the goods which are temporary imported into the UK and then re-exported after work is complete on them?

It may be appropriate to enter such goods into inward processing procedure. See the link for more details on how to reduce VAT or duty on imports.

Import VAT

Sometimes courier companies pay import VAT and duty on behalf of importers. Can this VAT be recovered?

Importers can recover their VAT via Box 4 in case normal conditions of recovery have been met, the imported goods are owned by the importer, and the importer has got evidence to support their claim. This can be in the form of C79 which is normally sent to the importer...

Postponed Accounting

How is import VAT paid by postponed accounting recovered?

Import VAT is recovered through VAT returns. Complete Box 4 of the return. The evidence to support your claim should be retained, although it is not clearly indicated in the HMRC website. You can check the amount of postponed VAT in your VAT statement for the previous...

Postponed Accounting

How is VAT accounted for if postponed accounting for import VAT is used?

If using postponed VAT accounting, it is declared in Box 1 of your VAT return in the return of the month of import. If the goods go through special procedure, the VAT is declared in the month when the goods leave the special procedure. See the link for more information.

Import VAT

Do I have to use postponed accounting when importing into the UK and do I have to pay import VAT at the same time?

When importing into the UK, importers can use a mixture of payment types: at the point of import, postponed accounting and deferment account. Import declaration will show the way in which import VAT is paid. The postponed accounting is compulsory only if the deferred...

Common Questions