What is Postponed VAT accounting?

On the 1st January 2021, the UK will leave the EU VAT scheme. This means import VAT will be charged on all applicable import shipments entering the UK. What is Postponed VAT accounting? Postponed VAT accounting (PVA) is a new tax system being implemented within the UK. If your business is registered for VAT youContinue reading “What is Postponed VAT accounting?”

What is a binding tariff?

A binding tariff or binding tariff information (BTI) is a classification decision made by the local customs authority in UK and Europe on the classification of goods. The BTI outlines the commodity code or harmonised standard (HS) number the goods are classified under and the associated duty rate plus any required licenses, quotas or quantitativeContinue reading “What is a binding tariff?”

IPR and OPR Customs Procedure Codes

Inward Processing Relief (IPR) and Outward processing relief (OPR) are Customs procedures for goods that are entering the country for a process or are returning to the country after a process has been completed. A ‘process’ could be service such an inspection, repair or modification. They are not a way of avoiding import duty andContinue reading “IPR and OPR Customs Procedure Codes”

UK Customs Clearance Routes

When goods arrive into the UK from a third country (currently anything not within the EU) they need to be cleared through UK customs and the appropriate import duty and VAT paid. When the customs entry is submitted to UK customs there is four main routes the entry can take. Route 1 If an entryContinue reading “UK Customs Clearance Routes”

Invoice types for International Shipping

There are many different types of invoice and not all of them are suitable for international shipping. Below is an outline of the three main types of invoice and how they can or cannot be used for shipping. Principally we are looking at shipping physical items so all the items examples below are referring toContinue reading “Invoice types for International Shipping”

Do you have the correct commodity codes?

Commodity codes are also referred to as Tariff codes, tariff number or tariff headings, Harmonised code or HS (Harmonised Standard) number. Basically they are referring to how your items are classified for customs purposes. They are a number broken down into chapters with paragraphs and sub paragraphs as they become more detailed.  The commodity codeContinue reading “Do you have the correct commodity codes?”

What is a Movement Certificate?

A.TR Movement Certificate Turkey entered into a Customs Union with the EU in 1995 and utilises the preference system with movement certificates (ATr. and EUR.1) for trade with Europe. The intention was that goods could travel between the EU and Turkey without customs restriction. An ATr. (Admission Temporaire Roulette) is a certificate for the movement of industrialContinue reading “What is a Movement Certificate?”