Import VAT is changing on 1 January 2021

From 1 January 2021 imports of goods from the EU will be subject to import VAT in the same way as imports from the rest of the world.  However, import VAT will no longer be charged at the place of import and VAT-registered traders will usually be able to account for the import VAT through their VAT returns.

There are new procedures to follow and for some traders who intend to use the temporary simplified customs declarations for imports from the EU there will be a need to estimate the import VAT due.

Traders should soon also be able to access and download a new Monthly Postponed Import VAT Statement via the Customs Declaration Service.  These statements will help in completing VAT returns with the correct import values and import VAT.

For more details on import VAT and how to show it on your VAT return please see:

https://www.gov.uk/guidance/check-when-you-can-account-for-import-vat-on-your-vat-return?utm_source=f7788eeb-3a97-4b0a-89ca-d779d61cfca2&utm_medium=email&utm_campaign=govuk-notifications&utm_content=daily

and:

https://www.gov.uk/guidance/complete-your-vat-return-to-account-for-import-vat?utm_source=a75e8a12-09ed-4a83-9c44-a3857e177cc6&utm_medium=email&utm_campaign=govuk-notifications&utm_content=daily