Amber：From 1 January 2021, if there is a business registered for VAT in the UK, either Overseas companies or UK Local Enterprises，There are imports from countries other than Britain,Can Use PVA independently, No additional application to HMRC is required for approval. Independent use means that you can choose to use PVA and defer the import of VAT. It is also possible to pay the import VAT when the goods are cleared without choosing PVA.

Q2 How can the overseas seller use the deferred PVA for customs clearance?

Amber：If you are an overseas enterprise seller and the imported goods need to be used by your own trade (the company of the importer), you only need to use the company to apply for "Deferred Import VAT" when customs clearance Look up writing paperWritten entrustment of logistics customs clearance agent at customs declaration When choosing“account for import VAT on your VAT Return”,That is to choose "in your VAT declaration form for import VAT accounting", without additional advance application for filing.

* The general content of the written authorization is (for reference only) :

We XXXgongsi，EORI is GBXXX，VAT number is XXX, we authorize that using Postponed VAT Accounting and  select that we’ll be accounting for import VAT on VAT Return from Date XXX to Date XX on UK Customs Declaration.

Amber：The logistics company must collect the seller's VAT, EORI, company name and other information when receiving the customs clearance authorization from overseas e-commerce seller Customs declaration system choose“accounting for import VAT on your VAT Return",That is, "calculate import VAT on your VAT return", and in Consignee location (Box 8)Fill in the seller's VAT, EORI and company name details. At present, HMRC has two common customs declaration system services:

The first is the CHIEF system. Most of the customs clearance companies use the CHIEF system Box 8（Header Consignee）Fill in the seller's EORI number beginning with GB; Or, if necessary, at box 44h(Registered Consignee) Fill in the seller's VAT number; And finally you need to Box 47e Select MOP of B00 (VAT) as "G" in the box.

The second is the CDS system, which only needs to fill in the VAT tax number on the title of the data element. Generally, this system is rarely used for customs clearance declaration.

Amber：No additional application is required, no tax representative or bank guarantee is required.

Amber：Combined with the above cases of overseas sellers who successfully deferred VAT imports and the official original HMRC as shown in the figure below, Ambo believes that it can be understood from the following two parts:

First, if you are a VAT registered seller, you can choose to import VAT as stated in the declaration form, that is, PVA. Duty is only paid in the customs clearance process. Import VAT is not paid. It is deferred until the tax agent declares it to you, and VAT is recorded as input VAT and output VAT on the same declaration form.

Second, if you are a VAT registered seller who does not opt for PVA clearance, or you are not a seller under VAT registration obligations (for example, a UK local business that does not register VAT obligations for sales below £85,000 a year), you will need to pay customs duties and import VAT at the import stage. However, it is also possible to defer the payment of import duties under the following three circumstances: the establishment of a deferred account by way of a bank guarantee, temporary imports, and goods entering a bonded warehouse at the UK border.

Q6 I have applied for PVA, how to get the electronic import VAT bill?

Amber：Successful sellers of VAT deferred imports will receive a monthly summary of the deferred imported VAT electronic bill (similar to C79) in addition to the C88 received from the logistics company.

The imported VAT electronic bill will be displayed in the next month, but this electronic bill can only be displayed and saved in the system for 6 months. The seller must download and save it in time. If this electronic VAT bill is available, please contact the tax agent for guidance.