Postponed vat works need to get the detail right

Postponed vat going as expected but i need to get the detail right

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Strewth this is all a bit much for january - not helped by the main helpline being staffed by people who know nothing and are making it up on the fly like us.

Our client who is importing goods from EU indicates to shipping company "Deferred declaration / Entry in Declarants Records (EIDR) "applies  -  so that import vat can be declared on the vat return thats the easy bit.

First question - is it most likely that the shipping company will do all the relevant declarations or delayed declarations as appropriate that are needed? - presuming the shipping company is ameniable in that regard as i would like to think they all will be generlaly speaking. Ie our client only enters relevant info on vat returns from the download they can presumably magically get from hmrc (MPIVS?). I am guesing here the shipping agent generates all the MPIVS relevant info?

Second question - does our client need to spefically enter anything in their records ??

i am hoping the shipping company by  " entering the goods in their records " is sort of performing a similar function so that bit is not necessary for our clients to do.

Ie the "enter information in your records" bit they suggest you neeed to do on the website does not actually need to be done when it is know the shipping company are entering the similar info in their records?

Here is the link to the page where the advise in not clear ref the above two points.

https://www.gov.uk/guidance/making-an-import-declaration-in-your-records...

 

Replies (4)

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By Wanderer
16th Jan 2021 02:58

Check out here then come back with anything that isn't covered:-

https://www.accountingweb.co.uk/content/brace-for-brexit

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VAT
By Jason Croke
16th Jan 2021 16:54

The freight agent should complete all the necessary paperwork but they still have to receive instructions from you. Postponed VAT Accounting is not automatic, so without telling them otherwise, the freight agent will just pay the import VAT to HMRC and then send you a bill for that and a C79 comes in the post s month later and then you can reclaim the VAT.

If you want freight agent to use postponed accounting you have to tell them.
https://www.gov.uk/guidance/check-when-you-can-account-for-import-vat-on...

The MPIVS is nothing to do with the freight agent, the MPIVS is like a C79, you need to register for the Customs Declaration Service (CDS) and this is where you pull off your monthly MPIVS and that is what you use to declare on your VAT return under postponed VAT accounting.

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Replying to Jason Croke:
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By jwgrogan
17th Jan 2021 13:03

Jason Croke wrote:

The MPIVS is nothing to do with the freight agent, the MPIVS is like a C79, you need to register for the Customs Declaration Service (CDS) and this is where you pull off your monthly MPIVS and that is what you use to declare on your VAT return under postponed VAT accounting.

Do you know if I as an agent can register for CDS in order to get MPIVS for completing VAT Returns, or will the client need to pull them off and send them to me? Thanks

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By tom123
17th Jan 2021 19:13

The complexity, here, for me as a UK manufacturer is that I am not as in control of goods that arrive as I am of those that leave.

For my sales, obviously I have my preferred shipper. For my suppliers, well, they will use whichever freight company they feel like on the day.

I also have a deferred VAT account set up in case it is needed, but, even so, I probably really need to tell all the suppliers about it.

Maybe a job for tomorrow morning!

(thinking about a shipment en route from CZ)

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