Import VAT on imported Zero Rate VAT products

Hi, I am trying to figure out how do handle the following situation and what forms do I need to do this. I want to import chocolate powder from EU country. As per the Trade tafiff, there is no import duty as the product is produced in EU. Harmony code: 1806907010 The product is VAT zero rate in the UK as per the Trade Tariff and VAT guidelines. Upon import do I have to pay 20% VAT? I am currently not registered for VAT, but to claim back the import VAT I need to be as far as I know. Do I have to claim back the 20% VAT added import VAT or is there a way for us not to even pay it in as the product is Zero rated? I tried to call HRMC helpline but they could not give me an aswer. Thanks

1. If you are sure the product you will import is zero rated then that needs to be declared at import. This commodity code has the option to declare both standard an zero rate depending on the exact nature of the product. 2. The product is only duty free from the EU if the goods meet the qualifying conditions and you have the required proof of origin from the exporter as per the trade and cooperation agreement. The standard rates of duty will apply otherwise. 3. You cannot claim import VAT back if you are not VAT registered. 4. How the goods are imported will dictate how the customs declaration is made mostly this is done electronically by the freight forwarder or courier . There is not a ‘form ‘to use.

Hi,

Preference can be claimed on customs duty as long as goods meet rules of origin and to claim zero rated VAT, traders need to be VAT registered in the UK and products need to meet certain criteria.

You will need to check the trade tariff below and speak to our VAT team.

UK Integrated Online Tariff

VAT: general enquiries

Thank you