VAT process for a Indian exporter with no presence in UK

Dear members, 1) I am an India based exporter 2) I have an order from a UK retailer 3) They want me to supply them goods Landed duty paid at their door step. 4) I need to pay import VAT while clearing the goods at UK customs. 5) How do I get this VAT reclaimed back? 6) I dont have a UK bank account? I dont have a UK registered company.

Hi Firstly I would recommend negotiating different terms of supply. As a non uk resident business what you are trying to do is very difficult. Acting as an importer when you are not A Uk resident business is possible in law. You must however appoint a customs import agent to act as your indirect representative. In practice very few customs agents would be willing to do this as they become legally liable for duties jointly with the importer. Only VAT registered businesses can usually reclaim import VAT back. Any import duties due are not recoverable. If you are also making taxable supplies ( ie the onward sale to the UK business ) then you are obligated to register for VAT . This would be as a non established taxable person. There is a zero threshold for VAT registration in these circumstances. Registration of a UK business would not solve the problem unless it is clear there is physical presence of a business in the UK. If your customer is willing to act as importer the process is much easier for them as a uk based business. I suggest you get some professional advice .

Hi,

If you are importing goods in to the UK and you are the importer of record then you will be making taxable supplies in the UK. This will mean that you would need to register for VAT in the UK.

As you are the importer of record you will receive a C79 Certificate which will allow you to recover the VAT you have paid for the import.

Check how to get your import VAT certificate (C79)
Who should register for VAT (VAT Notice 700/1)

If you need to register for VAT please include all your details including your bank details.

Thank you.