Customs oldtimer

The C79 amount should reflect exactly the import VAT paid to HMRC as this is generated by the customs declaration. It is the C79 that is the proof of the input vat recovery amount not the invoice from the delivery company . It’s hard to provide exact comment on the invoice but The invoice from the delivery company is likely to include the disbursement for any Import VAT they paid on your behalf. It may also include some charges for customs duties and charges they make for them to pay or collect the taxes from you. It’s worth checking details of the invoice.

Hi HMRC Admin I think they key point being made by Weronika is that this is not an isolated incident but something that is happening to multiple overseas VAT applicants. There have also been some other threads reporting the same type of issue. Is there a system issue or has there been a change of policy or procedures from HMRC.

Hi Standard method 1 valuation can’t be used for returned goods as there is no sale. The value must therefore be determined by use of one of the other valuation methods. Check out the working out the customs value of your goods webpage on .gov website. Even if you think the value declared is too high there still shouldn’t be any duty to pay. You can usually only claim import VAT relief if the exporter and importer are the same and the goods were not zero rated at export. Most companies will zero rate an export for UK VAT . So you may not be eligible for VAT relief at import in any case. Again if you have paid VAT then you should still be able to reclaim it though your VAT return as a C79 will be generated . Is there any reason why you can’t recover the import VAT through your VAT return. This is easier than getting the entry amended. I am also surprised that postponed VAT was not used as means of securing the VAT amount. If you do insist on amending the entry then you can ask your agent to do this. If duty has been overpaid a c285 must be submitted however note the wording of the notes to reclaims reproduced below with regard to import VAT. If you are a VAT registered business, you must not use form C285 to claim for repayment of overpaid VAT, any adjustment must be made through your VAT return. Adjustments to a VAT return are subject to normal VAT rules

Sorry but I have just noticed that there is an incomplete sentence at point 4 of my previous answer. You can only recover import VAT if you are entitled to do so. This means the purchase must be for use in your business and meet HMRC rules for input VAT recovery.

You should look at the duty relief requirements for inherited goods . https://www.gov.uk/guidance/pay-no-import-duties-or-vat-on-inherited-goods

1. As a business you need an EORI to import so it’s not clear how an import happened without one. 2. You should have mentioned your VAT number when you applied for your EORI. If you did your EORI will contain your VAT number. 3 if your VAt EORI is used on import and you pay the import VAT a C79 will be generated. 4. The C79 for the previous month will appear in your CDS account and contain details of all imports that month. Details of the MRN of the import will show on the C79. Remember you can only recover import VAT if your import is C79s are not issued retrospectively 5. Why don’t you use PVA if you are VAT registered and the import is for your business and you are entitled to import VAT recovery- you don’t need to apply to use it. https://www.gov.uk/guidance/check-when-you-can-account-for-import-vat-on-your-vat-return#who Non monetary amendment s including revised VAT or EORI details can be made - perhaps one of the HMRC admins can provide a link to the HMRC post clearance amendment team.

If you have an OPR authorisation then you should find details there on procedures. The relief can also give VAT relief. This is all in HMRC guidance https://www.gov.uk/guidance/using-outward-processing-to-process-or-repair-your-goods You’ll pay duty at re-import on charges made for repair or replacement, plus any inward shipping and insurance costs you pay for the return of the goods. VAT is charged on the repair costs, plus outward and inward freight charges and duty, but excluding insurance charges. You do not need to pay duty on goods that have been repaired or replaced free of charge, by the manufacturer or seller, under a guarantee. You will need to pay duty on the value of any warranty or service contract that was not included in the original import value. This is because the cost is considered part of the overall value of the repaired or replacement goods. For replacements, you will be charged VAT on the full VAT replacement value. If you don’t own the goods then it’s unlikely you can reclaim any import VAT paid. You need to follow the requirements for import VAT recovery.

A C79 is not a reclaim form but a certificate of VAT payment made by a VAT registered business. In 2022 it should have been sent to you by HMRC. They are now available to download from your CDS account. You the n reclaim the amounts on your VAT return. If you haven’t paid UPS yet I would keep pestering them. If you have paid then to make a reclaim of customs duty you need to apply online using a C285. You have 3 years from the date of import to do this. As I am not an HMRC employee I can’t post a link but if you search for the c285 on the .gov website it should find it.

Firstly I am assuming the charges relate to UK Import charges. If so UPS should have declared the goods as returned goods as they had all the required information to do so particularly as they had exported them for in the first place. It should therefore be possible to amend the customs declaration and reclaim any import duties. If UPS won’t help and you can get entry details from UPS then you can claim yourself. If some of the charges were import VAT as is likely you should have a C79 to enable you to reclaim that through your VAT return. On a separate point goods can incur duty and tax charges on any goods crossing the border whether there is a sale or not. The preferential trade agreement does not allow duty free returns instead returned good relief must be used to exempt import duty.

Whether the importer is VAT registered or not or whether they are using PVA has no impact on the value that should be declared. Normal customs value rules should still be applied . If they are using PVA The increased value will not however impact the importers cash flow only the amounts declared on their VAT return . You haven’t mentioned import duty so I assume the product is zero rated. It is also worth exploring if there is any option for reclaiming the VAT incurred in South America- there may be some sort of VAT export scheme.