Customs oldtimer

Whether an item is standard or zero rated for import VAT depends on what the exactly the goods are so you need to check whether the goods are on the list of zero rated items. If not they are standard rated. There’s a link in the tariff. Whether the goods are for personal use , leisure purposes or the importer is VAT registered is irrelevant.

No not unless you register for VAT in Ireland. Depending on whether you are or customer is declared as the importer you may also trigger a requirement to register for VAT in Ireland in any case. The normal registration thresholds do not apply to non resident businesses. Presumably as you are charging your client based on DDP Incoterms you will already be charging them the total of all the import charges including an amount equivalent to the Irish VAT in any case .

For imports into the UK the only country / territory where a REX registration number needs to be shown on the statement on origin is the EU. When the UK left the EU it lost access to the REX system which is an EU scheme. The acceptable proofs if origin for UK agreements are listed in the online UK tariff schedule . https://www.trade-tariff.service.gov.uk/rules_of_origin/proofs Where a statement on origin is an acceptable proof then the exporter number will be needed . Depending on the agreement it may be the exporter tax registration number or an approved exporter number. An approved exporter number is not however the REX number.

It is unfortunate that none of the couriers you have chosen have been unable to successfully make an authorisation by declaration ABD export and reimport. The courier model is based on very quick declarations and often less standard declarations seem to cause problems . I assume that you have made the appropriate requests / instructions to them at both export and reimport. There is nothing in any published guidance or the notes to CPC 210004 that would suggest it is restricted to repairs where there is no cost. https://www.gov.uk/government/publications/uk-trade-tariff-customs-procedure-codes/exports-customs-procedure-codes#customs-procedure-codes-starting-with-21 I would therefore be interested in knowing where to find the Department for International trade advise that CPC 2100004 cannot be used for repair where there is a cost. Reimports are likely to be using CDS. So DE1/10 6121 then DE1/11 B02 if it’s a free of charge repair or DE1/11 000 if it isn’t. A calculation of duties due then needs to be made. It is one of the few occasions where a manual calculation may be needed. There are various other document codes that also need to be declared . They also need to check the Uk tariff supplement as there are specific instructions for ABD declarations. https://www.gov.uk/government/publications/customs-declaration-completion-requirements-for-great-britain If this is going to be something regular then I suggest you apply for a full authorisation so you can use outward processing as many times as you want.

Hi You should not issue an invoice mentioning charging VAT if you are not VAT registered. If you have issued an invoice showing you have charged 0% VAT then this is still a rate of VAT so you have in effect charged VAT but at 0% .Your customer may therefore be expecting you to mention a VAT number. If you are not VAT registered then you should not mention VAT at all on your invoices.

The HMRC guidance is pretty clear on what to include in the value. https://www.gov.uk/guidance/using-outward-processing-to-process-or-repair-your-goods You do need to consider whether the goods are repaired free of charge under a guarantee that came included with the goods or actually as a consequence of a paid for extended warranty.

The invoice will not necessarily tell you which party is the exporter. The exporter/ declarant may be the seller if they have agreed to act in that capacity ,it could also be a shipper haulier or customs agent who would never appear on an invoice. If the party not established in the UK cannot legally be the exporter I would expect them as the party engaging the customs agent to provide the ‘exporter’ details in their clearance instructions. What should never happen in EXW is the seller being declared as the exporter without their agreement and authority.

Hi Under EXW the seller has no further obligation to the buyer once the goods have been made available to the seller at your premises. The buyer is responsible for loading and transporting the goods and has no obligation to export the goods at all. You rightly say that the non UK established buyer cannot act as the exporter . Someone else who is established in the UK who has the power to ensure the goods are exported can act as the exporter. The buyer will be exporting their own goods so strictly speaking the seller has no obligation to provide a commercial invoice for export. As previously mentioned EXW is high risk for a business wanting proof of export to be able to zero rate the export. I would strongly recommend FCA Incoterms instead meaning the UK seller has control of the export. The buyer can still pick up at the seller’s premises. You need to look at the full Incoterms rules not just the charts .

Hi AHG I suggest that you engage an accountant or advisor who will help with the set up of a business and advise on your business and personal tax position. There are many rules about registration of your business and requirements for separation of your personal and business tax and banking.

How a drop shipment is accounted for will depend on where you are based , whether you are drop shipping to individuals or to businesses and who will be the importer. There is an import duty relief on goods in consignments below £135 but VAT is due on all shipments whatever the value. How that VAT is accounted for again depends on whether the shipment is to individuals or businesses. There are specific rules for overseas businesses selling to private individuals.