The government has announced that the current C79 monthly certificate by HMRC which works as evidence of import VAT been paid is moving online.
The days of receiving a paper copy of your C79 certificate are almost over.
What will happen now?
- Customs Handling Import and Export Freight (CHIEF) will close on 01/10/2022
- Users will need to switch to the Customs Declaration Service (CDS)
- HMRC will be in contact with affected businesses
- The C79 can be obtained online instead using government gateway via this link (statement will be available for six months)
What about postponed accounting?
Postponed accounting was introduced at the start of 2021 and is still an option available to VAT registered businesses. Postponed accounting is a measure that improves cashflow. Rather than paying import VAT at customs and then reclaiming it via the next VAT return. By using postponed accounting, you do not pay any import duty at customs, you simply declare and reclaim import VAT on the same VAT return.
Your local AIMS Accountant can provide further guidance on this topic and clear your doubts on what you should be doing or not, so get in touch.