• Current students
      • Student centre
        Enrol on a course/exam
        My enrolments
        Exam results
        Mock exams
        Learning Hub data privacy policy
      • Course information
        Students FAQs
        Student induction
        Course enrolment information
        Key dates
        Book distribution
        Timetables
        FAE Elective Information
      • Exams
        Exam Info: CAP1
        E-assessment information
        Exam info: CAP2
        Exam info: FAE
        Reasonable accommodation and extenuating circumstances
        Timetables for exams & interim assessments
        Interim assessments past papers & E-Assessment mock solutions
        Main examination past papers
        Information and appeals scheme
        JIEB: NI Insolvency Qualification
      • CA Diary resources
        Mentors: Getting started on the CA Diary
        CA Diary for Flexible Route FAQs
      • Admission to membership
        Joining as a reciprocal member
        Conferring dates
        Admissions FAQs
      • Support & services
        Recruitment to and transferring of training contracts
        CASSI
        Student supports and wellbeing
        Audit qualification
        Diversity and Inclusion Committee
    • Students

      View all the services available for students of the Institute

      Read More
  • Becoming a student
      • About Chartered Accountancy
        The Chartered difference
        What do Chartered Accountants do?
        5 Reasons to become a Chartered Accountant
        Student benefits
        School Bootcamp
        Third Level Hub
        Study in Northern Ireland
        Events
        Blogs
        Member testimonials 2022
        Become a Chartered Accountant podcast series
      • Entry routes
        College
        Working
        Accounting Technicians
        School leavers
        Member of another body
        International student
        Flexible Route
        Training Contract
      • Course description
        CAP1
        CAP2
        FAE
        Our education offering
      • Apply
        How to apply
        Exemptions guide
        Fees & payment options
        External students
      • Training vacancies
        Training vacancies search
        Training firms list
        Large training firms
        Milkround
        Training firms update details
        Recruitment to and transferring of training contract
        Interview preparation and advice
        The rewards on qualification
        Tailoring your CV for each application
        Securing a trainee Chartered Accountant role
      • Support & services
        Becoming a student FAQs
        Who to contact for employers
        Register for a school visit
    • Becoming a
      student

      Study with us

      Read More
  • Members
      • Members Hub
        My account
        Member subscriptions
        Annual returns
        Application forms
        CPD/events
        Member services A-Z
        District societies
        Professional Standards
        Young Professionals
        Careers development
        Diversity and Inclusion Committee
      • Members in practice
        Going into practice
        Managing your practice FAQs
        Practice compliance FAQs
        Toolkits and resources
        Audit FAQs
        Other client services
        Practice Consulting services
        What's new
      • Overseas members
        Working abroad
        Working in Australia
        Overseas members news
        Tax for returning Irish members
      • In business
        Networking and special interest groups
        Articles
      • Public sector
        Public sector news
        Public sector presentations
      • Support & services
        Letters of good standing form
        Member FAQs
        AML confidential disclosure form
        CHARIOT/Institute Technical content
        TaxSource Total
        The educational requirements for the audit qualification
        Pocket diaries
        Thrive Hub
    • Members

      View member services

      Read More
  • Employers
      • Training organisations
        Authorise to train
        Training in business
        Manage my students
        Incentive Scheme
        Recruitment to and transferring of training contracts
        Securing and retaining the best talent
        Tips on writing a job specification
      • Training
        In-house training
        Training tickets
      • Recruitment services
        Hire a qualified Chartered Accountant
        Hire a trainee student
      • Non executive directors recruitment service
      • Support & services
        Hire members: log a job vacancy
        Firm/employers FAQs
        Training ticket FAQs
        Authorisations
        Hire a room
        Who to contact for employers
    • Employers

      Services to support your business

      Read More
☰
  • Find a firm
  • Jobs
  • Login
☰
  • Home
  • Knowledge centre
  • Professional development
  • About us
  • Shop
  • News
Search
View Cart 0 Item

News

  • Home/
  • News
☰
  • News
  • News archive
    • 2020
    • 2019
  • Press releases
    • 2022
    • 2021
    • 2020
  • Newsletters
  • Press contacts
  • Media downloads
  • Podcasts Chartered Accountants Ireland
  • Budget day news

Postponed VAT Accounting

Feb 03, 2021

HMRC is encouraging VAT-registered businesses who import goods into Great Britain from anywhere outside the UK, or into Northern Ireland from outside the UK and EU, to act now so that they can benefit from postponed VAT accounting.

HMRC has sent the below message about postponed VAT accounting.

“We are encouraging VAT registered businesses who import goods into Great Britain (England, Scotland and Wales) from anywhere outside the UK, or into Northern Ireland from outside the UK and EU to act now so that they can benefit from postponed VAT accounting (PVA).   

PVA allows them to declare and recover import VAT on the same VAT return, rather than having to pay it upfront and recover it later. We have published guidance on GOV.UK, which explains:

  • when to account for import VAT on your VAT Return
  • how to complete your VAT Return to account for import VAT

 

Businesses won’t need approval to benefit from PVA, but they will need to access the Customs Declaration Service (CDS) to view and download their monthly statements (in PDF format).   

They need these statements to complete their VAT returns or to send them to whoever completes the VAT return on their behalf.   

Businesses should subscribe to the new service as soon as possible to get a postponed import VAT statement online.

Importers that already have access to CDS will go straight from the new service, to their CDS financial dashboard where they can view and download their statements. Businesses without access to CDS will be automatically directed to subscribe to CDS first.  

CHIEF users who subscribe to CDS to access their statements can continue to use CHIEF to make customs declarations.  

Signing up for CDS is straightforward and takes only a few minutes. Businesses will need details of their:

  • Government Gateway user ID and password
  • Economic Operator Registration and Identification (EORI) number that starts with ‘GB’.  
  • Unique Taxpayer Reference (UTR) - find your UTR if you do not know it 
  • Address  
  • National Insurance number (if they are an individual or sole trader) 
  • The date they started their business. 
 

A common error is inputting the address incorrectly.  If the address on the application is not identical to the address that we hold, there will be delays in the processing.  To avoid this, businesses should check all the details they plan to input, and make sure the address we hold is correct and up to date.    

When an importer completes the customs declaration (on CHIEF or CDS) and indicates that they’ll be accounting for import VAT on their VAT Return, that import VAT will be shown on their monthly statement.   

CHIEF users will need to enter: 

  • their EORI number starting with ‘GB’ which includes your VAT registration number into box 8 (Header Consignee), or, if applicable, your VAT registration number in box 44h (Registered Consignee) 
  • ‘G’ as the method of payment in Box 47e 

CDS users need to enter their VAT registration number at header level in data element 3/40. VAT will be recorded against the EORI and will be at declaration level only. 

The first monthly PVA statements will be available in early February showing the total import VAT postponed in January.  Businesses should sign up to CDS now so that they are ready to complete their first VAT return under the new rules. 

Until the end of June, importers bringing non-controlled goods into Great Britain from the EU must account for import VAT on their VAT return if they choose to: 

  • delay their customs declaration or  
  • use a simplified customs declaration to make a declaration in their own records. 

There is more information on how to do that on GOV.UK.”

The latest news to your inbox

Useful links

  • Current students
  • Becoming a student
  • Knowledge centre
  • Shop
  • District societies

Get in touch

Dublin HQ

Chartered Accountants
House, 47-49 Pearse St,
Dublin 2, D02 YN40, Ireland

TEL: +353 1 637 7200
Belfast HQ

The Linenhall
32-38 Linenhall Street, Belfast,
Antrim, BT2 8BG, United Kingdom

TEL: +44 28 9043 5840

Connect with us

Something wrong?

Is the website not looking right/working right for you?
Browser support
CAW Footer Logo-min
GAA Footer Logo-min
CCAB-I Footer Logo-min
ABN_Logo-min

© Copyright Chartered Accountants Ireland 2020. All Rights Reserved.

☰
  • Terms & conditions
  • Privacy statement
  • Event privacy notice
  • Sitemap
LOADING...

Please wait while the page loads.