PTG Treatments, a Bolton-based provider of factory applied timber treatments, first reached out to the Chamber’s international team in December 2022 after spotting that a number of import shipments were declared using Postponed VAT Accounting without them knowing.
Postponed VAT Accounting (PVA) is a system that was put in place following the UK leaving the European Union to simplify the import process and allow businesses to postpone the Import VAT and account for it in their VAT return. However, PVA is only available to businesses that own the goods and who would then be eligible to claim the VAT back. Not only had our member not been told about the use of PVA and not accounted for it in any of their VAT return, but they also did not own those goods as the timber imported was to be processed and re-exported within a couple of months which meant they were not eligible for the use of PVA at that point.
It was decided that the compliant way forward was for PTG Treatments to obtain a full and retrospective Inward Processing Relief (IPR) authorisation. IPR is a duty relief scheme which allows UK businesses to claim relief of the import duty and VAT on goods that are being imported for processing or repair before being re-exported.
Through one of our International Professional Advice packages, the Chamber worked closely with PTG treatments to submit their IPR application. From the SP3 form submitted on 21st April 2023 to the Self-Assessment Questionnaire and additional requirements from HMRC, the full and retrospective application were received within 9 weeks allowing our member to implement IPR to all new shipments from 16th June 2023.
For more details on the work carried out with PTG Treatments, please read our case study here.
Are you in need of support with getting an authorisation for a Special Customs Procedure?
The Chamber has designed professional packages to help businesses apply for special procedures like Inward and Outward Processing Relief. For more information, please contact exportbritain@gmchamber.co.uk to speak to one of our international trade & customs advisors and discuss how the Chamber can support you with your customs compliance.
We will also be running an Inward and Outward Processing Relief training course on 12th September if you would like to learn more about the schemes and how they can benefit your business. See here for more information.
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