Find out about hm customs and excise duties

Starting a trading or manufacturing business in Britain will proceed seamlessly only if you learn about hm customs and excise duties and make all of your payments on time. Most duties and taxes in the UK are managed by hm revenue and customs or hmrc, which was established in 2005 following the merger of hm customs department with the revenue department.

In case your business involves importing goods or services from member eu states that have embraced vat then there are certain vat rules that should be followed not just in the country of origin but also in the UK. If you wish to go in for vat refund for vat already paid within the original country or if you wish to enjoy other advantages provided by vat then you will need to turn into a vat registered trader. In Britain this is achieved once you touch the vat threshold figure of £70,000 in taxable sales.

Once you import goods or services in the UK then you’ll also need to pay the appropriate customs duties according to the nature of your goods. If you plan to import alcohol or tobacco products then you’ll need to pay excise duty to the hm customs and excise department. There are 14,000 classifications furnished by the hmrc vat department and customs, excise, import vat and sales vat duties will depend on this classification.

If you have already paid vat on services or goods in a foreign country before importing it into the UK then after paying all your duties, you can still claim the vat paid in the other country by furnishing all the required details. To be able to successfully get a vat reclaim, understanding of uk vat and eu vat rules is essential. While you can easily get all the required knowledge from the hm customs and excise website you possibly can still utilize the services of an experienced customs duty and vat agent. Such an agent may help pay your customs and excise duties while also preparing your vat returns within the stipulated time. An agent with offices in other countries will be ideal as you could also go in for vat refunds in countries in which you might have already paid vat.

Once you pay all your duties and manage to reclaim vat successfully, you’ll be able to achieve ideal costs for your services and products, thus enhancing the efficiency of your business. In times of competition avoiding double taxation would be a huge asset while paying your customs and excise duties dutifully could keep yourself the appropriate side of the law. Anyway, the money that you pay as import duties and vat is utilized by the excise and customs department for public services. With technology at your fingertips, you can now pay much of your taxes including vat online by registering your enterprise at the hmrc website.

Customs and excise duties along with collection of vat forms an essential source of income to the government of the UK. In case you have started a business in Britain or have got a manufacturing facility that has to import capital goods or spares from other countries including eu countries then you’ll need to learn about hm customs and excise duties so as to quickly pay the appropriate amount of applicable duties on your imports.