By now, most companies already know about the IOSS. The new system that went into effect in July 2021 and regulates the import of goods into the European Union. However, many don’t know that there are similar rules in place in the United Kingdom.
If a company wants to import goods to the UK, they must declare their goods with HM Revenue & Customs (HMRC) and pay VAT for all goods valued at £135 or less. And while these rules have been in effect since the beginning of 2021, they haven’t been enforced very strictly. However, now HMRC has decided to double down and start making sure VAT is paid. Whether you ship goods from the EU, USA, or Asia.
To help businesses handle these regulations and to offer fiscal representation for the companies wishing to stay compliant with the UK rules, Eurora has developed a VAT Agent Service. This VAT Agent Service is meant for all non-UK businesses who sell goods with a value of £135 or less directly to UK consumers. It offers a wide range of benefits from VAT number registration to representation with the HMRC.
UK VAT Agent service
With Eurora, you’ll have a personal tax specialist. One who manages the VAT registration process in the UK and helps you quickly get the UK VAT number that you need. Getting it may take more than 30 days. So even if you think about starting to sell to the UK in the future, it is wise to start the process early. As written in Gov.uk: “You cannot charge or show VAT on your invoices until you get your VAT number. However, you’ll still have to pay the VAT to HMRC for this period. You should increase your prices to allow for this and tell your customers why. Once you’ve got your VAT number you can then reissue the invoices showing the VAT.” So, if you don’t collect VAT from your customers, you must pay it out of your own pocket.
Eurora will also take care of all your tax return submissions and help you make all the required tax payments. Also, Eurora will represent you in front of the HMRC, making sure you are 100% compliant with all the UK tax regulations.
Eurora’s regulatory compliance platform
The UK VAT Agent service is only one of the many different services we offer companies handling cross-border trade. Global trade compliance is getting more and more complicated every year. That is why, Eurora has automated and simplified every step of the supply chain. And offers online sellers, marketplaces, and logistics companies one platform for all their needs.
Eurora offers a wide range of services from HS Code Allocation, Electronic Declarations, Duty & Tax Calculations to Fiscal Representation. Being an AI-based platform, with these services and solutions, Eurora saves companies a lot of money and time. And allows companies to move faster, scale quicker, and grow their business.
Eurora’s powerful AI/ML engine assigns e-commerce product transactions the appropriate and mandatory HS code. Then it calculates VAT and duty amounts, and automatically creates and delivers the electronic declarations to customs. And gets a reply on the release of goods with a few minutes.
Being a fiscal representative for all cross-border transactions for non-EU sellers shipping products to EU or UK customers makes Eurora the only company to offer a 100 percent complete compliance service for everyone involved in cross-border trade.