Rejected imports

By Tolley

The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Rejected imports
  • Obtaining a refund or remission
  • Recovering import VAT
  • Specific situations
  • Repayment of excise duty
  • Making a claim

This guidance note ceased to be valid with the introduction of the UCC with effect from the 1 May 2016. Please see the notes in the Union Customs Code subtopic for more information on the procedure that should be used to recover customs duties paid under the UCC.

This guidance note provides an overview of how an importer obtains a refund of import VAT and customs duties in respect of rejected imports. Please see the Import customs procedures guidance note for more information on how to reclaim import duties and VAT in other situations that are not covered by the scope of this guidance note.

Obtaining a refund or remission

An importer is entitled to obtain a repayment or remission of import VAT and customs duty on goods that have been imported if the goods:

2913/92/EEC , Article 238; 2454/93/EEC , Article 892; Customs and Excise Management Act 1979, s 123 (subscription sensitive); VATA 1994, s 16(1); IMPS03000
  • have been rejected because at the time they were declared to a customs procedure that involved paying a charge because they were one of the following:
    • defective
    • did not meet the conditions laid down in the contract on the basis of which they were imported
    • found to be damaged before they were released

They must also:

  • have not been used more than necessary to confirm that they were damaged / defective / did not meet the terms of the contract
  • have not been sold after the importer ascertained that they were defective
  • have been exported from the EU (or destroyed or put under another specific procedure with a view

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