United Kingdom import and export guide

• Customs authority: HM Revenue and Customs (HMRC).
• Customs system: the Customs Declaration Service (CDS). You need an EORI number to import or export.
• Import VAT: the standard rate is 20%, charged at the border on the cost of the goods plus insurance, freight and duty. Some goods are 5% or zero rated.
• Tariff: duty rates depend on the commodity code in the UK Trade Tariff, and on whether a trade agreement applies.
• Border checks: goods of animal or plant origin from the EU and elsewhere are checked under the Border Target Operating Model (BTOM).
• Exports: exports are generally zero rated for VAT, with proof of export.

Before you import

• Get an EORI number if your business will import or export.
• Find the commodity code for your goods in the UK Trade Tariff. The code decides the duty rate, the VAT rate and any licences or checks.
• Decide who is the importer of record. Your Incoterm sets which party handles import duty and VAT. Under Ex Works the buyer handles everything, and under Delivered Duty Paid the seller does.

At the border

• A customs declaration is made on the Customs Declaration Service, usually by a freight forwarder or customs agent for the importer.
• Duty is due at import. Established importers can defer payment for about 30 days.
• HMRC usually accepts the commercial invoice as the customs value. It can assess its own value if the supplier and importer have a special arrangement or the declared value is unrealistic.

Safety and security declarations and port health checks

• Safety and security (entry summary) declarations are required for goods from the EU. They should be filed at least one hour before the goods arrive at the frontier. Late filing is a common cause of held lorries at roll-on roll-off ports.
• Goods of animal or plant origin go through sanitary and phytosanitary checks. Check that the port of entry is approved for your product.

• Customs duty. The rate depends on the commodity code, the origin of the goods and any trade agreement. Look up the rate in the HMRC Trade Tariff before you quote a price.
• Import VAT. 20% standard, charged on the customs value plus duty. A 5% rate applies to some goods and services, such as children's car seats and home energy, and a zero rate to certain goods such as food and children's clothing.
• Postponed VAT accounting. Registered businesses can account for import VAT on their VAT return. HMRC has been matching these records more closely.
• Excise duties. Apply to alcohol, tobacco, road vehicles and oil and petroleum products.
• Low value goods. The US Commercial Service guide says duty is due on goods worth more than £135. Rules for low value consignments have been under review, so confirm the current position with HMRC.

Using a vague description or a four-digit code can trigger questions from HMRC. Use the six-digit or longer commodity code and a clear description of the goods.

• Exports are generally zero rated for VAT. You need proof of export to support the zero rate.
• An export declaration is made on the Customs Declaration Service, and you need an EORI number.
• Some goods need an export licence, for example military and dual-use items. Check the controls for your commodity code.

The sources I used did not set out the export steps in detail, so check the current process on GOV.UK before you ship.

The UK controls imports of goods such as drugs, firearms and ammunition, offensive weapons, counterfeit goods, endangered species and certain food, plant and animal products. Medicines, chemicals and goods covered by sanctions also need approvals or are banned. Which rules apply depends on the commodity code, so check the Trade Tariff and GOV.UK for your product before you buy.

The UK is a member of the World Trade Organization. GOV.UK keeps the list of UK trade agreements in force, and the HMRC Trade Tariff shows whether a preferential rate applies to your commodity code and country of origin. Claiming a preference needs proof of origin.

• Wrong commodity code. A wrong or vague code leads to the wrong duty, delays and questions from HMRC after import.
• Late safety and security filings. Filing after the one hour deadline can hold the goods at the port.
• Valuation. Under-declared values are a common reason for HMRC post-import checks. Keep invoices and payment records consistent.
• Fake documents. Forged certificates, invoices and origin proofs exist in every trade lane. Verify a certificate with the issuing body and check the company before you pay.