Import VAT repayments
HMRC have announced an administrative change to the process for businesses claiming import VAT repayments. With effect from 1 March 2011, overpayments of import VAT should be re-claimed via the VAT return under the normal VAT rules.
The change has been put in place to correct an anomaly that saw businesses using the repayment application forms C285 or C&E 1179 to claim import VAT repayments.
This change in process is only for fully taxable VAT registered importers. Businesses that are not VAT registered or who are partially exempt importers should continue to request repayments using the current system.
Any repayment claims for import VAT made by fully taxable VAT registered importers on a C285 or C&E 1179 form after 1 March will be refused. HMRC will amend the relevant forms and public notices in due course.