How to set up an account to defer duty payments when you import goods from 1 January 2021

Guide

If you need a new duty deferment account in Northern Ireland from 1 January 2021 you will also need to apply for a Customs Comprehensive Guarantee.

This guidance highlights how to set up an account to defer duty payments when you import goods or release goods from an excise warehouse when you need a Customs Comprehensive Guarantee.

If you want to use duty deferment for imports to Great Britain and Northern Ireland from 1 January 2021, you will need to apply for separate duty deferment accounts.

If you import goods regularly, you can apply for a duty deferment account to delay paying most customs charges, for example:

  • Customs Duty
  • excise duty
  • import VAT

A duty deferment account lets you make one payment a month through Direct Debit instead of paying for individual consignments.

If you want to apply for a duty deferment account to use in Northern Ireland from 1 January 2021 or the UK before 1 January 2021, you can apply for a duty deferment account if you’re an importer or someone who represents importers and have an approved guarantee or waiver in place.

Apply to defer Customs Duty

If you want to defer Customs Duty you must:

  1. Decide if you want to reduce financial guarantees by using by Authorised Economic Operator customs simplifications (AEOC)

  2. Apply for a duty deferment account and guarantee.

  3. Ask your bank, building society or insurance company to guarantee your duty payments.

  4. Fill in a Direct Debit instruction.

Apply to defer excise duty

If you want to defer excise duty (such as tobacco, alcohol or certain oils) you must:

  1. Decide whether you want to reduce financial guarantees using the Excise Payment Security System.

  2. Apply for a duty deferment account and guarantee.

  3. Ask your bank, building society or insurance company to guarantee your duty payments.

  4. Fill in a Direct Debit instruction.

Apply to defer import VAT

If you want to defer VAT you must:

  1. Decide whether you want to reduce financial guarantees using Simplified Import VAT Accounting.

  2. Apply for a duty deferment account and guarantee.

  3. Ask your bank, building society or insurance company to guarantee your duty payments.

  4. Fill in a Direct Debit instruction.

After you’ve applied

If your application is approved and a Direct Debit is in place you will get a deferment approval number. You’ll need to use this on your import declarations or to remove goods from an excise warehouse.

Authorise someone to use your deferment approval number

If you’re using Customs Handling of Import and Export Freight (CHIEF) system
You can also give someone authority to use your duty approval number using form C1207N to request deferment of duty payment.

You can also give someone authority on a one-off basis using form C1207S. This can only be done when your account is active.

If you use Customs Declaration Service
You can give someone authority to use your duty deferment account number by logging into your Customs Declaration Service dashboard and using the view your customs financial accounts service.

Cancel or amend your application

Customs Duty or import VAT
To cancel or amend your application, email: customs-comprehensive-guarantee-team.ccto@hmrc.gov.uk.

You can also write to:

Customs Comprehensive Guarantee Team
Ralli Quays
3 Stanley Street
Manchester
M60 9LA

Excise duty
To cancel or amend your application, contact the Duty Deferment Office.

Get more information

Find out more information about how to use your duty deferment account.

From 1 January 2021

If you are registered for VAT you can account for import VAT on your VAT return.

This will mean that you will not need a duty deferment account to delay paying Import VAT, or have to use Simplified Import VAT Accounting.