The government announced at Budget 2016 that it will legislate for a new due diligence scheme for fulfilment houses (3PL’s), fully effective 2018.
The Fulfilment Houses Due Diligence Scheme will help to protect revenue and level the playing field between businesses that operate here legitimately. And penalise those who seek to abuse the system by evading the correct VAT and customs duty on the goods they import and sell in the UK.
As a result, Bray Solutions will be asking all customers/freight forwarders to provide the following when booking shipments in order to comply with record keeping stipulations;
- Copy of delivery documents.
- Name, Address and VAT registration number of overseas supplier on whose behalf the fulfilment house handles goods.
- Date goods arrive, import and retail values etc.
- Customs declaration.
- Valid EORI (Economic Operator Registration Identification) number.
All customers will need to comply with their obligations to register for VAT and declare the correct amount of VAT and duty if they wish to continue operating within the UK boundaries.
If you’re not currently registered for VAT and EORI, Bray Solutions work in partnership with a Chartered Accountancy firm called Summers Morgan. The Summers Morgan team would be more than happy to work alongside you to ensure compliance to the new fulfilment houses scheme.