Exporting to non-EU countries
Exports to countries outside the EU are called exports to ‘third countries’. To do this correct you need to submit an export declaration.
Paying VAT on exports overseas
You can zero-rate most goods you export to non-EU countries, but you must:
- get evidence that the goods have left the EU
- keep a record of the export in your VAT account
You need more detailed records if your customer collects the goods from you.
Collection by customer
If your customer arranges to collect the goods from you, you’ll need to be sure how and when the items are leaving the UK, and what evidence of removal they will give you, before you agree not to charge VAT. If you have any doubts, it’s advisable to take a deposit that’s the same as the VAT that would be charged. If they give you the evidence that the goods have left the country within the time limit, you can refund the deposit.
Our practice show that customers very often not following agreed procedure, and not showing up at Dover customs, and exit border. As result, seller will not receive confirmation of export. We strongly advise to take deposit for “correct export documents”, and release it only after received correct proof of export.
All commercial vehicle traders in Europe already following this procedure, we recommend to implement this practice in UK as well.
Exporting via other EU countries
Moving goods through the EU to non-EU countries is known as ‘indirect exports’.
Indirect exports need special procedures and paperwork, which generally depend on the final destination of your goods:
- contact us for export declaration – even though the goods are initially moving through an EU country.
- you won’t have to pay VAT on goods exported outside the EU, though you’ll have to show proof that the goods actually left the EU.
To Export to EU countries, you don’t need to make Export Declaration.
The EU countries are:
Austria, Belgium, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden.