Form C79

What is Form C79:

This form is also recognized as an import Certificate (C79) in the UK. It is a document issued by HM Revenue & Customs (HMRC) that demonstrates the amount of Value Added Tax (VAT) paid on goods imported into the country. It is used to provide evidence of payment of the VAT, which is essential for reclaiming the tax.

From 1st January 2021, goods imported from the UK to the EU (European Union) are not considered intra-community purchases anymore. They are now considered as imports. Because of this, it is necessary to submit customs declarations, pay customs duties, and pay the value-added tax on imports.

How Does C79 Look Like?

It consists of two double-sided A4 size sheets and it is generated with an EORI (Economic Operator Registration and Identification) number. An EORI number is mandatory for customs clearance in the customs territory of the European Union. That relates to all customs operations such as export, import, and transit.

Import VAT Certificate:

This form is also known as an Import VAT Certificate in the United Kingdom. It is a document issued by HM Revenue & Customs that shows the amount of VAT. Import VAT is typically issued to the importer and serves as proof of the VAT paid on the imported goods. It is important to note that import VAT must be paid on most goods imported into the UK, regardless of whether the business  VAT is registered or not.

As a business owner in the UK, it is important to be aware of various taxes that apply to your operations. One such tax is VAT, which must be paid on most goods imported into the country. To provide evidence of the payment of VAT, an import VAT issued by HM Revenue & Customs.

How to Get the C79 Certification?

•         Login to your HMRC online account or register if you have not made an account already. You will need to give your VAT registration number and other personal information to set up an account.
•         Once you log in select the VAT option from the available list of services.
•         Under the VAT section, you will see a link for “View your VAT Certificate” Click on this link to view your certificate.
•         If you need to print your certificate, you have options to print or download it in PDF format.
•         If you are facing any problem in accessing your HMRC online account, you can contact to VAT helpline on 0300 200 3700 (Monday to Friday, 8 am to 6 pm).
•         It is important to keep your VAT certificate safe and secure, as it contains important information about your VAT registration and transactions.
•         The way you get this certificate depends on how the customs declaration for your goods was made. HMRC will send you a certificate as evidence that you have paid import VAT. It is issued monthly, around the 24th of the following month, after the month during which you paid VAT on import.

What is Import VAT?

Import VAT is a tax which has to be paid on goods purchased in another country.  It is usually paid at the border.  On most goods imported to the UK, a tax of 20% will be charged. The import VAT is not only calculated on the cost of purchasing goods, but you pay VAT on all costs that are associated with the purchase and delivery of goods to the UK.

So, if you are importing goods into the UK and you are registered for VAT, you have to pay the import VAT, but you can then apply for an input tax refund. To do this you need the C79 certificate.

Evolution and Current Status of C79 Forms:

In the past, these forms were issued in paper format and sent by post. However, since 1st October 2022, HMRC has ceased issuing these forms in the post. Now these forms are obtainable through the Customs Declaration Services portal, the same platform used for (PVA) Postponed VAT accounting.

Purposes and Benefits:

These forms enable businesses to reclaim VAT on eligible expenses, thus reducing their overall VAT liabilities. This form gives a detailed breakdown of the VAT paid, including the VAT registration number, the period covered, and the total amount paid on entitled purchases and expenses during the specified period. By reclaiming VAT through these forms, businesses can enjoy cost savings, improved cash flow, and compliance with VAT regulations, providing a competitive advantage to the market plan

Obtaining and Completing:

VAT-registered businesses automatically receive C79 from HMRC for each VAT accounting period. It is essential to note that businesses are not required to supply extra information or complete any sections, as it is a declaration of VAT paid for a specified period. However, it is critical to double-check the form for completeness and confirm that all applicable VAT has been included.

Claiming VAT refund: 

To claim a VAT refund by using the C79 form, businesses should review the form for accuracy, identify the VAT paid on eligible purchases and expenses during the covered period, record the VAT amount as input tax in their VAT records, and include the VAT refund in the VAT returns for the corresponding period. It is difficult to maintain accurate and up-to-date VAT records to support any VAT reclaims made using this form.

Important FAQs about C79 Form:

How do I correct errors on the C79 Form and discrepancies in the VAT amount?

If you find any discrepancies in the VAT amount, you should contact HMRC directly.  It is important to provide detailed information about the discrepancies and relevant documentation to support your claim. HMRC will guide you further regarding the matter.

Can I use Form C79 for services or it is limited to goods only?

 This Form is especially for claiming VAT on goods imported into. It does apply to services. For VAT reclaims on services, other processes on documentation are required as guided by HMRC.

Is there any Deadline for claiming VAT refunds?

Yes, there is a deadline for claiming VAT refunds by using Form C79. Generally, you must claim your VAT refund within four years from the end of accounting in which the import occurred.

Does Brexit impact businesses importing goods from the European Union?

The Brexit rules have been changed for importing goods from the European Union. Form C79 is still used to reclaim VAT on goods imported into the UK, but the specifics may vary depending on new trade agreements and regulations.

What should I do if I have not received form C79?

If I have not received this I should check my online account at HMRC earliest. If the form is not available then contact HMRC.

A digital copy of the Form is sufficient or do I need a hard copy?

A digital copy is also acceptable for VAT records. There is no need for a hard copy.

What are the Common mistakes when using form C79 for reclaiming VAT?

The common mistakes include not linking the VAT correctly to imported goods, and missing deadlines for VAT reclaims inaccurate VAT records. Ensure that all information should match your import documentation.

What happens if I lose my C79 Form?

If you lost your form, you can download it from the HMRC online account again.

How Long Should I Keep Form C79 Records?

You should keep your records for at least 6 years as HMRC may ask to see records.

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