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From: IT Service Manager of CDIO EPS Enterprise Integration Services, part of the Software Developer Support Team at HMRC, received 25/11/2020, reference EOT-3961
Postponed VAT Accounting / PVA
Is there any requirement in order to use Postponed VAT Accounting?
No, as the system currently automatically identifies ‘Acquisition VAT’, from the EOTP onwards it will continue to do so for stocks receipted before the EOTP. For stocks receipted after the EOTP, instead of using ‘Acquisition VAT’, the same entries (plus receipts from ALL other countries - not just the EU) will use ‘Postponed VAT Accounting’.
If acquisition VAT stocks are relanded, will they switch to PVA?
Yes, for pre advices (including those created from transfer orders) if the ‘Received Date’ on the pre advice is on or after 1 January 2021 then acquisition VAT will no longer apply for those stocks.
Does PVA accounting check that the customer has a EORI number - if not present does it assume standard VAT?
The wiki page states "For goods received after the EOTP, acquisition VAT will become PVA VAT and the restriction of applying this solely to EU countries will be removed allowing PVA VAT to be used for imports from any country. " so basically it's the same as before, so yes the customer needs to be VAT registered.
Where PVA is used, how do we provide a summary of VAT that has been postponed to be included on the VAT return?
Vision Bond was updated many versions back (when PVA was first introduced for the day 1 no deal preparations) to show the PVA transactions on the Period End VAT Statement.
What are the conditions for applying PVA and the different VAT types?
Customer is supplier | Customer VAT registered | Owner changed in UK | Customer VAT num = deferment owner VAT num | CWC is EU country | CWC is GB | Stock receipt date | |
|---|---|---|---|---|---|---|---|
PVA |
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| After 1 January 2021 | ||
None due |
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| ||||
Acquisition |
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|
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| Before 1 January 2021 |
PVA applied if:
Customer is VAT registered
Owner has not changed in UK
Customer VAT number (at point of stock receipt) is the same as the excise deferment owner VAT number (used on the order)
Stock is receipted on or after 1 January 2021
CWC is not GB
None due if:
CWC is GB
Owner has not changed in UK
Customer is the supplier
Acquisition VAT applied if:
CWC is an EU country
CWC is not GB
Customer is VAT registered
Owner not changed in UK
Customer VAT number (at point of stock receipt) is the same as the excise deferment owner VAT number (used on the order)
Stock is receipted before 1 January 2021
Otherwise VAT will be deferred.
Moving goods to Northern Ireland
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