For DDP there will be a 50p per item handling fee payable to Royal Mail alongside the VAT and duty we charge back to you. It wont cost you a penny. 10% of refunds made by payable order are returned each year, uncashed HMRC's preferred method of electronic payment is Direct Debit, as this means the payment details are verified and, unlike BACS and similar transfers, payments should be allocated automatically to the taxpayer's account. A PO is sent to a taxpayer who makes an in-year claim (i.e. Please note: In accordance with Government guidance, if you are dispatching goods from Northern Ireland to the EU, IOSS cannot be used to declare and pay VAT on your EU sales. Upon receiving a repayment notification, taxpayers can request repayment via Bankers Automated Clearing System (BACS) through their online Personal Tax Account or over the phone. We currently believe only a small number of items are now being returned. EU recipient is contacted in country and pays VAT owed before receiving item, UK seller registers for VAT themselves, via an intermediary, collects VAT and completes monthly tax returns, UK seller sells through an IOSS registered marketplace, so the marketplace take on the responsibility for collecting and paying VAT on B2C items with the value of 150 or below, Allows UK sellers to collect and pay tax and duty on goods that would otherwise be paid by the customer before delivery, UK seller uses trusted partners to a) provide support in registering and completing tax returns, or b) completely take care of EU VAT compliance instead of the seller, to simplify the process for collecting and paying VAT on B2C items with value up to 150, Saves on third party costs and often uses in-house tax expertise or resources, Full and accurate electronic customs data is required for IOSS and DDP, Items without full and accurate data will be sent / delivered as DDU. Do note, while we always aim to give you accurate product info at the point of publication, unfortunately price and terms of products and deals can always be changed by the provider afterwards, so double check first. Cut a long story short no money has gone in. Those in the proactive group felt strongly that it was not their responsibility to claim the payment, but rather HMRCs role to correct an error. Participants felt that notification about the repayment reason and process would be important for this option. It's not just about your expenses, either. We then send it to HMRC who will review it. This is operational now to Germany, France, The Republic of Ireland, The Netherlands, Portugal, Austria, Cyprus & Malta. Royal Mail will not be responsible for these. As they expected the reclaim process via Personal Tax Account to be relatively straight forward, they did not see much need for additional points of confirmation. It can also be used for items with value up to 150 if IOSS is not suitable for you. The main barriers to claiming their repayment via online BACS were as follows: taxpayers with low digital confidence, limited knowledge of tax affairs and poor digital access faced capability barriers such as low awareness of the repayment process, motivational barriers including a preference for the existing process due to low trust in online services, and opportunity barriers including limited access to the internet, knowledgeable and digitally confident taxpayers, who manage their finances and taxes regularly, faced an opportunity barrier whereby they did not always receive their repayment notification, digitally confident taxpayers without a thorough knowledge of tax affairs lacked motivation to persevere with the sign-up or the authentication process if they encountered any difficulties such as username and password retrieval and not having the right documents for verification, taxpayers with limited knowledge and experience of tax affairs did not always read their repayment notification thoroughly, did not engage with the detail of the letter, and often misunderstood the key messages. Linked to a preference for online, another motivational facilitator driving taxpayers to claim online was a dislike of cheques and a strong preference for bank transfers. Universally, participants preferred the option of receiving the money as a lump sum rather than paid across the year. For this reason, the idea of a banking app was regarded as easier and more secure than entering bank details online. Solved: Paying HMRC - QB Community On reflection, participants were willing to confirm their bank details with HMRC and proposed that HMRC could suggest the bank details they thought were correct for the repayment recipient to confirm, for example by sharing the last 4 digits, avoiding the need to enter any bank details or log into a secure site. (b) What are their overall reflections of their experiences of the repayment process?
