Customs Payments - SIVA

Payments to HM Revenue & Customs can be taken from an importer's deferment account for VAT and duty owing on imported goods. In order to operate a deferment account with customs, an importer will have to provide security for the payment of VAT and duty, usually by way of a bank guarantee.

Being approved for SIVA (Simplified Import VAT Accounting) eliminates the need to provide deferment security for Import VAT. Successful SIVA approval therefore can allow the importer to reduce the size and cost of the guarantee required for their deferment account, or may allow them to operate a larger deferment account without the need to increase the guarantee. You will need to have been VAT registered and continuously trading for three years before applying for SIVA if you apply before January 2015. 

Changes to the existing SIVA criteria which will apply from 1 January 2015. The current criteria states that an applicant must have been VAT registered (and continuously trading) for three years or more.
Under the new criteria, HMRC may consider businesses with less than three years VAT registration (and continuous trading history) for SIVA authorisation where the granting of the authorisation poses no risk to the revenue. 
Businesses with less than three years VAT registration (and continuous trading history) will be subject to additional financial solvency and risk credibility tests.

For assistance in the deferment account, SIVA application process or an audit of your current customs procedures please contact us;

Telephone     0113 815 2830