That'll teach me
I mentioned "Fulfilment Houses" and immediately got asked "what are they?".
Basically, they're premises in the UK used for holding other businesses goods. But if you jump off from there, you could run into problems. So this is what HMRC says: -
You need to apply if your business stores any goods that:
- were imported from a country outside the UK
- are owned by, or stored on behalf of, someone established outside the UK
- are being offered for sale and have not been sold in the UK before
You’ll also need to apply if the goods are released into free circulation after being stored under a customs regime.
If you store goods in Northern Ireland for sellers established in the EU and Great Britain only, you will not be required to apply for the Fulfilment House Due Diligence Scheme.
You should still apply if you store goods this way, even if you:
- do not think you’re a fulfilment business
- are registered with HMRC for other schemes that require due diligence on customers
Thankfully there are some exclusions: -
Do not apply now if:
- you own the stored goods
- your main business is transporting goods and you need to store those goods temporarily (for example, overnight) as part of your transport services
However, you’ll need to apply when the goods are released into free circulation if you continue to store those goods and they’re still offered for sale.
A link to apply to be registered can be found below.
As ever we are happy to assist new clients.
Steve Botham
11 March 2021
[email protected] (UK Businesses)
[email protected] (Non-established Taxable Persons).
Apply for the Fulfilment House Due Diligence Scheme - GOV.UK (www.gov.uk)