07 June 2021 
Andrea Marshall, Tax Specialist
In the following News Article, Andrea has pulled together the current guidance from HMRC on Duty Deferment Accounts, including what they are and links on how you apply and for those in Great Britain how remove any financial guarantee that you have in place.
This article will be updated as the guidance evolves.
***Update as at 7/6/21***
Set up a Direct Debit for a duty deferment account on the Customs Handling of Import and Export Freight system HMRC has updated the list of banks where you can fill in a direct debit instructions form on line and email it to them (rather than having to print and post a form.)
***Update as at 4/3/21***
You can now Cancel or amend your duty deferment account in Great Britain using an online form – the link takes you straight to your Government Gateway login page
Set up a Direct Debit for a duty deferment account has been updated because we have now left the EU and includes further information on the “secure data transfer method” temporarily set up with certain banks due to COVID-19.
Check if you need a customs guarantee has been updated to reflect the fact that we have left the EU. Separate guidance is included for GB and Northern Ireland.
HMRC has updated information about how to apply for a guarantee waiver within Check if you can get a guarantee waiver for a duty deferment account in Great Britain and Tell HMRC more information if you are applying for a guarantee waiver for duty deferment payments in Great Britain provides more information about how to apply for a waiver over £10k per month
***Update as at 15/1/2021, HMRC has updated Set up a Direct Debit for a duty deferment account with details of using Drop box or Google Drive app to send in scanned version of Direct Debit instructions to HMRC.
***Update as at 5/1/2021, HMRC has updated How to use your duty deferment account with information on how to change or amend your duty deferment account in Great Britain
***Update as at 4/1/21, HMRC has issued Apply to use Simplified Import VAT Accounting, which sets out how businesses can apply to have a duty deferment account that only covers import duty - not import VAT. Please note that it can take up to 120 days for HMRC to grant approval, in which time, a guarantee to cover import, excise duties and import VAT must still be in place. There is no differentiation in this guidance between imports from EU or non-EU countries.
***Update as at 1/12/20, HMRC has issued Guidance that summarises the position post 1 January 2021.***
***Update as at 10/12/20***HMRC have updated Apply for an account to defer duty payments when you import or release goods into Great Britain from 1 January 2021 with a new address that should be used if you need to cancel or amend your duty deferment application (GB business only)
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HMRC has updated its guidance on How to set up an account to defer duty payments when you import goods.
This sets out the CURRENT rules. These rules will still apply to Northern Ireland from 1 January, but there is a separate guide Apply for an account to defer duty payments when you import or release goods into Great Britain that sets out the rules for Great Britain from 1 January 2021
Some members will not have a duty deferment account and may not be familiar with them. In a nutshell, a Duty Deferment Account is used to QUICKLY meet Customs Duty, Excise Duty and Import VAT liabilities on the arrival on goods in the UK - so it can help to avoid delays when importing goods. On the arrival of the goods in the UK, the Duty Deferment Account is used, goods cleared and the business makes one payment per month to HMRC to cover all liabilities.
But CURRENTLY to have a Duty Deferment Account in place you need to set-up some form of financial guarantee that will be sufficient to meet the maximum monthly liability that you expect to have. Obviously, it costs to have a financial guarantee in place.)
(It should be noted that Import agents will let you use their Duty Deferment Account for a charge and you usually have to settle the liability in a few days of import.)
From 1 January 2021, Northern Ireland business still need to have a guarantee in place.
But for Great Britain, from 1 January 2021, the guarantee is no longer required, provided that you have applied for a guarantee waiver (see Check if you can get a guarantee waiver for a duty deferment account in Great Britain for further information.)
There are 2 types of guarantee waiver approvals:
To be approved for a guarantee waiver, you basically need to have a "clean record" and have sufficient assets. This guide Tell HMRC more information if you are applying for a guarantee waiver for duty deferment payments in Great Britain tells you how to apply.
For those members who already have Duty Deferment Account and have a guarantee in place, you can apply to amend your account and remove the guarantee. See Cancel or amend your duty deferment account in Great Britain.
