Guidance

EU business: taxes and tariffs

Find out more about taxes and tariffs for EU businesses trading with the UK.

This page sets out information on taxes and tariffs for EU businesses to pay when trading with the UK.

For more EU business information, visit gov.uk/eubusiness.

Import tariffs

From 1 January 2021, the UK Global Tariff applies to all goods imported into the UK unless an exception applies, such as a trade agreement with the UK.

Find out more about the UK Global Tariff.

The EU and UK Trade and Cooperation Agreement establishes zero tariffs or quotas on trade between the UK and the EU, where goods meet the relevant rules of origin.

Check import procedures with your country’s customs authority

Businesses in Europe will need to make customs declarations when moving goods between the UK and the EU. If European businesses have not completed the right customs processes their goods will not be able to cross the EU border.

You must check with your country’s customs authority what customs procedures will need to be applied for bringing goods from the UK to the EU.

Paying VAT or claiming VAT refunds

Make sure you understand the new rules for paying import VAT on parcels you send to UK buyers.

You must pay import VAT on parcels you sell to UK buyers if you:

  • are based outside the UK
  • sell goods sent in parcels worth £135 or less to UK buyers

If you sell goods sent in parcels worth over £135, the import VAT, Customs Duty (and Excise Duty where applicable) should be paid by the UK buyer and collected by the parcel operator.

Check how to claim VAT refunds on goods and services you buy from the UK.

Published 2 December 2020
Last updated 28 December 2020 + show all updates
  1. Updated to show that from January 1 2021, the EU and UK Trade and Cooperation Agreement establishes zero tariffs or quotas on trade between the UK and the EU, where goods meet the relevant rules of origin.

  2. Added translations for Dutch, French, German, Italian, Polish and Spanish.

  3. First published.