Purchase orders for imports

• Key points for purchase orders
• Invoices from the import agents / fast parcel operators
• Marketplace orders

Key Points for purchase orders

• Use the IMPORT20% code in CUFS to pay the Import VAT due on purchases of imported goods from all overseas suppliers.
• If medical exemption VAT relief is appropriate - use the ME0% CUFS code.
• Wherever possible, purchase orders for imports should be raised using the University Standard Terms & Conditions to request our preferred INCOterms 'DDP' (delivered duty paid) to mitigate the University's duty costs and import obligations. Care should be taken to ensure that DDP can be properly used (see Incoterms)
• Our POs contain important information such as our EORI number (GB823847609000) and instructions that we wish to use Postponed VAT Accounting (PVA) to pay for any import VAT due on our VAT return.

Invoices from the import agents / fast parcel operators

• When processing import agents' invoices on CUFS please code any customs duty costs and fees to the same IMPORT tax code used for the invoice from the supplier for the imported goods.
• If you are invoiced for import VAT by an agent, you must change the tax code for the related supplier's invoice to 'NO UK VAT' to avoid a double import VAT charge to you cost centre.

Marketplace orders, Imports & Medical exemption VAT Relief

There have been issues arising when goods are shipped from abroad by Marketplace suppliers and medical exemption VAT relief is to be claimed. This includes instances where UK suppliers sometimes source and ship items directly from overseas to the University and Departments are unaware that they are involved with an import until the items are delivered and/or the payment of import VAT or duties requested.

When raising a purchase order that is coded to ME0% (medical exemption), please ensure you complete the drop down selections for medical exemption qualifying goods and qualifying use – this will generate a completed and signed medical exemption certificate for approval.

As an interim measure, once the order has been approved on CUFS, please contact the supplier directly in all instances where you know there is to be an import to ask them to provide the medical exemption certificate to the carrier / fast parcel operator. You may also need to provide this certificate with clearance instructions to the import agent.

The Procurement Team is working with key suppliers to improve the flow of import information and documentation to overseas suppliers and ultimately to improve the accuracy of the import entries to help alleviate these issues.