Duty deferment scheme

This article is about the Duty Deferment Scheme and how to apply for a Deferment Approval Number to defer paying HM Revenue & Customs charges due on:

  • Imports, and
  • certain home-produced and home-manufactured goods.

These charges are normally payable when the goods are:

  • imported, or
  • removed from a customs or an excise warehouse or from a free zone.

By deferring, you delay payment until a later prescribed payment day.

Persons who can defer payment

You can defer payment if you are:

  • an importer
  • an owner of goods in warehouse or free zone, or
  • an agent (including warehousekeepers) who enters goods for importers or owners, and are
  • approved and hold a Deferment Approval Number (DAN) which identifies your duty deferment account.

Benefits of duty deferment

The main benefits of duty deferment are :

  • you delay paying the charges for an average of 30 days
  • you do not have to pay immediately each time you want to clear your goods. By inserting your Deferment Approval Number (DAN) on import entry documentation you can settle a month’s charges with a single payment using the convenience of direct debit, and
  • HMRC can normally clear your goods more quickly because they do not have to handle payments for each transaction.

For more information regarding setting-up a duty deferment scheme please contact us.