A UK-based food manufacturing business, had been struggling with the high taxes associated with importing finished products from the European Union (EU) and European Economic Area (EEA). The client approached our Customs & Global Trade Advisory experts business seeking help in reducing their tax burden, which had been affecting their bottom line for years. Falsum successfully applied for an Autonomous Duty Suspension (ADS) on behalf of the Client, resulting in over £150,000 of savings.
The Challenge:
Our client, a UK-based food manufacturing business, had been struggling with the high taxes associated with importing finished products from the European Union (EU) and the EEA Countries (Switzerland, Norway, Iceland & Lichtenstein). The client approached our Customs & Global Trade advisory experts for help in reducing their Border Tax burden, which had been affecting their bottom line for years. The client wanted a solution that would enable them to remain competitive in their market while avoiding unnecessary customs duty costs.
The Falsum Solution:
As an experienced Customs & Global Trade Advisory, we knew that there was a solution to the Client’s tax problem. We suggested that we apply for an Autonomous Duty Suspension (ADS) from the UK’s HM Revenue & Customs (HMRC). An ADS allows businesses to import with the import duty rate down to zero for those specific products.
Our team of experts worked closely with the client to prepare the application for the ADS. We advised the client on the necessary documentation, evidence and the legal basis for the Autonomous Duty Suspension to be successful. We liaised with HMRC on behalf of the client to ensure that the application process was as smooth as possible.
The Result:
We are delighted to report that our application for the ADS on behalf of our client was successful. The client is now able to import finished goods without having to pay import duties, resulting in significant cost savings. The tax savings associated with the ADS are worth over £150,000 over the next 3 years. This has had a positive impact on the client’s bottom line, enabling them to invest in other areas of their business, such as research and development and marketing.
The client has expressed their gratitude to Falsum’s Customs & Global Trade Advisory for our service and expertise. They have recommended our services to other businesses in the food manufacturing industry, which has resulted in an increase in our client base.
Conclusion:
The successful application for an ADS on behalf of our client has demonstrated our Customs & Global Trade Advisory’s ability to provide solutions that can result in significant cost savings for our clients. Our expertise and knowledge of the UK’s Customs, Import VAT & Border Tax system have enabled us to help our clients remain competitive in their market while avoiding unnecessary tax costs.
