How do you best approach the challenge of a movement guarantee for spirits for export?
This question was asked as part of our pricing webinar during the food and drink feature for 2016. You can catch up with this webinar at:
Sorry that your question has gone unanswered for so long. One of the members of this community is a HMRC advisor, who is perhaps best placed to advise on this topic. In the mean time I’ll chip in what I know.
For your level of business I believe the rate of movement guarantee is 25% of the potential duty. So that could be around £11 per case multiplied by the expected average movements per week. Would that be prohibitive to the business?
There are alternatives as it’s doesn’t have to be the owners of the excise goods that stumps up the guarantee. You can use your bank or the transporter if they have movement guarantees.
If you receive overseas orders, either from Europe or elsewhere, then you can use the EMCS system to suspend the payment of excise duty on those despatches. You’ll need to be registered and approved by HMRC to use EMCS. Once ready, setup a free e-z Consign account at www.4-exim.com to complete the EMCS entry. It’s as part of that entry that you’ll choose who the guarantor is.
Hope this helps.