Import VAT and PVA for Amazon FBA: C79, MPIVS, VAT boxes

If you ship stock into the UK to sell through Fulfilment by Amazon, import VAT is one of the easiest things to get wrong on a VAT return. The cash can be brutal if you pay it at the border, and the paperwork comes in two different flavours (the C79 and the postponed import VAT statement) that catch a lot of sellers out.

This guide explains how import VAT works for FBA imports, when postponed VAT accounting (PVA) lets you skip the cash hit, the difference between the C79 and the MPIVS, and exactly which VAT return boxes each one feeds. It's written for VAT-registered sellers importing their own stock into Great Britain.

We'll keep it practical, with a worked example you can copy. If your numbers ever look off, our accounting support for Amazon FBA sellers is built around exactly this.

What is import VAT for FBA sellers? {#what-is-import-vat}

Import VAT is the VAT charged when goods enter Great Britain from outside the UK. If you bring your own stock in to sell through FBA, you're the importer, and import VAT is due on the value of those goods at the standard rate of 20% (for current rates, see gov.uk VAT rates).

It's charged on the customs value of the goods, plus any customs duty and certain freight and insurance costs. So the VAT figure is usually a bit higher than 20% of what you paid your supplier.

You have two ways to deal with it. You can pay import VAT at the border and reclaim it later, or you can use postponed VAT accounting and never lay out the cash at all. For most FBA sellers, PVA is the better option.

What is postponed VAT accounting (PVA)? {#what-is-pva}

PVA lets you account for import VAT on your VAT return instead of paying it at the border and reclaiming it afterwards. You declare the import VAT and reclaim it on the same return, so for a fully taxable business the net cash effect is nil.

You don't need approval to use it. As HMRC puts it, "You do not need any approval to account for import VAT on your VAT Return." Two conditions apply: the goods must be for use in your business and you must have the right to dispose of them, and you must include your VAT registration number on your import declaration.

In practice that means your VAT number (and a note to use PVA) has to be entered on the customs declaration, at header level in Data Element 3/40 on the Customs Declaration Service. If a freight forwarder or customs agent clears your goods, they need your written instruction to elect PVA, and you cannot change how you accounted for import VAT once the declaration has been submitted.

PVA is optional. HMRC removed the section on when you "must" use it in June 2025, confirming the procedure is no longer mandatory. If you don't elect PVA, you pay import VAT at the border instead.

C79 vs MPIVS: what's the difference? {#c79-vs-mpivs}

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This is the part that trips sellers up. There are two HMRC documents, and which one you get depends on how you handled the import VAT.

The monthly postponed import VAT statement (MPIVS) is your evidence when you use PVA. It shows the total import VAT postponed for the previous month. HMRC says your statements "will usually be available to view by the 10th working day of the month," and warns you "can only access a statement for 6 months from the date it's published," so download and keep each one.

The C79 certificate is your evidence when you actually paid import VAT at the border using a duty deferment account. You can get a C79 "if you have paid import VAT using a duty deferment account," it's available "online every month, usually by the 10th working day," and you "use your certificates to help you recover the VAT as input tax on your VAT Return."

Both are now accessed online through the Customs Declaration Service (CDS) at the same payment-records area, not posted out. The simple rule: if you elected PVA, look for the MPIVS; if you paid at the border, look for the C79.

Which VAT return boxes do you use? {#vat-boxes}

The boxes are where the C79/MPIVS split really matters, because PVA touches three boxes while the C79 touches one (plus the value box).

When you use PVA, HMRC's guidance is explicit:

• Box 1 (VAT due): "Include the VAT due in this period on imports accounted for through postponed VAT accounting." You get this from your online monthly statement.
• Box 4 (VAT reclaimed): "Include the VAT reclaimed in this period on imports accounted for through postponed VAT accounting." Again from the statement.
• Box 7 (value of purchases): "Include the total value of all imports of goods in this period, not including any VAT."

So PVA puts the import VAT in Box 1 and reclaims the same figure in Box 4. For a fully taxable business those cancel out, which is why there's no net cash cost. Box 7 carries the value of the goods (the figure the import VAT was calculated on, excluding the VAT itself).

When you paid import VAT at the border and have a C79, there's no Box 1 entry for the import. The import VAT goes in Box 4 as input tax to reclaim, and the value of the goods goes in Box 7. The C79 is your evidence, and HMRC can disallow the input tax if you can't produce it.

One timing note: for VAT return periods starting on or after 1 June 2022, you should not include PVA imports in the total of your supplies (Box 6 is for your sales). The import VAT lives in Box 1, but the value of imported stock doesn't inflate your Box 6 turnover.

Worked example: importing FBA stock with PVA {#worked-example}

Illustrative example. Priya runs a VAT-registered homeware brand selling through Amazon FBA. She imports a container of stock into Great Britain and elects PVA on the customs declaration.

Because Priya elected PVA, no VAT leaves her bank account at the border. Her MPIVS for the month shows £1,788.80 of postponed import VAT. On the VAT return covering the import date, she records:

The Box 1 and Box 4 entries are equal, so the import VAT nets to £0 on this return. Her duty of £344.00 is a real cost and is not VAT, so it doesn't go in any VAT box (it's part of her stock cost).

If instead she had paid the £1,788.80 at the border, she would put nothing in Box 1, reclaim £1,788.80 in Box 4 once her C79 arrived, and still show £8,944.00 in Box 7. Same end position on VAT, but she'd have been out of pocket by £1,788.80 until the reclaim landed. That cash-flow gap is the whole reason PVA exists.

What about goods of £135 or less sold through Amazon? {#low-value}

There are different rules for consignments valued at £135 or less, and they change who accounts for the VAT.

For goods outside the UK in a consignment of £135 or less sold to a GB customer through an online marketplace, UK supply VAT is charged at the point of sale and "the online marketplace will be liable for the VAT," not you. The £135 limit applies to the value of the whole consignment, not each item.

The exception is a business-to-business sale where the customer gives a UK VAT number, in which case the marketplace doesn't charge VAT and the customer accounts for it under the reverse charge. If you sell direct (not through a marketplace), you would have to register for UK VAT and charge supply VAT at the point of sale yourself.

The key thing for FBA: this £135 rule is about low-value items shipped to customers from outside the UK. When you send a bulk shipment of stock into an Amazon UK fulfilment centre, the whole consignment is almost always worth far more than £135, so normal import VAT and PVA rules apply, not the point-of-sale rules. Don't confuse the two.

Common mistakes we see {#mistakes}

• Forgetting to elect PVA on the declaration. If your agent doesn't enter your VAT number and the PVA election, you pay at the border and wait for a C79. Give clear written instructions every time.
• Putting the C79 figure in Box 1. A C79 means you already paid. It belongs in Box 4 only. Box 1 is for PVA.
• Estimating instead of using the statement. Use the MPIVS figure. HMRC only allows an estimate where you delayed your import declaration and don't yet have a statement.
• Letting statements expire. Both the C79 and MPIVS vanish from CDS after six months. Download every one.
• Inflating Box 6. Imported stock value goes in Box 7, not Box 6. Box 6 is your sales.

Getting these right keeps your VAT return clean and your input tax safe. If you want a second pair of eyes, our Amazon FBA accounting team reconciles PVA statements to returns every quarter, and you can read more about how we handle VAT-registered ecommerce sellers too.

Want your FBA import VAT handled properly?

Book a free 20-minute call with a Zmartly accountant. We'll reconcile your MPIVS and C79 statements to your VAT returns, set up PVA correctly with your freight agent, and make sure the right figures land in the right boxes. Talk to a Zmartly accountant.

FAQs {#faqs}

Do I need HMRC approval to use postponed VAT accounting?

No. HMRC confirms you do not need any approval to account for import VAT on your VAT return. You just need the goods to be for your business, the right to dispose of them, and your VAT registration number on the import declaration.

Is PVA mandatory for Amazon FBA sellers?

No. PVA is optional. HMRC removed the section on when you must use it in June 2025, confirming it is no longer mandatory. If you don't elect PVA, you pay import VAT at the border and reclaim it using your C79 certificate instead.

What's the difference between a C79 and an MPIVS?

The MPIVS (monthly postponed import VAT statement) is your evidence when you use PVA and shows the import VAT you postponed. The C79 is your evidence when you actually paid import VAT at the border using a duty deferment account. Both are accessed online through the Customs Declaration Service.

Which VAT boxes does PVA affect?

Three. Box 1 shows the import VAT due, Box 4 reclaims the same import VAT, and Box 7 shows the value of the imported goods excluding VAT. For a fully taxable business, Box 1 and Box 4 cancel out so there's no net cash cost.

Where do I put a C79 figure on my VAT return?

In Box 4 as input tax, because you've already paid the import VAT at the border. Nothing goes in Box 1 for a C79. The value of the goods still goes in Box 7. Keep the C79 as evidence, or HMRC can disallow the reclaim.

When are my import VAT statements available?

Both the C79 and the MPIVS are usually available on the Customs Declaration Service by the 10th working day of the month, covering the previous month. You can only access each statement for six months from publication, so download and keep them.

Sources {#sources}

• Check when you can account for import VAT on your VAT Return (PVA) — gov.uk
• Complete your VAT Return to account for import VAT — gov.uk
• Get your postponed import VAT statement — gov.uk
• Get your import VAT certificate (C79) — gov.uk
• How to fill in and submit your VAT Return (VAT Notice 700/12) — gov.uk
• VAT and overseas goods sold to customers in the UK using online marketplaces — gov.uk
• VAT and overseas goods sold directly to customers in the UK — gov.uk
• VAT rates — gov.uk