Canadian Company Supplying DDP Basis to UK Company

End-Use Relief Removes Duty Liability

A company, 'O' secured a 25-year contract to supply and maintain equipment to the UK but the contract terms stipulated that 'O' had to be shown as the importer and that the contract price included any UK Customs charges. Due to the nature of the equipment and spares being destined for an approved and specific use a Customs facilitation scheme, End-Use Relief was approved and the $3.5M initial import confirmed as VAT & duty-free which means 'O' could increase the value of sales made to its customer within the contract price.

'O' also regularly makes use of Temporary Import reliefs which remove the duty liability for goods coming to the UK for demonstration purposes.