On a UK import from Poland, the Incoterm decides who is responsible for import duty and VAT. Under DAP the buyer is importer of record and pays both; under DDP the seller does. Duty follows the UK tariff and origin, and can be zero under the UK-EU trade deal when the goods meet the rules of origin. Import VAT is normally accounted for on your VAT return, not paid at the border.
The Incoterm decides who pays, before you look at any tariff
Before duty rates or VAT rules matter, one question settles everything: who is the importer of record. That is fixed by the Incoterm you agreed with your Polish supplier. The two you will see most often on a Poland-to-UK sale sit at opposite ends.
Under DAP (Delivered at Place) the seller carries the goods to your address, but you are importer of record in the UK. You clear the goods, you pay any duty, and import VAT is your responsibility. Under DDP (Delivered Duty Paid) the Polish seller takes on UK import clearance, duty and taxes and delivers everything cleared. The headline price looks higher, but the seller has absorbed the border. The catch: a non-UK seller often cannot recover UK import VAT and is not always set up to act as importer, which is where DDP quotes quietly break. We unpack that failure in DAP vs DDP: who pays duty and import VAT, and the wider term-by-term picture sits in Incoterms for UK transport.
| Question | DAP (buyer clears) | DDP (seller clears) |
|---|---|---|
| Importer of record | You, the UK buyer | The Polish seller |
| Customs declaration filed by | Your representative | Seller's representative |
| Import duty paid by | You | Seller |
| Import VAT accounted for by | You (postponed accounting available) | Seller (often cannot recover it) |
| EORI number needed | Yours (GB EORI) | Seller's UK-usable EORI |
Import duty: the UK tariff, origin, and the zero-tariff you can lose
Import duty is charged on goods entering Great Britain according to the UK Global Tariff, based on the commodity code (HS/CN classification) and the customs value. A wrong code changes the rate, so the classification on the declaration is not a formality. But the headline rate is not the end of the story for goods coming from the EU.
The UK-EU Trade and Cooperation Agreement provides for zero tariffs on trade between the two, but only for goods that meet the rules of origin. Origin is not the same as where the truck loaded. Goods shipped from Poland that were, for example, manufactured in a third country and merely warehoused in the EU may not qualify. To claim the zero rate, your declaration must be supported by proof of origin: for consignments from the EU this is normally a statement on origin made out by the exporter, or, for repeat shipments, importer's knowledge. Without valid proof, the customs authority charges full duty, and the demand lands on the importer of record, meaning you under DAP. The mechanics of that proof, and why EUR.1 certificates are not used on the UK lane, are in when EUR.1 vs statement on origin and rules of origin.
- Classify correctly. The commodity code sets the duty rate and any controls. If you are unsure, do not guess on the entry.
- Confirm origin before you rely on zero duty. Ask the supplier for a valid statement on origin; do not assume EU-shipped means EU-origin.
- Keep the evidence. HMRC can review a preferential claim after clearance; the importer must be able to show the origin proof was valid.
Import VAT: why it usually is not paid at the border
Import VAT is charged on most goods entering Great Britain at the rate that would apply to the same goods sold in the UK. For a VAT-registered UK business the practical point is that you do not normally pay it in cash at the frontier. Postponed VAT Accounting (PVA) lets you account for import VAT on your VAT return instead: you declare it and reclaim it on the same return, so for a fully recoverable business the cash effect nets to nil rather than tying up money at import.
PVA is chosen at the point the customs declaration is made, so your representative has to know to apply it. Miss it and the import VAT is paid up front and recovered later against a monthly certificate, a cash-flow hit you did not need to take. The full mechanism, and how it differs from the old deferment approach, is set out in postponed VAT accounting (PVA).
The customs representative: your name on the declaration, their hands on the keyboard
You will almost never file the UK entry yourself. A customs agent or freight forwarder submits it into the Customs Declaration Service (CDS) on your behalf, but the capacity in which they act changes who carries the risk. Acting under direct representation, the agent files in your name and you remain solely liable for the declaration. Under indirect representation, the agent becomes jointly and severally liable with you, which is why agents rarely offer it without checks. Either way, the declaration needs your GB EORI number; without it the entry cannot be made in your name. Getting that number is covered in EORI number: what it is and how to get one, and how the border clearance runs end to end in customs clearance to the UK after Brexit.
The representative also shapes your bill. A clear customs invoice separates duty, import VAT handling and the agent's own charges; the parts that look like tax and the parts that are service fees are not the same thing. What each line means is broken down in customs clearance costs: what the invoice shows, and choosing a competent agent is not a detail, as choosing a customs agency matters explains.
Putting it together for a UK buyer
- Read the Incoterm first. DAP means you clear and you pay; DDP means the seller does. Everything downstream depends on this line.
- Get a GB EORI before your first import if you are importer of record, or clearance stalls.
- Pin down origin to claim zero duty under the trade deal, and hold the statement on origin as evidence.
- Set up PVA with your representative so import VAT runs through your return, not your cash.
- Appoint a representative and confirm whether they act directly or indirectly, and exactly what their invoice covers.
How we run this
As a Polish road haulier we sit on the export side of exactly this route, moving goods from Poland to the United Kingdom and arranging customs on both ends. We tell UK buyers plainly where the Incoterm puts the duty and VAT, coordinate the statement on origin with the supplier so a zero-tariff claim holds, and work with the representative filing your CDS entry. We run traffic between Poland, the UK and Ireland, with warehouses in Kielce, Legnica and Milton Keynes for consolidation before the border. More sits in our export to the UK section and the knowledge base, and a specific shipment you can discuss through the contact form.
