Inward Processing Relief (IPR)

Once authorization is granted, businesses can import their goods for processing or repair and then re-export the finished products without paying duty or VAT, provided that they meet certain conditions. For example, the finished products must be re-exported within a specified time period and in the same condition as when they were imported.

IPR can be particularly useful for businesses that need to carry out specialist processing or repair activities that cannot be done in the country of origin. For example, businesses that need to carry out specialist manufacturing processes or repair activities may find that it is more cost-effective to import the goods and carry out the processing or repair activities in the UK.

There are also potential benefits to using IPR in terms of reducing costs and improving efficiency. By importing goods for processing or repair, businesses may be able to reduce their overheads and increase their competitiveness. Additionally, by taking advantage of IPR, businesses may be able to access new markets and customers that they may not have been able to reach otherwise.

Inward Processing Relief (IPR)is a customs procedure that allows UK businesses to import goods from outside of the EU for processing or repair, and then re-export the finished products without paying duty or VAT. IPR can be a useful tool for businesses that need to import goods for processing or repair, and then export the finished products to markets outside of the EU. While there are certain conditions that must be met, IPR can provide significant benefits in terms of reducing costs, improving efficiency, and accessing new markets.