Please see below a further update received from HMRC, along with the following attachments:
Further to the guidance issued yesterday, the issue relating to Valuation Adjustment Addition and Deduction Codes has been resolved.
The time-limited workaround provided yesterday to address this issue has now been withdrawn and it must not be used for any new declarations.
However, any declarations that have been pre-lodged prior to this communication being issued that have:
- Used the Valuation Adjustment workaround, these declarations do not require amendment and may continue to be arrived and cleared using the workaround.
- Not used the workaround and have declared a valuation adjustment in DE 4/9, will require resubmission to clear the rejection.
The guidance documents issued for the other issues experienced by users following the CDS release remain applicable and should continue to be followed.
An updated version of the guidance is attached for reference.
A number of rejections are being seen for VAT only deferment.
When VAT only is being deferred users can avoid rejections by:
- Not declaring an A series tax type in DE 4/3
- Not declaring C505 and C506 in DE 2/3
- Not declaring CGU and DPO in DE 3/39
- Not declaring guarantee details in DE 8/2 and 8/3
A deferment account is still required in DE 2/6
A deferment MOP code is still required in DE 4/8.
We are seeing multiple declarations where C506 (DE 2/30/ DPO (3/39) are declared on their own – these will always trigger an error for the CGU details to be declared in DE 2/3 and 3/39, irrespective of what taxes are being deferred.
We are also seeing a number of rejections where an A series tax type is declared without the CGU/DPO authorisation details. Where an A series tax type is declared in DE 4/3, it will always trigger the requirements from the attached to be declared, irrespective of whether any customs duty is due. If customs duty is not due, do not include the customs duty tax type.
Additional Articles
This article also links to three previous articles posted:
