What is Advanced Valuation Rulings | How can a business apply?

The UK government has launched a new service called Advanced Valuation Rulings (AVRS) that enables businesses to obtain legally binding decisions from customs authorities on which valuation method to use when submitting a customs declaration.


This new service is part of the government’s plan to create a modern, digital customs service that makes it easier for businesses to import goods into the UK.

Methods of determining the customs value:

When importing goods into the UK, traders must determine the value of their goods to calculate the Customs Duty and import VAT. There are six methods for determining the customs value of an imported good, and it is the responsibility of the declarant to identify the correct valuation method for their shipment.


  • The transaction value method.
  • The transaction value of identical goods.
  • The transaction value of similar goods.
  • The deductive method
  • The computed method
  • The fall-back method

If a business is unsure of which valuation method to use or wants a legally backed decision on a particular method, it can apply for an AVRS ruling. It is not mandatory to apply for an advanced ruling, but it can reduce the administrative burden and provide certainty on the cost of importing goods.

According to HM Revenue and Customs (HMRC), which will administer the new service, it could take up to 90 days to issue a ruling once an application is submitted. Rulings will apply for three years unless they are withdrawn or cancelled.

Legal Biding Decision Services:

AVRS complements existing legally binding decision services such as Advance Tariff Rulings, Advance Origin Rulings, Binding Tariff Rulings, and Binding Origin Rulings. These services provide legal certainty on the correct commodity code, economic nationality, and commodity code for importing into the EU or Northern Ireland.


  • Advance Tariff Rulings – these provide legal certainty on the correct commodity code, which can then be used to determine the correct duty and taxes.
  • Advance Origin Rulings – these provide certainty on the economic nationality of goods, when importing and exporting. For imports, this provides legal protection against any UK customs authority challenging the country of origin of the product. There are two types of origin: preferential (which feature in the UK’s trade agreements) and non-preferential.
  • Binding Tariff Rulings – these provide legal certainty on the correct commodity code for importing into the EU or Northern Ireland.
  • Binding Origin Rulings – these provide legal certainty on the economic nationality of goods when importing or exporting from Northern Ireland.

The launch of AVRS brings the UK in line with other countries, including some Free Trade Agreement partner countries, that already offer such a service. The new service will benefit hundreds of thousands of UK traders by stripping away uncertainty and reducing the administrative burden, according to Aidan Reilly, HMRC’s Director of Customs Policy and Strategy.

Who can apply for an Advance Valuation Ruling

You can apply if you are:

– A trader using your own EORI number starting GB

– An agent acting on behalf of a trader with a business tax account (you will need to add the agent to the account as a team member first)


Before you start the application


You must apply before you import your goods or make any import declarations, as decisions cannot be made retrospectively.

What you need

To apply, you will need:

  •  To identify the valuation method you think is best to value your goods
  • A Government Gateway user ID and password (if you do not have one, you can create one when you apply)
  • An EORI number starting with GB


When you apply, you will also need to give us supporting documents relevant to the goods being imported, such as:


– commercial invoices from overseas suppliers
– purchase orders
– copies of previous import entries
– a breakdown of manufacturers’ costs
– commercial agreements with suppliers
– any other relevant documents


HMRC may refuse your application if you are not planning to import your goods or do not give them all the information they need.

Parts of your application may be made public — this may include attachments that are not marked as confidential. If you want information on your application to remain confidential, you must let HMRC know when attaching these documents.

Apply for an Advance Valuation Ruling

You need to complete a separate application for each type of goods that require a decision.


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