The challenge of recovering unpaid VAT on imported goods

 Thursday, 4th September 2025 13:37

For courier firms managing international deliveries, unpaid VAT on imported goods has become a growing problem

For courier firms managing international deliveries, unpaid VAT on imported goods has become a growing problem. Rising volumes of cross-border trade, combined with complex customs regulations, mean that carriers are increasingly left exposed when customers fail to settle their VAT liabilities.

This issue doesn’t just create an administrative burden - it directly impacts cash flow, profitability, and compliance. Below, we explore the challenges in recovering unpaid VAT and how Controlaccount can provide specialist support to help courier firms take control.

Why VAT recovery is such a challenge for couriers

1. Complex Import VAT Rules

Since the UK’s departure from the EU, import VAT rules have changed significantly. Different thresholds, shifting responsibilities between sellers and buyers, and evolving incoterms (international commercial terms) make it difficult for courier firms to manage VAT consistently.

2. Customer Non-Payment

To avoid customs delays, many couriers advance VAT payments on behalf of customers. But when customers fail to reimburse these charges, firms are left chasing unpaid debts - often across high volumes of small-value consignments.

3. High Administrative Burden

Tracking and reconciling unpaid VAT across multiple shipments is time-consuming. Manual processes increase the risk of missed recoveries and strained customer relationships.

4. Pressure on Cash Flow

Every unpaid VAT charge reduces working capital. For courier firms already operating on tight margins, this can quickly become unsustainable.


How Controlaccount Supports Courier Firms

At Controlaccount, we specialise in recovering unpaid VAT and courier-related debt. With more than 45 years of experience in credit management and debt recovery, we help logistics businesses regain control of their receivables with a professional, compliant, and ethical approach.

Here’s how we can help:

  • Specialist VAT Recovery – We understand the complexities of recovering unpaid VAT for couriers and have the expertise to resolve debts quickly while maintaining customer goodwill.
  • Dedicated Reporting & Transparency – Our client portal gives you full visibility of outstanding VAT charges, recovery progress, and performance analytics.
  • Scalable Outsourced Solutions – From single-issue VAT recovery to full credit control outsourcing, we tailor services to meet your operational and financial goals.
  • Ethical & Compliant Collections – As founding members of the Credit Services Association, we uphold the highest industry standards, ensuring recovery is fair and professional.

Recovering unpaid VAT doesn’t have to be a burden

Unpaid VAT on imported goods is a persistent challenge for courier firms - but it doesn’t have to undermine your business. With the right recovery partner, you can protect cash flow, reduce administrative strain, and safeguard profitability.

If your courier business is struggling with unpaid VAT or related debt, contact Controlaccount today to see how our specialist recovery services can help, or read a recent case study on how we helped a leading courier firm improve cash flow and productivity.

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