Home » Xero – What to do with your deferral VAT statement

Xero – What to do with your deferral VAT statement

If you are importing goods and deferring your VAT on import, you should have a VAT deferral statement. If you have not received this yet, then click here to get it.

Once you have this statement, you need to apply PVA adjustments to your VAT return in Xero. This must be done monthly.

Run your VAT return in Xero and click the ‘Apply Postponed VAT Accounting (PVA) adjustments’ link at the bottom.

Select the month of the statement and enter the amount from the report.

You can optionally upload the statement if you like.

Do this for each statement you receive to ensure your VAT return is correct.

This then informs HMRC of the amount of VAT that you have deferred, and they will, presumably, check this against the statement to make sure all is good.