Indirect Taxes

An indirect tax is a tax that is levied upon goods and services before they reach the customer who ultimately pays the indirect tax as a part of market price of the good or service purchased. The indirect taxes that apply in the Isle of Man include excise duties (alcohol, tobacco, hydrocarbon oils) and gambling duty.

Information and guidance on indirect taxes other than VAT can be found below.

The guidance held in public notices published by His Majesty's Revenue and Customs (HMRC) relating to indirect taxes is valid for Isle of Man businesses and individuals, subject to some exceptions, which can be found on this website.

Online Services

The Customs and Immigration Online Services provide a convenient and secure area for you to make Customs & Excise General Payments and to access the VAT Online Portal.

Apply to defer payment of excise duties

Normally, you have to pay indirect taxes when goods reach their 'duty point'; however, you may be eligible to defer, or delay, your payment when you release goods from a customs or an excise warehouse.

Use form C1200 MAN to apply to defer payment on duties, taxes and charges on certain goods removed from a customs or an excise warehouse.

You can use this form to guarantee a duty deferment payment due to Customs and Immigration through your duty deferment account. This form must be completed and submitted by your financial institution.

If you’re applying for a duty deferment account to use in Great Britain, we’ll tell you if you need to get a guarantee from your financial institution during the application process.

You should not submit a C1201 MAN unless we ask you to do so as part of our assessment of your application for a duty deferment account.

Your Guarantor will need to complete the C1201 MAN. We may also liaise with the Prudential Supervisory Division of the Isle of Man Financial Services Authority.

Apply for authorisation as an excise warehousekeeper

Authorised warehousekeepers are excise traders who are authorised to operate excise warehouses premises for the receipt, storage and dispatch of excise goods in duty suspension.

Application forms must be completed and signed by a responsible person within the business, such as:

• The sole proprietor of the business
• One of the partners if the business is a partnership
• A director or the company secretary or an authorised signatory if the business is a corporate body

Completed forms should be returned to the Excise Team by email iomdeferment.customs@gov.im

Guidance

Find out about checks you need to carry out before accepting goods into your excise warehouse and your obligations when receiving cash payments for duty-suspended sales of alcohol products.

Find out about risks of excise duty evasion and other commercial risks if you're an excise warehousekeeper or registered consignor.

Civil penalties

This Notice covers excise penalties under the Finance Act 1994, a UK Act which is given legal effect in the Island under the Customs and Excise Act 1993.  Although this is a HMRC notice, the procedures are the same, and the equivalent Factsheets can be found on the Compliance, Powers and Appeals page.  The notices referred to for reviews and appeals and information on seizure and restoration, should be read as the following notices:

Further information

If you require further guidance or advice you should refer to the guidance and notices in the relevant areas of this section or contact us:

Email: customs@gov.im

Telephone: +44 1624 648100

Please note: Customs and Immigration can only give general advice to Isle of Man residents and businesses.

If you are in the United Kingdom, please contact their Business Advice Centre on 0300 200 3700.