Do You Need Both an EORI Number and VAT Registration?

One of the most common questions from new importers is whether an EORI number and VAT registration go hand in hand. The short answer: they are two separate things, and you can hold one without the other. Whether you need both depends on what you're moving across the border, how often, and whether your business turnover meets VAT thresholds. This guide breaks down every combination so you know exactly where you stand.

EORI and VAT registration are not the same thing

An EORI number identifies your business to customs authorities when goods cross a border. VAT registration, by contrast, is about accounting for value-added tax on your sales and purchases. They serve different purposes and are issued by different processes, even though HMRC administers both in the UK.

If you're unclear on the basics, our guide on what an EORI number is explains the fundamentals. The key point here: having a VAT number does not automatically give you an EORI, and having an EORI does not require you to be VAT-registered.

The four possible combinations

Every trader falls into one of four situations. Here's how they compare.

1. EORI without a VAT number

This is a perfectly valid setup. Many sole traders and small businesses import goods but sit below the UK VAT registration threshold, so they aren't VAT-registered. You can absolutely get an EORI number without a VAT number.

The catch: because you aren't VAT-registered, you cannot reclaim the import VAT you pay at the border. It becomes a real cost of bringing goods in. You also can't use Postponed VAT Accounting (more on that below), so you'll typically pay import VAT up front through your courier or freight agent.

2. VAT registration without an EORI

In theory a business can be VAT-registered and not hold an EORI — but only if it never touches customs directly. The moment you need to lodge an import or export declaration in your own name, you need an EORI. There is no way to self-clear goods through UK customs without one.

So while "VAT only" exists on paper, it's impossible for any trader actually moving goods across the border under their own account. If you're VAT-registered and starting to import, getting an EORI is a required next step.

3. Both an EORI and VAT registration

This is the standard position for most regular traders. Being VAT-registered lets you reclaim import VAT, and in the UK it unlocks Postponed VAT Accounting, which dramatically improves cash flow. If your turnover is above the threshold you're legally required to register for VAT anyway, and you'll need the EORI to trade.

4. Neither

If your business has no cross-border customs activity — you buy and sell purely within the UK, for example — you need neither. You'd only look at these registrations once you plan to import or export.

How import VAT works in each case

UK: Postponed VAT Accounting (PVA)

Postponed VAT Accounting lets VAT-registered UK importers account for import VAT on their VAT return rather than paying it at the border. Instead of handing cash to a courier or paying HMRC on the spot and reclaiming it later, you declare and reclaim the same amount on the same return — a net-nil cash impact in most cases.

PVA is only available to VAT-registered businesses. If you hold an EORI but no VAT number, PVA isn't an option and you pay import VAT at the point of entry. You can read more about UK-specific rules on our EORI numbers in the UK page.

EU: import VAT deferment

The EU operates similar mechanisms, but they vary by member state. Many countries offer import VAT deferment schemes that let registered businesses postpone or account for import VAT rather than paying it at the border. To use these you generally need to be VAT-registered in that country (or use a fiscal representative) and hold an EU EORI number. The exact rules — reverse charge, deferment accounts, guarantees — differ from state to state, so check the requirements of the country where your goods clear.

When does HMRC require VAT registration alongside an EORI?

HMRC doesn't require you to be VAT-registered just because you have an EORI. VAT registration is triggered separately — most commonly when your taxable turnover exceeds the registration threshold, or when you choose to register voluntarily.

That said, importing can push you towards registration. If you're selling imported goods and your turnover grows past the threshold, you'll be legally obliged to register — and at that point being VAT-registered also gives you access to import VAT recovery and PVA. Voluntary registration can make sense earlier if import VAT is a significant cost you'd rather reclaim.

Scenario comparison: occasional importer vs regular trader

The takeaway: an occasional, low-value importer can operate perfectly well with an EORI and no VAT number, accepting import VAT as a cost. A high-volume trader almost always benefits from — or is required to have — both.

What to do next

Start by confirming which combination applies to you:

1. Are you moving goods across a border in your own name? If yes, you need an EORI.
2. Is your taxable turnover above the VAT threshold, or would reclaiming import VAT save you money? If yes, consider VAT registration too.
3. If you'll be VAT-registered, plan to use Postponed VAT Accounting from your first import to protect cash flow.

If you don't yet have an EORI, follow our step-by-step guide on how to get an EORI number. It's free to apply and usually issued quickly, letting you clear your first shipment without delay — with or without a VAT registration in place.