FHDDS Compliance
What is the Fulfilment House Due Diligence Scheme (FHDDS)?
The Fulfilment House Due Diligence Scheme (FHDDS) is a regulatory framework introduced by HM Revenue & Customs (HMRC) to ensure that UK-based fulfilment businesses storing goods for overseas sellers comply with UK tax, VAT, and customs regulations.
If a 3PL business stores goods in the UK for sellers established outside the UK, the 3PL is legally required to register under the FHDDS before commencing operations. This scheme helps prevent VAT fraud and ensures transparency across international e-commerce supply chains.
Who Must Register?
A 3PL must register with HMRC under the FHDDS if the business:
- Stores goods imported from outside the UK.
- Holds stock on behalf of sellers established outside the UK.
- Facilitates the sale of goods that have not previously been sold in the UK.
Operating without approval is a criminal offence and may result in penalties or enforcement action.
Key Requirements of the Scheme
Approved fulfilment businesses must:
- Maintain detailed records of overseas customers, including VAT registration numbers.
- Track inventory and import entry numbers.
- Notify HMRC of any changes to business details or customer non-compliance.
- Provide formal notices to overseas clients regarding their UK tax obligations.
Make and Supply Ltd: HMRC Approved
We’re proud to confirm that Make and Supply Ltd is officially approved by HMRC under the Fulfilment House Due Diligence Scheme. Our inclusion in the public register of compliant fulfilment houses demonstrates our commitment to legal compliance, operational transparency, and ethical business practices.
You can verify our registration on the HMRC FHDDS Registered Businesses List
Why This Matters to You
- Trust & Credibility: Our FHDDS approval assures clients that their goods are handled by a compliant and reputable logistics partner.
- Risk Reduction: We help protect your business from VAT-related risks and customs issues.
- Operational Integrity: Our systems and processes are aligned with HMRC’s due diligence standards, ensuring smooth and lawful fulfilment.
