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6th April 2018
Change to Duty Repayment Claims Procedure
HMRC has clarified the position for duty repayment claims.
Prior to May 2016 the law permitted the submission of incomplete applications for duty repayment and allowed them to be 'protected' for an agreed amount of time to enable the outstanding information to be submitted. This facility was also allowed where the application was based on the outcome of a future event, such as a pending court judgement. Existing claims which were protected before 1 May 2016 under will be processed on their own facts.
From May 2016 the facility to submit incomplete applications was no longer available. Under the UCC HMRC are required to :
The time limits to submit applications for repayment or remission under the UCC provisions are within:
The time limits are suspended where an appeal has been lodged against the notification of the customs debt. The suspension starts from the date on which the appeal is lodged and lasts for the duration of the appeal proceedings.
3rd April 2018
The UK Government has today confirmed the introduction of one of the toughest bans on trade in ivory of all ages. Trade will be banned in all ivory items except those with the following exemptions:
8th March 2018
The new UK Customs Bill has been published. Its correct title is the 'Taxation (Cross-Border Trade) Bill. This document sets out the legislation for how the UK will handle the movement of goods across its borders in the future (from the EU and the the rest of the world) and what customs procedures and processes will be available. It is however, only a high-level bill without much of the required detail. This detail is to follow in thousands of pages of secondary legislation to be published in April.
5th March 2018
A new version of the AEO Application Form C117 has been published by HMRC along with a new version of the guidelines for completion of the form. You can view our notes of the changes here
4th March 2018
Clandestine Civil Penalty Accreditation Scheme
This scheme run by UK Border Force reduces road haulage companies’ risk of receiving fines by making sure that they have effective systems to reduce the risk of illegal migrants hiding in their vehicles when they cross into the UK. A full list of the haulage companies currently accredited can be foundhere
6th February 2018 Customs Declaration Service
The latest update from HMRC on the implementation of CDS is now available clickhere
18th January 2018
The Consolidated List of Military and Dual-Use Goods has been updated with immediate effect. All exporters should re-assess their products against the new list. For further information and a link to the list see here
16th January 2018
Tariff code deletions
Please see attached link for details of tariff codes being deleted with immediate notice across 12 Chapters
11th January 2018
Bicycles from Sri Lanka
Anti-dumping duty (48.5%) on imports of certain bicycles produced by City Cycle Industries and consigned from Sri Lanka (whether or not originating there) has been re-imposed. Anti-dumping duty is levied in addition to ordinary import duty. This regulation takes effect from 11 January 2018. The duty applies retrospectively from 12 April 2017.
8th January 2018
An item (so-called ‘guy grip dead end’) made of 6 wires, each having a thickness of 3,25 mm. The wires are of galvanised cold drawn carbon steel. The wires run parallel to each other and are covered by a zinc coating. They are loosely twisted throughout their length and are bent to form a ‘U’ shape.
The article is to be classified under CN code 7326 20 00 as other articles of iron and steel wire.
Classification under heading 7312 as stranded wire, ropes, cables, plaited bands, slings and the like is excluded because the article is not closely twisted until is it mounted on the telegraph pole.
27th November 2017
Customs Comprehensive Guarantee Questionnaire
The questionnaire is now available on-line here
Applicants do not need to complete the questionnaire if they currently hold AEO(C) or AEO(F) certification or if the application is only for a new deferment guarantee.
6th November 2017
The Statistical Threshold allows simplified export declarations to be made for goods valued below the statistical threshold using export Customs Procedure Code 1000097, and, for Memorandum of Understanding approved operators, to use CPC’s 1000067 and 1000077 along with supplementary declaration CPC 1000007. It can also be used for imports of goods under Merchandise in Baggage. The non-EU statistical threshold is defined in legislation as 1,000 EUR (in value) or 1,000kg (in net mass). The value aspect of the statistical threshold for the UK in 2018 will remain at £873.
26th October 2017
The gift allowance for the UK in 2018 will remain at £39. It should be noted that gifts may not be sourced and sent direct from retail stores (actual or online), as this isn’t allowed within the gift relief protocols as all consignments must be of a non-commercial nature.
Low Value Consignment Relief (LVCR)
The LVCR limit will remain at £15 for 2018. Goods with an intrinsic value of £15 or less do not incurr import VAT. Commercial consignments sent to the UK from the Channel Islands do not benefit from relief of import VAT.
10th October 2017
HM Treasury Customs Bill – White Paper
This White Paper sets out the government’s approach to legislating for a future customs regime, and to creating a framework that supports intra-European trade.
As well as providing for implementation of a negotiated settlement with the EU – (the government’s preferred outcome) – the Bill provides for a range of other possible outcomes. The White Paper therefore also sets out how the government would manage leaving the EU without an agreement on customs, in the event of no deal being reached.
The paper can be found here
9th October 2017
Preparing for our Future Trade Policy post BREXIT
The UK Government has issued a new paper detailing how the UK can maximise our trade opportunities globally and across all countries – both by boosting trading relationships with old friends and new allies, and by seeking a deep and special partnership with the EU.
This paper has two parts: the first part outlines the world in which the UK trades and the role of trade in an economy that works for everyone. The second part outlines the basic principles that will shape the UK’s future trading framework, and the Government’s developing approach to trade policy.
It envisages 5 key steps:
Trade that is transparent and inclusive
Supporting a rules-based global trading environment
Boosting our trade relationships
Supporting developing countries to reduce poverty
Ensuring a level playing field – a UK approach to trade remedies and trade disputes
The full paper can be found here
15th August 2017
Future Customs Arrangements post BREXIT
We welcome the UK Government paper detailing its vision for customs arrangements post BREXIT. That this is the first paper in a series of documents only serves to emphasise what we have always held true in that customs procedures are of critical importance to the future prosperity of the UK. Two options are proposed:
1. Using existing tried and tested procedures for trade with third countries plus innovative facilitations to ensure as frictionless a border with the EU as possible and
2. Negotiating a new customs partnership with the EU where imports of goods destined for the EU which are transiting via the UK would be imported ‘mirroring’ the EU’s requirements.
Morley Consulting has always emphasised the importance of the Authorised Economic Operator certification scheme (AEO) to future frictionless trade and this government paper also highlights the benefits under both options for companies holding AEO status.
AEOs are seen as crucial to reduce pressure and risk of delays at UK ports and airports. This makes it all the more important for companies to start the process to achieve AEO now, as reaching the internal compliance level required to become ‘trusted’ takes time prior to application.
AEO status is also vital for easy movement across the Irish land border post BREXIT.
The full paper is available here
Details of AEO training are available here
13th July 2017
Proposal for New Import Licencing Requirements
The European Commission has today put forward new rules to clamp down on the illegal import and trafficking of cultural goods from outside the EU, often linked to terrorist financing and other criminal activity. The proposal for a Regulation will now be submitted to the European Parliament and the Council of the EU. The Commission hopes that this will be swiftly adopted in the co-decision process.
The new rules foresee a number of actions which should ensure that the importation of illicit cultural goods becomes much more difficult in the future:
A new common EU definition for 'cultural goods' at importation which covers a broad range of objects including archaeological finds, ancient scrolls, the remains of historical monuments, artwork, collections and antiques. The new rules will apply only to cultural goods that have been shown to be most at risk, i.e. those at least 250 years oldat the moment of importation;
The introduction of a new licensing system for the import of archaeological objects, parts of monuments and ancient manuscripts and books. Importers will have to obtain import licences from the competent authorities in the EU before bringing such goods into the EU;
For other categories of cultural goods, importers will now have to go through a more rigorous certification system by submitting a signed statement or affidavit as proof that the goods have been exported legally from the third country
Customs authorities will also have the power to seize and retain goods when it cannot be demonstrated that the cultural goods in question have been legally exported.
Full press release can be found here
12th July 2017
Good news for exporters as new Government initiative makes more financial help available to businesses who wish to export.
Crucially support has been extended to companies in the supply chain who support exporters.
This will allow thousands of companies in manufacturers’ and service providers’ supply chains to access contract bonds and working capital loans with the government’s guarantee.
Further information is available here
16th June 2017
The UCC Implementing Regulation (IA) has been amended and corrected with an effective date of 14th June 2017.
Long Term Supplier’s Declaration of Preferential Origin – the template has been amended to show 3 dates;
1.the date of issue;
2.the date of commencement of the period (start date), which may not be more than 12 months before or more than 6 months after the date of issue;
3.the date of end of the period (end date), which may not be more than 24 months after the start date
This amendment means that it is now possible for a Long Term Supplier’s Declaration to be issued for shipments undertaken prior to the issue date of the Declaration.
The maximum validity period for a Long Term Supplier’s Declaration is set at 24 months.
Transition arrangements for the REX system
When working with a preferential agreement where it is a requirement to register with the REX system for consignments valued over EUR6000 (or whatever value threshold is stated in the particular preferential agreement) exporters may continue to use their Approved Exporter Number on documents without the need for a signature until they complete registration on REX or until 31st December 2017 whichever is the sooner.
Alterations to TIR Carnet guarantee
Article 163 of Implementing Regulation (EU) 2015/2447 determines the limit up to which any guaranteeing association in the Union customs territory may become liable in relation to a particular TIR operation. The amount of covered guarantee has been amended from EUR 60 000 to EUR 100 000 per TIR carnet.
Rules for designating the Office of Exit under the Transit procedure
Article 329(8) has been deleted. It provided for certain exceptions from the general rule determining the customs office of exit for the export of goods that are subsequently placed under a transit procedure. Due to a renumbering error, Article 329(8) mistakenly referred to paragraph 4 of that same Article but the intention was never to provide for an exception for the goods that are loaded onto a vessel that is not assigned to a regular shipping service.Full details of the amendments can be found at here
5th April 2017
The status of Tonga and the Ukraine has been updated under the GSP regime. You need to ensure your processes and procedures reflect the changes.
Tonga - In 2013, 2014, 2015 Tonga was classified by the World Bank as an upper middle income country and therefore was to be removed from the list of GSP beneficiary countries in Annex II of EU Regulation 978/2012 with effect from 1 January 2017.
However in 2016 Tonga was classified by the World Bank as a lower middle income country. Therefore it has been re-instated to the list of GSP beneficiary countries in Annex II of EU Regulation 978/2012 with effect from 1 January 2017.
Therefore there has been no interruption to Tonga’s entitlement for eligible goods to benefit from GSP preference.
Tonga has informed the European Commission it is to implement Registered Exporter (REX) system with effect from 1 January 2017
Ukraine - The deep comprehensive free trade agreement between the EU and Ukraine took effect from 1 January 2016. As it provides better tariff preferences than the GSP for substantially all trade, Ukraine will be removed from the list of GSP beneficiary countries from 1 January 2018
If you believe you have paid full duties on goods eligible for preference you can submit a claim for repayment (C285) to the HMRC National Duty Repayment Centre
30th March 2017
HMRC publish performance statistics which can be quite a reality check for those who are not closely involved in Customs work. Take a look at February’s stats here
25th March 2017
SPIRE replacement testing
The Export Control Organisation is looking for more volunteers to test elements of the system replacing SPIRE. Now is your chance to ensure the new system is fit for purpose! Information on how to get involved can be found here
HMRC has released new data on exports by region details can be found here
15th March 2017
The Export Control Order 2008 has been amended to reflect new rules concerning goods & drugs which could be used for cruel, inhuman or degrading treatment. Internal processes, procedures and guidelines should be updated accordingly. Full details can be found here
14th March 2017
ISO 8559 series updated
These standards for clothing manufacturers have been revised to take into account current changes in the sector and to harmonize size marking worldwide.
13th March 2017
Changes to Excise Duty
Details of changes to Excise duty following the Budget can be found here
Systems, processes and procedures need to be updated accordingly.
8th March 2017
Tariff classification of Thumb grips for a game console controller
Thumb grips for a game console controller measuring approximately 20 millimetres (mm) in diameter and 6mm in height. Made of elastic silicone (plastics) with an anti-slip surface. They are equipped with a self-adhesive aluminium profile, cut to the design of the support. These grips are used as caps on the joysticks of a game console controller. Classified as 3926 90 97 as they are neither adapting the game controller for a particular operation, nor increasing its range of operations, nor performing a particular service relative to the main function of the game controller or of the game console
6th March 2017
We are pleased to announce that Morley Consulting has become an Associate Member of BIFA with immediate effect.
Revised Triggers for UCC Re-Authorisation
HMRC has further revised the triggers that will force a trader to apply for revised authorisation or guarantees for Special Procedures such as IP and OP. Where possible the triggers have been reduced to allow traders to make use of their existing authorisations for longer. Full details are available here
4th March 2017
Address changes for HMRC
As part of HM Revenue and Custom’s (HMRC) digital programme they have centralised their postal mail facility which has produced changes to addresses. It is important to note that most mail will now be scanned off site with the electronic files being sent to the relevant departments. This scanning process means that time sensitive submissions should be sent earlier to ensure they are received on time. Full details of the different addresses and what to do with original documents that you need returned can be found here
1st March 2017
Open General Export Licences
The Export Control Organisation (part of the Department for International Trade) has amended some of the Open General Export Licences. Please see here for details
Business Collaboration Standard
A new standard: ISO 44001:2017 Collaborative business relationship management systems - requirements and framework, has been published designed to help business collaborate successfully. The standard can be applied at multiple levels from single projects to multi organisation business relationships.
24th February 2017
The anti-dumping duty legislation that has levied additional duty on imports of bicycles and bicycle parts from China has been amended to remove or suspend some suppliers thus significantly reducing the amount of duty payable on imports of their products. Full details can be found here
A new edition of the consolidated list of strategic military and dual-use Items that require export authorisation has been published. Now is the time to review and update your internal product lists and procedures to take into account any changes that affect you. The list can be found here
23rd February 2017
Congratulations to the International Standards Organisation on their 70th anniversary today. Read more about the organisation here
22nd February 2017
The Trade Facilitation Agreement
The Trade Facilitation Agreement (TFA) has been implemented today as it has now been ratified by more than 110World Trade Organisation (WTO) member countries. This agreement will allow countries to benefit from more international trade by cutting the burdensome red tape associated with exporting and importing goods. UKInternational Trade Secretary, Dr. Liam Fox, has stated that ‘studies suggest the Agreement, which largely concerns the cost of clearing goods for import and export – will greatly reduce costs, time and the number of documents required for goods to cross borders. They also suggest the TFA could add over £70 billion to the global economy, of which the UK is expected to benefit by up to £1 billion and could reduce worldwide trade costs by between 12.5% and 17.5%.’ In brief as a result of the TFA, those countries that have ratified will be required to:
16th February 2017
Changes to address
Exporters can send Export Accompanying Documents (EAD) to HM Revenue and Customs (HMRC) using a new freepost address for indirect export movements from another Member State, where the UK is the Office of Exit and is discharging the EAD.
The new address is:
3rd February 2017
Exclusions from GSP
GSP preference will be suspended from 1 January 2017 until 31 December 2019 for the following:
Country GSP section (Article 2(j) Description
of GSP regulation
India S-5 Mineral products
S-6a Inorganic and organic chemicals
S-14 Pearls and precious metals
S-15a Iron, Steel and articles of iron and steel
S-15b Base metals (exclude iron and steel), articles of base metals (exclude articles of iron and steel)
S-17b Motor vehicles, bicycles, aircraft and spacecraft, ships and boats
Indonesia S-1a Live animals and animal products excluding fish
S-3 Animal or vegetable oils, fats and waxes
Kenya S-2a Live plants and floricultural products
Ukraine S-3 Animal or vegetable oils, fats and waxes
S-17a Railway and tramway vehicles and products
2nd February 2017
UK Government Brexit White Paper
The UK Government have published the promised white paper setting out their strategy for the UK negotiations to leave the EU.
Read the White paper here
1st February 2017
UK Parliament Brexit Vote
Members of the UK Parliament passed the European Union (Notification of Withdrawal) Bill by 498 to 114 votes following two days of debate. The Bill allows the Government to invoke Article 50.
The Bill will now go into the Committee stage where amendments will be discussed before it moves on to House of Lords consideration.
You can read the Bill here
26th January 2017
Celebrating International Customs Day 2017
This year’s theme is ‘Data Analysis for Effective Border Management’. HMRC and the UK Border Force have indicated that they intend to enhance their current levels of targeted, intelligence led interventions for those considered to be either negligently or deliberately opening their international supply chains to risk. Post BREXIT managing to ensure that the majority of shipments pass through ‘non-risky’ supply chains will be key to achieving the country’s global trade ambitions. Find out more here
Imports of Concrete
Due to changes to anti-dumping regulation the following tariff codes have been deleted from the UK tariff listing with immediate effect -7214 1000 00, 7214 3000 00, 7214 9110 00, 7214 9190 00, 7214 9910 00, 7214 9971 00, 7214 9979 00, 7214 9995 00. They have been replaced with new codes. Please ensure you update your systems and use the new codes with immediate effect.
Changes to Open General Licences
The Export Control Organisation which is part of The Department for International Trade has advised that 13 open general export licences (OGELs), two open general transhipment licences (OGTLs) and an open general trade control licence (OGTCL) have been updated. The new OGEL’s will take effect from the 31stJanuary 2017. Details can be found here. Please ensure you understand the changes and how they apply to your business.
24th January 2017
UK Supreme Court Ruling on Brexit
The UK Supreme Court have issued their ruling on whether the UK Government can enact Article 50 without a Parliamentary Act.
8 to 3 majority rules that the Government cannot trigger Article 50 without an Act of Parliament.
When the UK withdraws a source of UK law is cut off and changes are made to individuals rights.
The court has also ruled that the Government does not have to consult the Devolved Parliaments.
The full ruling is available here
23rd January 2017
US withdraws from TPP
President Trump has signed the order to withdraw the US from the Trans-Pacific Partnership trade deal. He has also indicated that he plans to either re-negotiate or completely scrap the NAFTA trade deal between the US, Mexico and Canada.
18th January 2017
Voice ID for HMRC services
HMRC are seeking to make it quicker and easier for customers to access their services by reducing the effort required for security. This month see the introduction of voice recognition services for customers phoning the tax credits and Self Assessment helplines with customers being encouraged to enrol for the voice identification (Voice ID) by speaking a security phrase five times. This phrase is then spoken and used to automatically perform over 100 element comparisons to determine the callers identity when phoning in to the services, reducing the number of security steps needed.
Users of HMRC's mobile app are already able to use fingerprint recognition to access services on compatible phones/devices.
17th January 2017
PM Mays Brexit Plan
The 'Plan for Britain'
1. Provide certainty about the process of leaving the EU
We will provide certainty wherever we can.
2. Control of our own laws
Leaving the European Union will mean that our laws will be made in Westminster, Edinburgh, Cardiff and Belfast.
3. Strengthen the union between the four nations of the United Kingdom
A stronger Britain demands that we strengthen the precious union between the four nations of the United Kingdom.
4. Maintain the Common Travel Area with the Republic of Ireland
We will deliver a practical solution that allows the maintenance of the Common Travel Area with the Republic of Ireland.
5. Control of immigration coming from the EU
Brexit must mean control of the number of people who come to Britain from Europe.
6. Rights for EU nationals in Britain and for British nationals in the EU
We want to guarantee rights of EU citizens living in Britain & rights of British nationals in other member states, as early as we can.
7. Protect workers' Rights
Not only will the government protect the rights of workers set out in European legislation, we will build on them.
8. Free trade with European markets through a free trade agreement
We will pursue a bold and ambitious Free Trade Agreement with the European Union.
9. New trade agreements with other countries
It is time for Britain to get out into the world and rediscover its role as a great, global, trading nation.
10. The best place for science and innovation
We will welcome agreement to continue to collaborate with our European partners on major science, research and technology initiatives.
11. Co-operation in the fight against crime and terrorism
We will continue to work closely with our European allies in foreign and defence policy even as we leave the EU itself.
12. A smooth orderly Brexit
We believe a phased process of implementation will be in the interests of Britain, the EU institutions and member states.
PM May stated that the Brexit vote was the 'moment we voted to embrace the world' and to become a 'truly global Britain'.
She comfirmed that she wanted the UK to be able to trade as freely as possilbe with the EU but that 'partial membership or associate membership or anything that leaves us half-in or half-out' was not acceptable. We will therefore not be members of the Single Market post Brexit.
Instead she will lead the UK to be one of the firmest advocates of free trade anywhere in the world and will persue a bold, ambitious Free Trade Agreement with the EU.
PM May wants tariff free trade with the EU, not to be bound by the Common External Tariff and to lodge our own tariff with the WTO. This will mean negotiation regarding the UK's place in the Customs Union to acheive an agreement but at this point she has no preconceived position regarding the shape of any such agreement but it may mean leaving the Customs Union.
She was also clear that she did not want an 'indefinite' transitional period. She wants an agreement to be reached by the end of the two years negotiation post lodging Article 50 in March and then a period of phased implementation to prevent a 'disruptive cliff edge'.
She also warned the EU that no deal was preferable to a bad deal for Britain as the UK would then be free to trade globally as it wished.
12th January 2017
All export licensing pages on .gov have been revised and moved. If you have bookmarks you will need to change them. Click on this link to access the new pages click here
New Registration requirement
The EU has now made imports of certain hot-rolled flat products of iron, non-alloy or other alloy steel originating in Russia and Brazil subject to registration. This means that should anti-dumping duty be allocated to these products (a decision is awaited) it can be applied retrospectively to registered products. Importers need to adopt contingency plans to ensure they are covered for the possible additional import duty.
Full details can be found here
9th January 2017
Importing Solar Panels
Imports from the following two companies are now subject to both anti-dumping duty and countervailing duty:
Ningbo Huashun Solar Energy Technology Company Limited AD 36.2% CD 11.5%
Jiangsu Seraphim Solar System Company Limited AD 41.3% CD 6.4%
Tariff codes concerned are:
8541 4090 21
8541 4090 22
8541 4090 23
8541 4090 29
8541 4090 31
8541 4090 32
8541 4090 33
8541 4090 39
6th January 2017
Registered Exporter Database
The global transition period has begun which moves traders from the present system of origin certification to the new EU REX system, initially for GSP shipments. The transition period will last until 30th June 2020. As each set of countries implement REX the Form A certificate of preferential origin will be phased out and will be replaced with declarations on commercial documents.
Traders are reminded that registering for REX does not mean that the registered company has been vetted in any way regarding the validity of any origin statements it provides. Traders are expected to conduct their own due diligence before relying on such statements.
It should be noted that post BREXIT the UK may or may not remain part of the EU GSP origin system of preferences. Traders should therefore consider their strategic position in the event that the UK is outside the system and without a replacement option or has a new system in place.
The following countries will apply the REX system from 1st January 2017:
Democratic Republic of Congo
Central African Republic
Sao Tome & Principe
The following countries have indicated they will operate the REX system from 1st January 2019
VAT Rate Decrease
From 1st January 2017 the Romanian VAT rate has been decreased from 20% to 19%. Traders are advised to ensure any systems that hold this data are suitably amended.
Chapter 9404 Bedding and Furnishings stuffed internally with any material has been clarified to indicate that ‘stuffed internally with any material’ includes material of any thickness.
Chapter 8504 Electronic components that supply power to motor vehicles – specifically an electronic control unit (ECU) which supplies power to the xenon headlights of motor vehicles when the headlights are turned on by firstly converting the direct current 12 volts from the on-board electrical system into 1200 V DC and transmitting it to the igniter and then converting the DC into AC to light the lamps and continuously generates the voltage required to keep the lights burning. Classification of this device is 85044090 other static converters.
The following countries have been removed from the GSP scheme with effect from 1st January 2017:
Samoa is removed from the Everything But Arms ‘EBA’ listing from 1st January 2017.