Renewal of authorisations
Information on the renewal period and process.
Renewal of authorisations refers to the process of extending or updating a customs authorisation granted to an authorisation holder. Not all customs authorisations are granted for a specific period of time. When the authorisation is about to expire, the authorisation holder may renew their authorisation to continue using the facilitation without breaching the conditions of authorisation.
Renewals are an option that can be taken if an authorisation holder should wish to extend an authorisation that is ending.
Authorisations which can be renewed are outward processing, inward processing, authorised use (end use) and temporary admission.
The length of an authorisation for a time limited authorisation will be listed on the authorisation notification. When an authorisation is near its expiry date the trader should submit a renewal application through the usual channel.
It is the responsibility of the authorisation holder to ensure that an application for renewal is made in good time before the authorisation expires so that the authorisation can be continued without any issues.
A business cannot import or otherwise receive goods under the terms of the procedure after the date of expiry of their authorisation. If they do, customs debts or civil penalties may be imposed. A business can import goods to free circulation by paying the duty and VAT at the time of import. Furthermore, HMRC’s consideration of any renewal application subsequently received may be materially affected.
AEO authorisations do not have renewal period but are subject to checks every 3 to 5 years. Checks by visiting officer or tax specialist will establish, record, observe and evaluate the AEOs processes and procedures and testing documenting and challenge any discrepancies to ensure AEO standards are maintained. Following AEO monitoring visits, a report will be produced recommending whether the AEO should retain the status or if further action is to be undertaken, including re-assessment, suspension, or revocation. Regular monitoring is the primary responsibility of the AEO business. It is recommended that they continue to self-assess their compliance with the conditions of the authorisation and action and record any identified problems as soon as they arise.
The authorisation holder will need to submit an authorisation renewal application in writing to HMRC. The applicant should review their information to ensure that it is still accurate and true before submitting the renewal application.
If the authorisation holder does not wish to renew their authorisation, the authorisation will be automatically withdrawn after it has expired.