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Customs Authorisation and Approval

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Transition Arrangements: Introduction to transition arrangements for the Union Customs Code (UCC)

For the purposes of this guidance, the Union Customs Code (EU Reg. No. 952/13) will be referred to as the Code. 

References to the supporting legislation to the Union Customs Code (the Code):

Commission Delegated Regulation (EU) 2015/2446 will be referred to as the Delegated Act (DA)

Commission Implementing Regulation (EU) 2015/2447 will be referred to as the Implementing Act (IA).

Any references to the previous EU customs legislation will be referred to as the Community Customs Code (Reg. No. 2913/92) or the Community Customs Code Implementing Provisions (Reg. No. 2454/93).

This Chapter provides details on the transition arrangements for each type of customs authorisation and approval under the Code.

It will help inform economic operators’ decisions on when to apply for any new Code authorisations.

 

Administrative Transition for authorisations and approvals

Applications lodged before 1 May 16 but not finalised by that date, will be issued as Code authorisations and approvals, and the new conditions, including guarantees, will apply regardless of whether an old style authorisation or approval was applied for, including any mandatory guarantee requirements.

The DA articles 250 – 255 and IA articles 345 - 349 provide the legal basis for the continued usage of authorisations and simplifications issued under the Community Customs Code (Reg No. 2913/92) during a period called Administrative Transition.

Administrative Transition runs from 1 May 2016 – 30 April 2019.  Most authorisations and approvals issued under the Community Customs Code (Reg No. 2913/92) may continue to be used during this period, however, the customs procedures concerned must be operated in accordance with the new Code, IA and DA provisions.

For example:

·        A  Local Clearance Procedure (LCP imports) authorisation issued on or before 30 April 2016

·        May be used to enter goods to Entry in Declarants Records (EIDR) on or after 1 May 2016

·        Article 150 (DA) excludes the use of EIDR in certain circumstances therefore these restrictions will apply to the authorisation immediately (for example, goods may not be entered to Onward Supply Relief using EIDR).

 

Community Customs Code (Reg No. 2913/92) authorisations with no end date

Authorisations and Approvals issued on or before 30 April 2016 which do not have an end date (open ended validity) will be subject to reassessment by Customs during the transition period. 

Businesses will not be required to re-apply for these authorisations unless they wish to take advantage of any new benefits or facilitations available under the Code.

After reassessment a new Code authorisation or approval will be issued and the full criteria and conditions laid out under the Code will apply, including any mandatory guarantee requirements.

 

Community Customs Code (Reg No. 2913/92) authorisations with an end date

Authorisations or approvals which have an end date (a limited period of validity) may continue to be used until their expiry date or 30 April 2019, whichever is earliest.

Businesses which hold an authorisation with an end date will be required to apply for a Code authorisation or approval.  Customs will not automatically reassess or reissue them.

Businesses should ensure they reapply in time to enable the applications to be processed prior to the end of transition, taking account of the timescales set out in CAA02040 for Customs to make a decision.

 

Release of goods to a customs procedure during Administrative Transition

Uncleared goods:

·        Customs declarations lodged with the customs authorities on or before 30 April 2016 but where the goods are uncleared by 1 May 2016 will be cleared in accordance with the Code rules and procedures.

·        This means, for example, that any declarations pre-lodged for Processing under Customs Control, will need to be cleared to Inward Processing.

Goods held in storage (customs warehousing types A, C and E, free zones or temporary storage):

·        Any goods held in storage on or before 30 April 2016 but released to a customs procedure on or after 1 May 2016 must be removed under the Code rules (with the exception of Type D warehouses, please see section CAA04110 for details)

·        This means for example, goods in a customs warehouse (type C) to be released to Onward Supply relief (OSR) on 1 May 2016 may not be removed from the warehouse using EIDR.

Release to a customs procedure authorised by the acceptance of a customs declaration (for example, simplified inward processing authorisations):

·        Any goods released to a customs procedure on or after 1 May 2016 which requires customs authorisation for the procedure on the basis of the customs declaration must comply with the Code rules, including the provision of a guarantee where required.

Transit movements:

·        Goods entered to transit on or before 30 April 2016 where the movement is ended on or after 1 May 2016, it shall be discharged under the Community Customs Code Rules (Reg No. 2913/92).

 

 

Special Procedures:

Goods entered to the following special procedures on or before 30 April 2016 but discharged on or after 1 May 2016 must be discharged under the Code rules:

·        End use (this includes the requirement for a Bill of Discharge to be submitted)

·        Customs warehousing (with the exception of type D)

·        Inward processing suspension

·        Processing under Customs Control.

Goods entered to the following special procedures on or before 30 April 2016 but discharged on or after 1 May 2016 must be discharged under the Community Customs Code (Reg No. 2913/92) rules:

·        Inward processing drawback

·        Temporary Admissions

·        Customs warehousing type D

·        Outward processing.

Goods entered before 1 May 2016 to a type D customs warehouse may only be removed using the type D rules of assessment until 31 December 2018.

Please see section CAA04100 for more details.

 

IT Transition

IT transition, empowered under articles 278 and 280 of the Code, allows for manual (non-data processing) techniques to be continued until the necessary computer systems are in place. 

IT transition runs from 1 May 2016 to 31 December 2020.  The specific end dates for IT transition during this period will depend on the scheduled implementation date for each IT delivery item within the Work Programme for the UCC.