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HMRC internal manual

Customs Special Procedures Manual

Discharge of IP - Bill of Discharge: full authorisations and authorisations involving another Member State

The IP Bill of Discharge (Form BoD1) is one of the key controls of an IP authorisation as it records the entry, disposal and discharge to free circulation of all IP goods received by the authorisation holder. It also contains the authorisation holder’s declaration that the goods have been dealt with in accordance with the conditions of the authorisation.

Frequency of submission of Bills of Discharge

When issuing an IP authorisation, the authorisation letter must make clear the frequency of submission of BoDs (normally monthly or quarterly) and the dates by which they must be submitted. Periods in excess of quarterly aggregation are not to be allowed.  ‘Nil return’ BoDs are required to be submitted even for accounting periods when there has been no IP activity.

Each BoD must include details of all goods discharged and the method of discharge (eg, re-export or release to free circulation).

Commission Delegated Regulation (EU) 2015/2446, Article 175

Deadline for submission of the Bill of Discharge

The authorisation letter must specify the date(s) by which time the Bill of Discharge must be received by Customs.  This will be within 30 days of the end of the agreed period for discharge.

Information requirements

The information required to be submitted on a Bill of Discharge is laid down in legislation; these requirements are reflected in Form BoD1.

However, in justifiable circumstances, the authorising/supervising office may allow some of the information to be omitted provided that:

  • the control of the procedure is unaffected, and
  • the information dispensed with is available within the authorisation holders records.

Supervising office checks for authorisation to use simplified BoDs

For any application to omit details from BoDs to be agreed, the authorising/supervising office must establish by physical verification of the authorisation holder’s records that the information (such as import/re-export/disposal references numbers and the rate of yield for each processed product or specific reference to the relevant production records) is available in their records/systems prior to granting the simplification.

 In addition:

  • the applicant must have been a regular user of IP for at least 12 months at the time of application
  • at the time of application, the authorisation holder must be fully up to date with their submitted BoDs
  • all BoDs for the previous twelve months must have been submitted on time
  • the authorisation holder must not have a record of irregularities in the previous 12 months.

Where these criteria cannot be met the application for reduced information BoDs should be refused.

Council Regulation (EU) 952/2013, Article 257; Commission Delegated Regulation (EU) 2015/2446, Article 175