This part of GOV.UK is being rebuilt – find out what beta means

HMRC internal manual

Customs Special Procedures Manual

Miscellaneous: diversion of Inward Processing (IP) goods to End-use relief: disposing of goods following revocation

IP should not be authorised where the intention is to release goods to free circulation. Diversion of IP goods to end-use may however be approved, provided it is not a regular or normal method of disposal, for example, where an export order has been cancelled.

In these circumstances, if the IP goods being diverted are eligible for End-use, subject to being put to a use for a prescribed purpose, duty on diversion can be calculated at the End-use rate provided, at the time of release, the trader holds an End-use authorisation or is applying for one and all the conditions for granting End-use are satisfied. The goods entered to IP at the time of import must have been eligible for End-use

Any duty due will be calculated at the End-use rate of duty on the value of the goods at import.

Commission Regulation 2454/93 Article 547a

EU regulation 952/2013