UK Customs - FAQ

There are different scenarios possible depending on the goods you ship and your operating model. Your daily processes are likely to be changed and this will also influence your digital processes. To avoid problems and acting too late, start your preparation on time.
For all goods moved between the EU and the UK there will be the need for an Export Declaration and an Import Declaration.

In addition, you may be responsible for ensuring that safety and security notifications are made (so called “Entry” and “Exit” summary declarations).
If you import any type of controlled goods then you may be required to make additional pre-shipment notifications to the relevant countries authorities, obtain export certificates or import licences.

For certain goods such as live animals or products of animal origin you may need to adjust your shipping routes to ensure you enter the customs territory via designated Border Control Posts for the specific types of products being imported.

Yes, the UK will have a 6 month phased implementation where for certain goods an entry in the commercial records (knowns as Entry in the Declarant’s Records “EIDR”) can be used as a supplementary declaration can be lodged within 6 months from the date of import.

It is also the case that the requirement to submit UK Entry summary declarations will be waived for the first 6 months. BUT, this does not apply to controlled goods nor does it apply to goods moving from the mainland UK to Northern Ireland.

For controlled goods a simplified frontier declaration will still be required, as with the original Brexit planning this is likely to be a pre-arrived or pre-lodged declaration with the arrival being confirmed within 24 hours of import.

Also whilst any Free Trade Agreement may affect the duties payable and may even address some of the Sanitary and Phytosanitary (SPS) requirements on animal, food and plant products it will not remove the need to submit import and export declarations.

It also will not affect exports to the EU as there is no indication that EU Member States will have the same phased approach.

Yes, from 1st January 2022 safety & security declarations for imports from IE to GB will be required. Find out more here on Safety & Security filings

Correct hauliers will need access to be able to submit EU ICS declarations from 1January 2021. Contact us to discuss our Global Security Filing options.
More information on security & safety filing here

Hauliers will also need an EU EORI to be able to submit EU ENS. The same is also true for EU Hauliers carrying goods to the UK after 1 January 2022 and who will need GB EORIs.

It is for all goods the only difference is who is defined as the “carrier” and responsible for the declaration and the time limits for lodging.
More information on safety & security filing here.

Yes, the UK is introducing a new GB Safety and Security system. This will apply for Rest of the World imports from 1January 2021 and for EU imports from 1 January 2022. The current ICS system will still be used for imports into Northern Ireland either from Rest of the World or from GB after 1 January 2021. We will route safety & security declarations depending on the declared Office of First entry accordingly but the submitting party must hold a GB EORI for use on the GB Safety and Security system and an EU EORI for submitting to NI ICS. It will not be possible to divert goods between GB S&S to EU ICS and for movements coming to GB and then EU or vice versa then two ENS declarations will be required unless the UK and EU come to some form of agreement.

Customs declarations need to be submitted electronically to HMRC. Before submitting a Customs Declaration, you will need to be registered with HMRC and have an EORI number, you will also need to know the commodity codes for your goods and have registered with the Government Gateway, you may also require a CHIEF Badge provided by one of the CSP providers. 

You can choose to do this yourself for which you would need a software solution or you could choose to use an intermediary such as a customs broker.

Absolutely, functionality exists to record the minimum data required to comply with the Customs requirements and then use that same data to submit the customs declarations within the 6 month period.
See how easy it is to submit an EIDR using Descartes e-Customs software here.

Ultimately as import or exporter, most brokers will be acting as a direct representative which means the legal liability of the accuracy of the customs declaration and any tax liability remains with the importer or exporter. Therefore, some traders prefer to maintain control over their customs declarations by submitting themselves.

Of course, most brokers bring a wealth of experience and expertise, but they will also be under pressure with the large increase in the number of declarations required and the lack of capacity in the intermediary market has been a recognised concern and you may find it difficult to find a broker.
Then there is also the cost, depending on the number of shipments per month it could work out more cost effective to submit your own customs declarations.

You do not need full access to CHIEF but you do need software that will submit declarations to CHIEF (or CDS for Northern Ireland). Contact us to discuss our Customs Filing options for CHIEF and CDS.

The export declaration definitely does. The EU import depends both on country of first entry and how you intend clearing the goods, for example instead of an import declaration you may use Transit.

If you have a permanent establishment in that customs territory, so the UK for imports into the UK or an EU Member State for imports into the EU (you may need a branch office in the actual Member State of import or a SASP authorisation) then yes.

Generally it is not permissible for a company established outside the customs territory to act as a declarant or hold customs authorisations, you will either have to appoint a fiscal representative to act on your behalf, use a freight forwarder or change your terms of sale so that the importer is responsible for the import customs clearance. However, for foreign cargo remaining on board (FROB), the ISF Importer is the carrier.

Customs declarations are required for all goods. There are some simplified procedures for low value goods where no duty or import VAT is applicable but these vary from Member State to Member State. Businesses moving goods less than €150 should also be aware of changes to take into account the removal of the current €22 VAT relief limit and the onus on the seller for collecting the VAT at the time of sale not on import –
See: https://ec.europa.eu/taxation_customs/news/new-form-customs-declaration-low-value-consignments_en

Many countries are introducing new systems to accommodate this process – H7 in Belgium and France and DECO in the Netherlands for example.

Yes we have SaaS solutions covering especially the Benelux and Scandinavian regions. Contact us for more information.

For goods imported via the major ports and airports, these are generally managed by port community systems and are commonly called inventory linked. For these although you can still submit declarations using our software you will need a port community system identity (otherwise called a “Badge” or "Chief Badge") for each inventory linked port. We can help guide you on how to get that set up.

HMRC have stated that "Transitional Simplified Procedures are currently suspended. You will not need to use this between February and December 2020. If you have applied, keep your paperwork safe." But the process under the phased implementation is effectively the same as TSP.

The customs declaration is linked to the port inventory system and a specific consignment, allowing for the customs release status on the port system to be automatically updated on clearance of the customs declaration and sent from customs directly to the port in a secure and trusted manner.

If your Ro-Ro (Roll-on, Roll-off) location uses an existing port community system that is inventory linked then yes. Speak with the Community System Provider (CSP) for that port.
If the Ro-Ro location is NOT inventory linked then to complete a customs declaration you will need a ‘Chief Badge’. However, you do not require one per non-inventory linked location just a single “badge” from any of the UK port community system providers.

You need a specific Chief Badge for each Inventory linked port or inland clearance site. If the goods are non-inventory linked then you should be able to use any of your existing badges. For Dover, the port itself is understood to be non-inventory linked but if you decide to clear your goods at the Motis or Stop 24 clearance sites you will need a Pentant Chief Badge.

No details have been shared yet about the new additional inland clearance sites and whether they will be inventory or non-inventory linked but these are likely to be increasingly important to move clearance and inspections away from the initial point of entry and existing inland clearance locations.

Depends if the goods are entering an inventory linked (Temporary Storage model) location or not. If so, the declarations are linked to the inventory system and release given to the vehicle/container/consignment once the declaration has received customs clearance.

For goods entering at a non-inventory linked port the Goods Vehicle Movement Service should be in use from 1 July 2021, where the goods should not be able to leave origin unless the GVMS record had details of both the Safety and Security declaration and any customs declarations (Import, Transit, CFSP Entry in the Declarant’s Records). GVMS will then be used to advise whether the goods are released or not.

At most UK airports goods from the EU still pass through the port inventory system albeit on a simple “C” status and automated release basis. From 1 January 2021 simplified processes will be used where the deferred declaration mechanism is used but from 1 July 2021 an import declaration or inventory clearance request will be necessary. As there will be no automated release then there could be delays but as goods already have to be unloaded, moved to a transit shed and await collection this will depend heavily on broker capacity.

You cannot directly, the EU import declaration is a separate declaration to the export and requires separate submission to the EU customs authorities. However, you could add information to the goods description for example or arrange to pass the data electronically to the person who will be submitting the EU import declaration. Note: to submit an EU import declaration a trader must be established in the EU as well as holding an EU EORI.

Post transition the UK will implement Imports Postponed Accounting where VAT is not paid at the time of import but accounted for in the usual VAT returns. This is optional for VAT registered businesses and declared by means of a specific Method of Payment code. For non VAT registered business or where VAT is being secured on deposit this will still need to be paid at the time of import.

Unless you are established in the EU and are willing to submit the customs declaration yourself you will need to appoint an agent. If you are not established in the EU but want to be the importer of record and supply goods on an Intra Community basis you will also need to appoint a Fiscal Representative, this may be the same person as your broker or a third party. The Fiscal Representative will normally take care of your VAT and IntraStat reporting needs.

In general, if the goods are to be unpacked and checked then they would need to be imported into the UK under Inward Processing or Temporary Admission and then re-exported to the EU including the Republic of Ireland.

For goods imported into the UK destined for Northern Ireland then it still is unclear whether two declarations would be required, one from the EU placing the goods into Free Circulation within the UK Customs Territory and one to declare the intention in Northern Ireland or whether it would be better to move under Transit to Northern Ireland and clear Customs there, preferably under Temporary Storage or if at risk of entering the Republic of Ireland into Customs Warehousing.

Companies in Northern Ireland will need a “XI” EORI for use on European systems such as ICS and NCTS. Companies trading in Excise goods will also require an XI Warehousekeeper ID and SEED ID for Northern Ireland premises. Northern Ireland Traders will also need an XI VAT number for selling or buying goods from EU and when completing Intrastat returns for movements between Northern Ireland and the EU.

The Descartes Pentant ETSF solution is tailor-made for truck based movements into inland temporary storage facilities anywhere in the UK. The fully HMRC and Border Force approved Pentant CSP Inventory system brings full control and compliance to your ETSF and enables you to move your customs clearances away from the border to your inland premises, under the same controls, rules and regulations, bringing all operations in-house rather than at remote port clearance sites.

The unique truck-based solution is provided through Software as a Service (SaaS) and is fully accessible through the internet.

Based on Pentant’s many years of experience, in inventory-linked Ro-Ro movements through the Port of Dover and the Channel Tunnel, the software provides the same level of detail and granulation required at a truck level for the clearance of goods, but at your own site.

The Descartes Pentant CSP also provides a direct, managed, physical line CHIEF to deliver your (or your agent’s) related customs declarations and responses.

Not necessarily, a Free Trade Agreement is not a Customs Union and will only apply to products that meet certain Origin Rules. Products just imported from China to the EU and on to the UK should not benefit from any Eu-UK free Trade Agreement.

Therefore there will still be the need for customs processes and declarations and the risk of disruption to the UK or EU Market will still exist with regards to Northern Ireland.

The UK is planning to introduce a Goods Vehicle Manifest Service (G VMS ) to capture details of vehicles and the declarations for the goods they are carrying as an option for Northern Ireland ports who do not have an Inventory System.

The GVMS will also facilitate an electronic office of Transit when goods moving under the Common Transit Convention enter Northern Ireland.

Under this system all customs declarations would need to be submitted to the Customs and be quoted against the vehicles GVMS record. This would be either the Customs Declaration reference (e.g. MRN), a Transit MRN for goods moving under Transit or the traders EORI if EIDR was being applied.

On departure Customs would be notified that the vehicle was on its way to allow them to process the customs declaration in advance of arrival to facilitate the quick release from the port for those goods not subject to inspection.

This is similar to the plan French Customs have made for goods crossing the Channel or using the Channel Tunnel and it is highly likely UK Customs will want to apply the same process for road movements from the EU at least by the end of the phased implementation.

As well as customs or transit declarations though, there still could be the need to submit Safety & Security declarations. It is the Carrier who is held responsible for lodging these declarations and for accompanied vehicles the Carrier is deemed to be the haulier.

For exports it is likely the same process will apply as originally envisaged for a hard Brexit, with Road movements being declared as arrived and movement to the port discouraged unless a clear permission to progress has been given via the Customs system.

The Goods Vehicle Movement Service (GVMS) will facilitate movements via RoRo ports by reporting vehicle details and customs declaration references for goods being carried prior to arrival at the port of export from 1st January 2021 for goods moving from Great Britain to Northern Ireland (and limited circumstances from Northern Ireland to Great Britain) as well as for all goods moving under Transit from the EU.

For RoRo the export declaration has to be declared as arrived so there is no arrival / permission to progress at the Eurotunnel or Ferry location until 1 July 2021 when GVMS would apply.
Rail and Ferry operators may want some evidence that an export declaration has been done and in some cases an import or Safety & Security declaration into Europe but in most cases this may be a T&C matter of carriage although to France they need to interact with French Customs using the French equivalent of GVMS.

A CSP Badge is like an account and you will need one to operate customs clearances within the Descartes eCustoms software and access the relevant UK port system as appropriate. For exports the badge from any CSP covers all modes of transport. You will need to have a separate account with the relevant CSP for all the Airports and Ports you use.

Pentant who are one of four Community Service Providers (CSP), are also owned by Descartes Systems Group. The other CSP’s are MCP, CNS and CCSUK. Once you have acquired a CSP badge and then had it set up in the HMRC CHIEF system we can assign that ‘badge’ against your e-Customs client to allow us electronically process the customs declarations you create based around the inventory record held with the CSP system.

In the UK you can visit Gov.UK

A duty deferment account enables you to delay paying most customs charges, see Gov.UK

Under the UK’s proposed Border Operating Model businesses with AEO(C ) status will automatically be able to use duty deferment without providing a guarantee. Other compliant and solvent businesses will be able to defer customs duty, import VAT and/or excise duty up to £10,000 per month without needing to provide a guarantee. They will be able to obtain approval to defer amounts above this monthly limit if they have sufficient financial resources for the amount they’re seeking to defer. Businesses that don’t meet these criteria will still be able to set up a DDA if they provide a guarantee.

It will also be possible to claim guarantee waivers for simplified and special procedures, but a guarantee will still be required for moving goods under Transit.

This assumes a certain level of infrastructure that may or may not be available at each location. For unaccompanied goods then there are no such lines as such and so AEO only really affects the risk analysis and chance of selection for customs holds. The benefits of AEO are in obtaining quicker access to simplified procedures, being able to submit less data or not having to provide financial guarantees.

CFSP may be used for the importation of most third country goods. You can apply at Gov.UK

No, for direct exports there should be no need for NCTS. Only goods travelling via the EU by road in whole or part should require a Transit document.

If you want to move goods away from the first point of entry into the EU then yes, so for example arriving in Calais and clearing in Spain. We recommend this is done in the UK before the goods leave preferably using Authorised Consignor status.

There are two options:

1. Simplified Procedures using an Authorised Consignee which may be linked to a temporary storage facility or customs warehouse.

2. Normal procedures at an Office of Destination and filter by Country and DES - Office of Destination. Many will be associated with ports or airports or inland clearance locations. To discharge the transit you will need to submit an import customs declaration or enter the goods into another customs procedure (e.g. Temporary Storage) at that location.

This probably depends on the outcome of any Free Trade Agreement and probably would also require use of the the EU REX scheme in the UK. Because the GSP schemes offered by Norway, Switzerland and Turkey are similar to EU GSP, cumulation of origin is allowed between these countries for GSP. Additionally, the customs authorities in the EU, Norway, Switzerland or Turkey may, for the purpose of sending the goods to one of the other parties, replace a Form A issued by the authorities of a beneficiary country. However, they all have a Free Trade Agreement or Customs Union with the EU.

It is likely that without any cumulation agreement GSP goods entering the UK and then moved to the EU would need to meet the non-manipulation rules and require the original GSP.

ATR relates to the Customs Union agreement between the EU and Turkey which means duty paid goods in Turkey can travel duty free to the EU for the majority of goods (excludes some agricultural and steel goods). Unless the UK signs a Customs Union with the EU and/or Turkey then it is unlikely ATR1s will still be used. The UK – Turkey trade agreements are still ongoing.

If you used indirect Exports where you raised a UK Export declaration and then moved the goods across the EU before exiting the EU to a third country then this will no longer be possible after the Brexit transition period ends on 31 December 2020. On entering the EU the goods must either already be travelling under Transit or have a Transit movement started. This Transit movement will need to have the potential EU duties guaranteed and will be discharged once the goods leave the EU. The process of discharging the Transit movement will vary country by country.

Clearly, all systems and processes will be handling a much higher volume of imports and exports meaning where resource capacity is insufficient delays can occur for all goods. However, the process for imports from the Rest of the World will remain largely unchanged except that Postponed VAT accounting will be available for the majority of VAT registered business and in Northern Ireland the import and export declarations will need to be completed on the new Customs Declaration Service not CHIEF.

Not if they are duty paid, even if the UK agrees a Free Trade Agreement with the EU a Free Trade Agreement is not a Customs Union so non-UK goods will still be dutiable in the EU. Although in some circumstances duty can be recovered (e.g. rejected goods) most Free Trade Agreements exclude goods where duty has been drawn back or suspended.

To avoid paying twice, then either ship direct to the intended territory or use Customs Warehousing to avoid duty until the final destination is confirmed.

Yes, goods exported to the EU or UK and then returned will require an import entry and a claim to returned goods relief where applicable. Special procedures do apply for re-usable packaging and these normally are treated as a type of Temporary Export or Import, but you should check each customs authorities' specific requirements.