CDS.NI.Tariff.Supplement.Module.Jan.2021 - Security Marking
Contents covering moving goods to/from NI, tariff quotas, customs procedures, special procedures, fiscal territories, NI Protocol training objectives, Union Customs Code, and customs processes for RoW to NI movements."
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CDS NI Tariff Supplement Module Jan 2021 | Security Marking | Presentation Title | 1 OFFICIAL
Contents Moving Goods To/From NI Tariff Quotas Preference Meursing Codes Special Procedures &NI UK Customs Procedures, Facilitations & Schemes available in NI Special Fiscal Territories and Countries with which the EU has a Customs Union Transit Excise Guarantees | Security Marking | Presentation Title | 2 OFFICIAL
Contents (2) Intrastat GVMS Ro Ro Traffic At Risk/Not at Risk Goods NIP Tax types Country Codes Additional Information (AI) Statements NI Subsidies Post Import VAT (PVA) Accounting Agri Foods | Security Marking | Presentation Title | 3 OFFICIAL
NI Protocol Training Objectives The following slides will summarise the impact of the movement of goods into and out of Northern Ireland from a Customs perspective before we move on to consider certain aspects in more detail. This training package will provide a high level view of the changes to the CDS Trade Tariff for application under the NIP. For the purposes of this training : UK: Includes England, Northern Ireland, Scotland and Wales GB: England, Scotland and Wales (also including the Isle of Man) - But excluding Northern Ireland NI: Northern Ireland NIP: The Northern Ireland Protocol | Security Marking | Presentation Title | 4 OFFICIAL
The Union Customs Code Whilst the TCTA, CEDEER and CIDEER apply to goods imported to or exported from GB, under the Northern Ireland Protocol, goods movements into Northern Ireland will apply the UCC. CDS is the only system that can cater for full Northern Ireland Protocol compliance on 1 January 2021. | Security Marking | Presentation Title | 5 OFFICIAL
Moving Goods To/From NI -1 RoW to NI movements These movements will follow the existing customs processes in CDS with the following exceptions: Goods imported from the RoW into NI may be subject to the duty rates and measures of either the: UK Tariff (https://www.gov.uk/check-tariffs-1-january-2021) or the EU Tariff (https://ec.europa.eu/taxation_customs/dds2/taric/taric_consultatio n.jsp?Lang=en) depending on whether the goods are classed as At-Risk of entering the EU. NI to RoW movements NI to RoW movements will follow the existing customs processes. | Security Marking | Presentation Title | 6 OFFICIAL
Moving Goods To/From NI -2 Goods sent from GB to NI Goods moved from GB to NI will require both a safety & security declaration (ENS) and an import declaration. A record of the movement will also need to be made on GVMS where the goods are moved by RoRo mode of transport If goods are classed as At-Risk they may be subject to the EU Tariff. They may be subject to customs duty at the EU rate (and other tax types as applicable including import VAT on additional duties) as well as EU Tariff measures If the goods are not classed as At-Risk , then the goods are subject to the UK Tariff (measures) but are not subject to any customs charges (duty, excise or VAT). Note: A customs declaration is required in all instances regardless of whether the goods are classed as At-Risk or not. No export safety & security (EXS) or export declaration is required in GB for GB to NI movements. | Security Marking | Presentation Title | 7 OFFICIAL
Moving Goods From NI to GB Goods moved from NI to GB will only require an export declaration in NI in specific circumstances. The circumstances in which a declaration is required are as follows - Indirect movements: export declarations for Irish or other EU goods below the low-value threshold of EUR3000 where the declaration has not been made to the home customs administration. Certain goods under special procedures Any prohibited, restricted or controlled goods Note: No import safety & security or import declaration is required in GB for NI to GB movements, except in cases where the goods leave NI under duty suspension where a customs declaration may be required in GB. | Security Marking | Presentation Title | 8 OFFICIAL
Moving Goods To/From NI -3 Goods sent from an EU MS to NI : Goods that are sent from an EU MS to NI do not require either a safety & security declaration or a customs declaration to be made. Goods sent from NI to an EU MS: Goods that are sent from NI to an EU MS do not require either a safety & security declaration or a customs declaration to be made. GB-EU-NI movements: A GB export declaration followed by EU import declaration will be required. Goods can then move freely into NI. GB-NI-EU: An NI import declaration will be required for the GB-NI movement, followed by free movement from NI into the EU. NI-IE-GB: An indirect export declaration will be needed in NI to move goods to GB via IE, followed by an import dec in GB as per staged controls. EU-NI-GB: EU goods will need an indirect export dec to exit NI, but will not need a GB import dec unless controlled goods (including excise) are being moved. | Security Marking | Presentation Title | 9 OFFICIAL
General Guidance to follow when completing a CDS Declaration Unless covered by a specific exemption, removal or amendment detailed in the UK Trade Tariff: Volume 3 NIP Update for CDS all provisions/instructions in Volume 3 of the UK Trade Tariff for CDS still apply to the completion of a declaration. The separate UK Trade Tariff: Volume 3 GB Update for CDS/CHIEF should not be used when making declarations for NI imports or exports. Any facilitations/easements that are granted for use with imports and exports from/to GB and the EU, for example Staged Controls, are not applicable to NI unless they are detailed the Volume 3 NIP Update. | Security Marking | Presentation Title | 10 OFFICIAL
Tariff Quotas Depending on the status of the goods (see below for At-Risk and Not-at-Risk Goods) importers will only be able to access a UK Tariff quota for not-at-risk goods. On CDS, all UK tariff quotas are recognised by an order number beginning with 05 (In CDS this relates to completion of DE 4/17 and DE 8/1). | Security Marking | Presentation Title | 11 OFFICIAL
Preference Depending on the status of the goods (at-risk vs not-at-risk) importers may be able to access either UK Preference arrangements for not-at-risk goods or a EU Preference arrangements for at-risk goods. On CDS, users will continue to use the existing Preference codes as shown in the CDS Trade Tariff to access either UK or EU Preference arrangements. Please see the UK Tariff Volume 2 for the available NI and GB Preferential duty rates and any Tariff suspensions. For details of when Preference can be claimed and a link to the relevant part of the FTA see . Gov.UK here. | Security Marking | Presentation Title | 12 OFFICIAL
Meursing codes Where an NI import declaration is made to a Commodity Code which has a requirement for a meursing code (goods containing certain types of milk and sugars covered Regulation (EC) No. 118/2010) in the EU Tariff, this code must be provided. This is regardless of whether the goods are determined to be At- Risk or Not-at-Risk. | Security Marking | Presentation Title | 13 OFFICIAL
Special Procedures & NI GB to NI : A declaration will be required in NI to enter goods to a Special Procedure in NI, even if the goods were under a Special Procedure in GB.A declaration is still required even if the authorisation holder is still the same in GB and NI . Where goods are moving to NI to be placed under the same Special Procedure as they were under in GB, they should be entered into the Special Procedure with the Previous Procedure declared e.g. Inward Processing In NI following Inward Processing in GB is declared as 5151 in DE 1/10. NI to GB :The special Procedure must be discharged in NI by either discharge to free Circulation or by using the relevant re-export Procedure before entering a further Special Procedure in GB if required. Please refer to the GB Tariff for the requirements of the GB Import Declaration. The GB Import Declaration can be made using CHIEF or CDS depending on the system the trader is operating. . | Security Marking | Presentation Title | 14 OFFICIAL
Special Procedures & NI ROW to NI :If goods are only processed in NI, the current process applies as detailed in the CDS Tariff. If goods are to be processed in both NI and GB, the Special Procedure should either first be ended in NI by being discharged into free circulation or by using the appropriate re-export procedure before entering a further Special Procedure in GB. Northern Ireland will operate under the UCC and authorisations and guarantees will be needed to be able to enter goods into a special procedure. Standard NI Additional Information Statements must still be declared on declarations in D.E 2/2 into or out of Special Procedures. This includes the ability to declare goods not at risk using AI statements if the conditions for doing so are met. A valid authorisation will be needed to use Special Procedures in NI. | Security Marking | Presentation Title | 15 OFFICIAL
UK Customs procedures, facilitations and schemes applicable in NI: Low Value Bulking Imports (LVBI): LVBI was replaced by the Bulk Import Reduced Data Set (BIRDS) scheme in GB on 1/1/21. LVBI/BIRDS must not be used for NI imports on CDS on/after 1/1/21 until further notice. Low Value Consignment Relief (LVCR): VAT relief for goods with a value not exceeding 15 (excluding goods sent from the Channel Islands) has been removed with effect on 1/1/21. All goods imported from third countries and Special Fiscal Territories (excluding qualifying gifts or any other reliefs available) are liable to import VAT regardless of their value. | Security Marking | Presentation Title | 16 OFFICIAL
UK Customs procedures, facilitations and schemes applicable in NI: Please note that any GB easements or facilitations under Staged Controls (such as CFSP: EIDR delayed supplementary declaration, or easements in relation to production of certain licences/certificates as shown in the GB Trade Tariff Update) do not apply to declarations made in NI unless shown in the NI Tariff Supplement. | Security Marking | Presentation Title | 17 OFFICIAL
Special Fiscal Territories and countries with which the EU has a Customs Union The instructions in the CDS Trade Tariff should be followed, noting that in NI an EU Special Fiscal Territory (SFT) will continue to be treated as an SFT for the purposes of the NIP. However, goods from a UK SFT (Bailiwicks of Jersey or Guernsey) will be treated with the same status as goods from GB. Applicable declaration categories in CDS will be either H1, H2, H3 or H4. Declaration category H5 is not applicable in NI to movements from Jersey or Guernsey. When submitting a declaration for goods from a UK SFT to NI, DE 1/1 must be IM and not CO as currently shown in the Tariff, Additional Procedure Code F15 should be used in DE 1/11 and Additional Information Statement NIIMP must be entered in DE 2/2. | Security Marking | Presentation Title | 18 OFFICIAL
Transit The UK has reached agreement to retain membership of the Common Transit Convention (CTC) after the Transition Period so traders will be able to use Transit when moving goods between CTC countries. See the New Computerised Transit System (NCTS) guidance for further information on completing a declaration. | Security Marking | Presentation Title | 19 OFFICIAL
Excise GB-NI movements: where a movement of UK goods is being made from GB to NI, the trader will be required to use the existing manual override functionality* to manually calculate and input the correct excise duty liability, if the excise duty applicable to the goods when they enter NI is higher than the excise duty already paid on the goods in GB. An example of when this might happen is if there has been an increase in the excise duty rate, for example if there has been a budget rate change, between the time of first payment of the GB excise duty in GB and the time when those goods are moved into NI. * AI statement OVR01 is entered in DE 2/2 to manually enter the customs charges due on goods. Please refer to the Procedure Code notes in the CDS Trade Tariff for where AI statement OVR01 may be used for more information. | Security Marking | Presentation Title | 20 OFFICIAL
Guarantees The rules for guaranteeing actual and potential customs debts have changed for businesses that defer or suspend duties in Great Britain (GB). Guarantee requirements for duty deferment, Special Procedures and Temporary Storage have not changed for businesses using these procedures in NI. Under the Northern Ireland Protocol, NI businesses will need to continue to provide a Customs Comprehensive Guarantee (CCG) in order to use duty deferment and be fully authorised to operate Special Procedures and Temporary Storage. GB and NI traders who regularly use transit procedures under the CTC to move goods to the EU and other CTC countries will still need a CCG. However, they can apply to reduce the value of the guarantee they would otherwise need to provide by 50%, 70% or 100% if they can demonstrate a high degree of compliance, competence and financial solvency. Traders with AEOC status are already entitled to a 100% guarantee reduction for potential debts. | Security Marking | Presentation Title | 21 OFFICIAL
Intrastat Under the Northern Ireland Protocol, HMRC is legally required to collect international trade statistics for goods exported from and imported to NI. As customs declarations will not be required for NI trade with the EU, Intrastat will continue to operate for these movement of goods. This means UK VAT registered businesses exporting goods from NI to EU Member States or importing goods into NI from EU Member States, with trade above the existing Intrastat arrivals or dispatches exemption thresholds, will be required to submit Intrastat declarations. | Security Marking | Presentation Title | 22 OFFICIAL
GVMS: Goods Vehicle Movement Service The UK is now operating a service called GVMS for which movements of goods, mostly via RoRo locations, are registered and recorded at import and export. GVMS is now operating for Transit movements and movements to/from NI on CDS. A unique reference number (a Goods Movement Record - GMR) for each goods vehicle movement through the border will be created and issued by GVMS Where goods are moved to NI using GVMS the CDS declaration completion instructions are shown in the UK Trade Tariff: Volume 3 NIP Update for CDS. | Security Marking | Presentation Title | 23 OFFICIAL
RoRo Traffic RoRo Mode of Transport A new mode of transport is applicable on CDS (DE 7/4): Mode 6 for RoRo movements. Please note that there are different requirements for RoRo imports/exports in GB. | Security Marking | Presentation Title | 24 OFFICIAL
At Risk / Not At Risk Goods -1 All goods that are imported into NI will be deemed either at risk or not at risk to the EU market. If the imported GB or RoW goods are considered at risk , the EU (Common External) Tariff, including relevant duty rates, measures, licensing requirements are applicable to the goods. For not at risk goods, the UK tariff will be applied for RoW imports. For GB-NI imports of not at risk goods, the UK tariff duties will be applied, however GB goods will not be liable to charges. Please refer to the UK Trade Tariff lookup tool on GOV.UK for the Erga Omnes (applies to all) measures that will apply to these goods. Traders are able to declare their goods are not at risk of entering the EU and have the UK Tariff requirements applied to them. | Security Marking | Presentation Title | 25 OFFICIAL
At Risk /Not At Risk Goods -2 Identifying if goods are classed as At-risk Information is provided on GOV.UK to identify which goods have this status and whether this status may amended on a customs declaration: https://www.gov.uk/guidance/check-if-you-can-declare-goods-you-bring-into- northern-ireland-not-at-risk-of-moving-to-the-eu-from-1-january-2021 Accessing the EU Tariff for EU duty rates and measures on At- risk goods The EU Tariff (Volume 2) can be found here: EU Tariff https://ec.europa.eu/taxation_customs/dds2/taric/taric_consultation.jsp?Lang=en | Security Marking | Presentation Title | 26 OFFICIAL
Declaration Completion Requirements for not at risk goods Where a trader is declaring their goods are not at risk an AI Statement is required in DE 2/2 Additional Information . The AI statement NIREM is used to declare the goods are not at risk. The declaration completion requirements are shown in the NI Tariff Supplement and the full conditions that apply to its use are shown on GOV.UK: https://www.gov.uk/guidance/check-if-you-can-declare-goods-you- bring-into-northern-ireland-not-at-risk-of-moving-to-the-eu-from-1-january-2021 | Security Marking | Presentation Title | 27 OFFICIAL
At Risk Goods Claiming EU Preference rates on GB goods Where at-risk GB goods enter NI, traders are able to claim the EU s Preferential duty rate against GB goods under the UK-EU Trade and Cooperation Agreement (TCA) This requires the following declaration completion requirements when using CDS: DE 2/3 Must include one of the following codes, as appropriate: U110 if the claim is based on a statement on origin for a single shipment U111 if the claim is based on a statement on origin for multiple shipments of identical products to cover a 12-month U112 if the claim is based on importers knowledge DE 4/17 Must include a preference code in the 300 series. DE 5/16 Must be completed with the country of preferential origin | Security Marking | Presentation Title | 28 OFFICIAL
NIP Tax Types Changes to DE 4/3 Tax Types and Appendix 8: If goods fall into a commodity code/procedure that are listed as at-risk and EU duty rates and measures are applied the tax types are as follows: NIP Tax Code Tax Type UK equivalent code A50 Customs Duty A00 A70 Additional duties A20 A80 Definitive anti-dumping duties (ADD) A30 A85 Provisional anti-dumping duties (ADD) A35 A90 Definitive countervailing duties A40 A95 Provisional countervailing duties A45 B05 VAT on additional duties B00 | Security Marking | Presentation Title | 29 OFFICIAL
Country Codes There are no changes to the country codes used in CDS: For the purposes of an import or export declaration, GB is represented by the country code GB For the purposes of an import or export declaration, NI is represented by the country code GB This means, for example, that GB may be entered as the country of destination (DE 5/8), the country of dispatch (DE 5/14) and the country of origin (DE 5/15) on a declaration. Please note that at the present time, country code XI is only used in certain systems such as NCTS and NI ICS, but it is not currently recognised in CDS. | Security Marking | Presentation Title | 30 OFFICIAL
Standard Additional Information Statements The NIP requires the use of new Additional Information (AI) Statements in Data Element 2/2 specific to the type of movement involved. This also is reflected in changes to Appendix 4 : AI Code (DE 2/2) Purpose NIDOM Indicates a GB to NI Import declaration of UK goods Indicates a ROW to NI Import declaration, goods without UK status or good from the Channel Islands & EU SFTs NIIMP NIEXP Indicates a NI Export declaration NIAID Indicates a request for subsidy on a goods item Indicates a request to treat a goods item to not be at risk of entering the EU NIREM RRS01* Indicates the ports where hauliers will arrive declarations *Please note this AI Statement is entered at header level only, all other AI Statements shown are item level only | Security Marking | Presentation Title | 31 OFFICIAL
Standard Additional Information Statements RoW to NI movements : NIIMP Row to NI movements (including non-duty paid goods sent from GB, for example goods in transit through GB or goods in duty suspension under the customs warehousing arrangements) and Movements to NI from UK Special Fiscal Territories or EU Special Fiscal Territories. GB to NI movements : NIDOM For goods that have the status of UK domestic goods or have gained the status of UK domestic goods following completion of the free-circulation procedure in GB with all duties and taxes paid. NI to RoW & NI to GB movements: NIEXP Where CDS is being used for Exports from NI to the RoW or NI movements to GB. | Security Marking | Presentation Title | 32 OFFICIAL
Claiming NI Subsidies For goods moving between GB and NI only at this stage, there are certain circumstances that permit subsidies to be claimed against EU duty rates on At-risk GB goods. Subsidy cannot currently be claimed Post-Clearance or on RoW-NI imports. Traders may only claim subsidy up to certain limits and certain trade sectors cannot claim this subsidy yet. CDS will not monitor use of subsidy automatically Traders and Agents are expected to monitor their use of subsidy and observe the legal limits in place for its use. Enter NIAID in DE2/2 when making application for a subsidy of EU duties for GB to NI movements of goods classed as At-Risk . For the conditions which govern the use of the NIAID AI statement, please see the NI Tariff Supplement for the full terms and conditions. | Security Marking | Presentation Title | 33 OFFICIAL
Postponed VAT Accounting . Postponed VAT Accounting (PVA) is the process by which VAT registered traders can account for import VAT on their VAT return, instead of making a payment, securing payment or using deferment to pay the Import VAT due on a customs declaration. Where this scheme is used the VAT number of the trader is entered in DE 3/40 of CDS - The full completion instructions are shown in the UK Trade Tariff: Volume 3 NIP Update for CDS. DE 3/40 is also used for declarations to Onward Supply Relief (OSR). You should complete an OSR declaration according to the DE 1/10 completion notes. The PVA completion notes shown here are not appropriate to an OSR declaration. PVA cannot be used where a declaration is made using the I1 B&E simplified declaration on an occasional basis. The data set for this declaration does not include DE 3/40. For intermediaries submitting on behalf of an importer, the VRN must be that of the importer. VAT cannot be postponed against the intermediary s account on behalf of an importer. Where an agent is acting for an importer, they must ensure that they have the importer s permission to use PVA. | Security Marking | Presentation Title | 34 OFFICIAL
Agri Foods Customs Declaration Completion Requirements for Goods subject to Sanitary and Phyto-Sanitary (SPS) checks under the Northern Ireland Protocol On 10th December, the Government published a Command Paper setting out details of an agreement in principle on the implementation of the Northern Ireland Protocol between the UK and the EU. This document sets out temporary guidance on how agri-food traders should complete the import declarations required for movements from Great Britain to Northern Ireland once the transition period ends, in-line with the terms of the phased-in solution agreed between the UK and the EU. This is a temporary solution for traders making declarations on CDS for agri- food goods and further guidance will be issued in due course when these arrangements are due to change. Please consult the Command Paper for more information . | Security Marking | Presentation Title | 35 OFFICIAL
Interim Declaration completion requirements for agri-food movements Import Declarations for movements from Great Britain to Northern Ireland Where the trader qualifies under the grace period, certain completion rules must be followed where an import declaration is made for: Fruit and vegetables Plants and plant related products Live animals Products of animal origin High risk food and feed not of animal origin Fish caught under Illegal, Unreported and Unregulated Fishing (IUU) Regulations | Security Marking | Presentation Title | 36 OFFICIAL
Interim Declaration completion requirements for agri-food movements When completing the import declaration specific information needs to be inserted into the following fields of the declaration : Document code Status code (excluding movements of high risk food and feed not of animal origin, and fish caught under IUU) Licence reference (excluding movements of high risk food and feed not of animal origin, and fish caught under IUU) Free text in component 4 of the document code (excluding movements of high risk food and feed not of animal origin, and fish caught under IUU) For more information relating to the above and to licence requirements on the customs Declaration please consult UK Trade Tariff: Volume 3 NIP Update for CDS. | Security Marking | Presentation Title | 37 OFFICIAL
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Delete as appropriate Thank you HM Revenue & Customs Name Address line Address line 2 Postcode Telephone no. email@address | Security Marking | Presentation Title | 39 OFFICIAL
