In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. We also update you on recent developments in relation to the Protocol on Ireland / Northern Ireland and cover changes to the date for making certain supplementary declarations, improved transit guidance and news about the move to phase 5 of the new computerised transit system. The latest Trader Support Service newsletter is also available.
Update on the Protocol
Is today the day that the UK and EU announce the outcome of the recent political negotiations on the Protocol? Media reports certainly suggest that this is the case. At the time of writing, it is expected that Prime Minister Rishi Sunak and EU Commission President Ursula Von der Leyen will meet after lunchtime to discuss outstanding issues in person and potentially agree any final elements. This may be followed by a joint statement/Press event if a final deal is agreed with an announcement then expected to be made in the House of Commons this evening.
Today’s meeting was confirmed over the weekend with the Prime Minister and Commission President saying in a joint statement that they “agreed to continue their work in person towards shared, practical solutions for the range of complex challenges around the protocol on Ireland and Northern Ireland.”
Change to UCC supplementary declarations submission date
From 1 January 2023, the union customs code (“UCC”) gives traders importing goods into Northern Ireland, that use simplified declarations, until day 10 of the month following import to submit their supplementary declarations. Traders that use the trader support service duty deferment account (“DDA”) or that are already submitting supplementary declarations by the fourth working day of each month do not need to make a change.
For traders that file declarations through the customs declaration service (“CDS”) after the fourth working day, the customs duty and import VAT due from the trader’s DDA may not show on the supplementary deferment statements. Payment may therefore be taken in the following month. Traders must ensure they have sufficient funds in their bank account for this payment to be made and are also advised that they may be charged interest.
Traders should check that their DDA limits are sufficient before making declarations. Traders can make current month increases by using the CDS deferment top-up facility. It is important to check that any top-ups are showing against the account limits before making the declaration. Read the full guidance on how to use your Duty Deferment Account.
Improvements to transit guidance
Traders moving goods under the common transit convention (“CTC”), also known as ‘transit’, are advised of a number of changes made to HMRC’s online guidance. Transit is a customs facilitation that allows businesses to easily move goods across multiple borders, without customs checks taking place at each border crossing. The Transit GOV.UK guidance has been refreshed, with improvements including a new landing page, step-by-step routes and simpler navigation.
Phase 5 of new computerised transit system phase 5
The UK remains a member of the Convention on a common transit procedure. Under its terms, all members must move to phase 5 of the new computerised transit system (“NCTS”), a new version designed to have improved functionality, by the end of November 2023.
HMRC will be switching over to phase 5 of the NCTS from phase 4 on 16 November 2023. All parts of the UK, including Northern Ireland, will be switched over at the same time. HMRC is beginning a programme of monthly updates containing more details about the switch over which will be published on GOV.UK.
Miscellaneous updated guidance etc.
The latest guidance updates, and publications relevant to EU exit are as follows:-