The Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 2018

PART 1 Introductory Provisions

Citation and commencement

1.—(1) These Regulations may be cited as the Customs (Special Procedures and Outward Processing) (EU Exit) Regulations 2018.

(2) Subject to paragraph (3), these Regulations come into force on such day as the Treasury may by regulations under section 52 of the Act appoint.

(3) The following regulations come into force on 2nd January 2019—

(a) this regulation;

(b) regulation 2 (interpretation), insofar as it relates to the provisions specified in sub-paragraphs (c) to (j);

(c) regulation 3(2), (3) and (4) (authorisation);

(d) regulation 9 (eligibility for authorisation or approval);

(e) regulation 10 (period for which an authorisation is to have effect);

(f) regulations 19 to 21, 22(2), (3)(b) and (4) and 23(1) (authorisation to declare goods for an inward processing procedure);

(g) regulations 27, 28(1), (4)(b) and (5) to (10), 29(1) to (3) and (7)(c) and 30 (authorisation to declare goods for an outward processing procedure);

(h) regulations 32 and 33 (authorisation to declare goods for an authorised use procedure);

(i) regulations 36, 37, 38(3) and 39 (authorisation to declare goods for a temporary admission procedure);

(j) regulations 45 and 46 (authorisation to use equivalent goods).

Interpretation

2.—(1) In these Regulations—

“the Act” means the Taxation (Cross-border) Trade Act 2018;

“the import duty regulations” means the Customs (Import Duty) (EU Exit) Regulations 2018(1);

“accompanied baggage” means baggage which—

(a)

accompanies an individual when arriving in the United Kingdom; or

(b)

would have so accompanied an individual had the baggage not been delayed in transit to the United Kingdom;

“agricultural policy measure” means a provision made by or under any enactment relating to the import and export of the goods specified at points (1), (2) and (3) of the document entitled “Sensitive Goods” published on 27 November 2018(2);

“approval notification” means a notification issued under regulation 89 of the import duty regulations;

“charges” has the meaning given in regulation 94 of the import duty regulations;

“classification code” means the eight digit code given to goods in accordance with section 8(1)(b) of the Act;

“Customs obligation” means any obligation or requirement imposed by or under—

(a)

Part 1 of the Act;

(b)

CEMA 1979(3);

(c)

the EU Customs Code as it had effect before exit day; or

(d)

after exit day—

(i)

the EU Customs Code except the EUCL; or

(ii)

the EUCL insofar as it continues to have effect as provided by Part 15 of the import duty regulations;

“customs warehouse” means premises owned, occupied or otherwise used by a person who is approved by HMRC under these Regulations to operate the premises as a place to keep goods declared for a storage procedure(4);

“the Delegated Regulation” means the Commission Delegated Regulation (EU) 2015/2446 of 28 July 2015 supplementing Regulation (EU) No 952/2013 of the European Parliament and of the Council as regards detailed rules concerning provisions of the Union Customs Code;

“equivalent chargeable goods” means chargeable goods(5) that are of the same, or of substantially the same, description as domestic goods(6) intended to be declared for an outward processing procedure(7);

“equivalent goods” means equivalent domestic goods(8) and equivalent chargeable goods;

“established in the United Kingdom” means—

(a)

in the case of an individual, where the individual is resident in the United Kingdom; or

(b)

in all other cases, where the person—

(i)

has a registered office in the United Kingdom; or

(ii)

has a permanent place in the United Kingdom from which the person carries out activities for which the person is constituted to perform;

“EUCL” means the direct EU legislation referred to in paragraph 1(1) of Schedule 7 to the Act;

“EU Customs Code” means—

(a)

the UCC;

(b)

the Delegated Regulation; and

(c)

Commission Implementing Regulation (EU) 2015/2447 of 24 November 2015 laying down detailed rules for implementing certain provisions of Regulation (EU) No 952/2013 of the European Parliament and of the Council laying down the Union Customs Code;

“holder of a procedure” means—

(a)

a person in whose name, or on whose behalf, goods have been declared for a relevant non-transit Part 1 procedure; or

(b)

a person to whom rights and obligations in relation to goods declared for a relevant non-transit Part 1 procedure have been transferred under regulation 42,

and “holder of the procedure” is to be construed accordingly;

“non-commercial goods” means goods—

(a)

which are provided by one individual to another;

(b)

where no payment is made, directly or indirectly, for the goods by the recipient;

(c)

which are for the personal use of the recipient; and

(d)

which do not form part of a series of consignments of goods made between the individuals;

“non-tariff trade policy measure” means a provision made by or under any enactment relating to government policy in respect of international trade in goods, other than provisions relating to the amount of import duty;

“non-transit Part 1 procedure” means—

(a)

a Customs procedure(9) other than a transit procedure(10); or

(b)

an outward processing procedure;

“Part 1 procedure” means a Customs procedure or an outward processing procedure;

“personal gifts” means goods contained within accompanied baggage of a qualifying traveller which—

(a)

are intended for an individual’s personal use;

(b)

are not imported for commercial purposes; and

(c)

do not form part of a series of consignments of goods imported by the qualifying traveller;

“private customs warehouse” means a customs warehouse that may only be used to store goods by the person approved to operate that warehouse;

“processed goods” means goods which have been released to a relevant non-transit Part 1 procedure and processed in accordance with that procedure;

“public customs warehouse” means a customs warehouse that may be used to store goods by any person;

“qualifying traveller” means an individual who—

(a)

is not resident in the United Kingdom and is arriving in the United Kingdom for a temporary stay; or

(b)

is resident in the United Kingdom and is returning after a temporary stay outside the United Kingdom;

“relevant non-transit Part 1 procedure” means—

(a)

a special Customs procedure(11) other than a transit procedure; or

(b)

an outward processing procedure;

“replacement goods” has the meaning given in regulation 5(3);

“sensitive goods” means the goods of a type listed in the document entitled “Sensitive Goods” published on 27 November 2018(12);

“standard exchange system” has the meaning given in regulation 5(3);

“the temporary admission document” means the document entitled “Temporary Admission: Eligible Goods and Conditions for Relief” published on 27 November 2018(13);

“UCC” means Regulation (EU) No 952/2013 of the European Parliament and of the Council of 9 October 2013 laying down the Union Customs Code.

(2) For the purposes of these Regulations references to “process” (however expressed) include an operation of a type described in paragraph 11 of Schedule 2 to the Act.

(1)

S.I. 2018/1248.

(2)

The document entitled “Sensitive Goods” is available at https://www.gov.uk/government/collections/customs-vat-and-excise-regulations-leaving-the-eu-with-no-deal and a hard copy is available for inspection, free of charge, at the offices of HMRC at 100 Parliament Street, London, SW1A 2BQ.

(3)

“CEMA 1979” is defined in section 37(1) of the Act as the Customs and Excise Management Act 1979 (c. 2).

(4)

The meaning of “goods declared for a storage procedure” is given in paragraph 2 of Schedule 2 to the Act.

(5)

“Chargeable goods” is defined in section 2 of the Act.

(6)

“Domestic goods” is defined in section 33 of the Act.

(7)

The meaning of a declaration of goods for “an outward processing procedure” is given in section 36(2) of the Act.

(8)

The meaning of “equivalent domestic goods” is given in paragraph 23(2) of Schedule 2 to the Act.

(9)

The meaning of “Customs procedure” is given in section 3(3) of the Act.

(10)

The meaning of “a transit procedure” is given in paragraph 5 of Schedule 2 to the Act.

(11)

The meaning of “special Customs procedure” is given in section 3(4) of the Act.

(12)

The document entitled “Sensitive Goods” is available at https://www.gov.uk/government/collections/customs-vat-and-excise-regulations-leaving-the-eu-with-no-deal and a hard copy is available for inspection, free of charge, at the offices of HMRC at 100 Parliament Street, London, SW1A 2BQ.

(13)

The document entitled “Temporary Admission: Eligible Goods and Conditions for Relief” is available at https://www.gov.uk/government/collections/customs-vat-and-excise-regulations-leaving-the-eu-with-no-deal and a hard copy is available for inspection, free of charge, at the offices of HMRC at 100 Parliament Street, London, SW1A 2BQ.