This week’s bulletin reports on strong cargo volumes through Dublin Port in the second quarter of 2021. We also bring you updated guidance from Revenue on importing second-hand cars from Great Britain through Northern Ireland as well as the latest guidance and webinars from HMRC. HMRC are also looking for volunteers to be involved in research on the XI EORI application process-anyone interested can let us know by emailing brexit@charteredaccountants.ie.
Dublin Port volumes recover in second quarter of 2021
Dublin Port authorities have said that the volume of goods passing through Dublin Port have recovered strongly in the three months to June 2021, despite the UK’s departure from the EU. 13.1 percent more goods (9 million gross tonnes) passed through the Port during this period when compared to the same period last year.
Volumes for the first six months of 2021 were down 2.1 percent compared to the same period last year however Eamonn O’Reilly, CEO of Dublin report said that “As each month goes by, the negative impact of the exceptionally weak start to the year post Brexit is being reduced.”
Roll-on/Roll-off (Ro-Ro) and Lift-on/Lift-off (Lo-Lo) accounted for 84 percent of all cargo volumes in the second quarter and the number of trailers and containers combined increased by 16.5 percent to 374,000 units. Imports of new vehicle more than doubled to 22,000 units in the second quarter.
Reflecting the shift in route patterns post Brexit, Mr O’Reilly said “The effects of Brexit on the pattern of trade through Dublin Port are now becoming clearer with very strong growth of 40% on Ro-Ro and Lo-Lo services to Continental European ports compared to a decline of -19% on services with ports in Great Britain. As a result, our unitised volumes are now split 50/50 between GB ports and ports in Continental Europe. Before Brexit, GB ports accounted for almost two-thirds.”
Read more
Importing vehicles into Ireland from Northern Ireland – updated guidance from Revenue
Where a second-hand car has been imported into Ireland from Great Britain (via Northern Ireland) since 1 January 2021 and customs formalities were completed in Northern Ireland, the person who wishes to register the car in Ireland must contact Revenue before doing so. This is because there will be a VAT liability that needs to be discharged before registering the car for Vehicle Registration Tax (VRT).
Revenue will request verification that the customs formalities have been completed in Northern Ireland. A Trader Support Service simplified frontier or supplementary declaration will be sufficient where the vehicle is identified. An Entry Summary Declaration (ENS) declaration will not be accepted. If proof cannot be provided that customs formalities have been completed in Northern Ireland, then an import declaration will need to be made in Ireland and customs duties (if any) must be paid in Ireland before the car is presented for registration.
Once the VAT (charged at the standard rate) is either paid or accounted for (in the case of VAT registered businesses only), Revenue will provide the necessary documentation the person seeking to register the car.
This is a temporary arrangement until VAT at importation is regularised for cars imported from Great Britain to Northern Ireland. The UK and EU are currently discussing this matter; the UK is seeking a derogation from the EU to apply the VAT margin scheme to second-hand cars.
Read Revenue’s eCustoms notification 44/2021 for further details. Please note that this notification replaces eCustoms notification 26/2021.
Goods imported by truck which had originally been intended to arrive by air
Revenue has confirmed that goods which are imported into Ireland by truck, but which had originally been intended to arrive by air should be declared as a road entry on the customs import declaration.
Goods will arrive by truck and be entered into a Temporary Storage facility (TSF) before being released into a customs procedure in the EU. On arrival of the goods at the TSF, a presentation notification/temporary storage declaration (G3/G4) should be lodged in AIS.
Read more about this process in eCustoms notification 45/2021.
Research request
HMRC is currently conducting research on the XI EORI application process. The main aim of this research is to:
- understand what problems are encountered whilst applying for an XI EORI using the current application process; and
- identify and negate any problems that may be present in prototypes of the new XI EORI application process, so that it will be easier to apply for an XI EORI.
HMRC is seeking to speak with people who have applied for an XI EORI either:
- for a company that they own/work for; or
- as an agent on behalf of a company
HMRC is running these research meetings from 12 to 23 July between 9am and 5pm. If you would be happy for your email to be provided to HMRC to take part in this research, contact brexit@charteredaccountants.ie who will pass this on to HMRC. HMRC will then contact you directly to find a suitable time for the research.
Customs processing
HMRC has sent the below information about some of the approvals and special procedures that may help simplify customs processing and reduce VAT and customs duty owed and where to go for more help. These may be useful if you are a business that usually re-imports or re-exports as part of your business process.
“1. Inward processing
This is a customs special procedure that allows you to suspend Customs Duty and import VAT on goods you bring into the UK for repair or as materials for manufacturing. You will not need to pay duty or import VAT on the goods if you re-export them following processing or repair.
For example, this may apply if you’re bringing your camera equipment into the UK from France for repairs with the intention of returning them to France. Or, if you’re bringing in fabric to be made into dresses which you will then export.
Find more information on using inward processing on GOV.UK.
Find more information on applying to delay or pay less duty on goods you import to process or repair on GOV.UK.
2. Outward processing
This allows you to temporarily export goods outside the UK for processing or repair and pay less Customs Duty and import VAT when you re-import them into the UK.
This may apply, for example, if you’re exporting a batch of computers to Germany to be repaired and returned to the UK. Or if you’re exporting bales of fabric to Romania to be made into prom dresses and then re-imported into the UK.
Find out more on using outward processing on GOV.UK.
Find more information on applying to pay less duty on goods you export to process or repair on GOV.UK.
Q3. Temporary Admission
This is a special procedure that allows you to temporarily import goods into the UK or move goods from Great Britain into Northern Ireland without paying Customs Duty or import VAT. You may use the goods for up to two years or more, before re-exporting them.
For example, this may apply if you’re temporarily bringing in samples, professional equipment or items for auction, exhibition or demonstration into the UK.
You can apply for Temporary Admission if you’re the person using the goods or you’re arranging for the goods to be used on your behalf.
Find more information on how to apply to import goods temporarily on GOV.UK.
Q4. Returned Goods Relief
This allows you to claim relief from Customs Duty and import VAT if you’re re-importing items into the UK that have previously been exported. When you re-import your items, you’ll need to make sure they’ve not been altered, apart from work to maintain them.
This may apply, for example, if you’re re-importing office furniture, equipment or instruments because you’re moving back to the UK from an EU country where you previously exported the goods to.
Find out more on paying less import duty and VAT, when re-importing goods on GOV.UK.
Q5. Customs warehousing
This allows you to suspend Customs Duty and VAT on goods that you import into the UK and store in a warehouse to be re-exported. Duty and VAT will only become payable when the goods are removed from the warehouse into UK circulation.
For example, no duty or VAT will be payable if you import children's toys from China to be stored in a warehouse in the UK before being re-exported to Portugal.
Find out more information on how to use a customs warehouse on GOV.UK.
Q6. How would I know which approvals and special procedures I need?
If you’re using an intermediary to move your goods, they may already have approvals and special procedures in place that you can make use of. You should check this with your intermediary.
To find out more, go to our simple online trader tool where you can check what options are available and most suitable for you.
Q7. Where can I find further help and support?
More information on where to watch videos, sign up for email alerts and register for webinars to learn more about UK transition can be found on the help and support page on GOV.UK.
Watch the video on how to use the online trader tool and our other short videos on HMRC's YouTube channel to familiarise yourself with customs processes and what you need to do before trading goods with the EU.
To ask and get answers to specific questions about HMRC processes for importing or exporting, please visit our customer forums.
Give us a call
Our customer service advisors are available to answer your queries on the Customs and International Trade helpline. They’ll help you with importing, exporting and customs reliefs. The helpline is open from 8am to 10pm Monday to Friday and from 8am to 4pm at weekends. Call 0300 322 9434 to speak to an advisor.
We will continue to provide guidance and support to help you and your business, including information on GOV.UK, our popular live webinars and through this weekly email.
If you know of a business who would also find these weekly emails helpful, please forward it on, or suggest they register to get these updates directly to their inbox.”
Webinars
Importing – steps you need to take before making your supplementary declaration
To support those who’ve delayed their customs import declarations, HMRC explains in this webinar the actions you need to take before you can make a supplementary declaration and how intermediaries can help you do this.
Please register to take part if your clients have imported goods since 1 January 2021 and not yet completed a customs declaration for them.
If your clients are planning to import and you want to understand the full declarations process, please register for Customs Import Declarations: an overview.
Exporting: what you need to do to keep your goods moving
This webinar is an overview of the actions to take now when exporting goods from Great Britain to the EU and moving goods between Great Britain and Northern Ireland. Key processes include zero-rated VAT, customs declarations and using an intermediary in addition to licences, certificates, and authorisations.
Please register to take part if you’re planning to export.
Trader responsibilities when using an intermediary
This webinar explains your client’s responsibilities as a trader if they choose to use an intermediary to complete import or export declarations for their business. These are complex and an intermediary can save a lot of time.
Please register to take part if you’re planning to import or export.
Rules of origin
If your clients buy goods from the EU or send or sell goods to the EU for their business, this recorded webinar will help them understand rules of origin and what’s required to meet the rules. It can be paused or rewound to allow you or your clients to work through the information at your own pace.
Watch the recorded HMRC webinar
See www.charteredaccoutants.ie/brexit for information relating to the UK’s departure from the EU.
LOADING...