Updates

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service and Cabinet Office Borders bulletins are also available. HMRC has contacted us with another reminder that from 1 March 2024, the Import One Stop Shop opened for businesses in Northern Ireland and the newly established Windsor Framework Democratic Scrutiny Committee has begun hearing evidence. And finally, the Department of the Environment and Rural Affairs has sent an email setting out common errors found by sample health certificate checks undertaken since the first phase of the UK’s new border controls were implemented from 31 January.  Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:  Official customs seals and trader sealing;  Data Element 2/3 Documents and Other Reference Codes (National) of the Customs Declaration Service (CDS);  Moving qualifying goods from Northern Ireland to the rest of the UK;  Reference Documents for The Customs (Tariff Quotas) (EU Exit) Regulations 2020;  Reference Document for The Customs (Origin of Chargeable Goods) (EU Exit) Regulations 2020;  Reference document for authorised use: eligible goods and authorised uses;  Reference Document for The Customs Tariff (Establishment) (EU Exit) Regulations 2020;  Reference Documents for The Customs Tariff (Suspension of Import Duty Rates) (EU Exit) Regulations 2020;  Reference Documents for The Customs Tariff (Preferential Trade Arrangements) (EU Exit) Regulations 2020; and  Reference documents for The Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 2020. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service bulletin is also available. HMRC has sent a further email reminder about changes to how goods are imported into Great Britain from Ireland as a result of the first phase of implementation of new import controls from 31 January 2024. And finally, HMRC has confirmed that the VAT Import One Stop Shop (“IOSS”) scheme in Northern Ireland will open for registrations from 1 March 2024.  VAT IOSS  We previously reported in our EU exit corner that HMRC had confirmed to Chartered Accountants Ireland that the delivery of the VAT IOSS in Northern Ireland (“NI”) would commence from 1 March 2024.   IOSS is an optional VAT accounting scheme that VAT registered businesses can use when they import low value goods (non-excise goods with a consignment value of £135 or less) from countries outside the EU and NI, to consumers in the EU, NI, or both. HMRC has confirmed that as planned, the scheme will be available for direct registrations in NI from 1 March 2024  Last week, HMRC published guidance on the scheme and the changes on how to report VAT on sales of low value goods that are located in Great Britain at the point of sale to consumers in Northern Ireland.   Find more information on GOV.UK at: - https://www.gov.uk/government/collections/vat-import-one-stop-shop-scheme.  Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:  Designated export place (DEP) codes for Data Element 5/23 of the Customs Declaration Service;  Notices made under the Customs (Northern Ireland) (EU Exit) Regulations 2020;  Notices made under the Customs (Import Duty) (EU Exit) Regulations 2018;  Apply to use simplified declarations for imports you entered in your records without authorisation;  Making a simplified frontier declaration;  Check how to move goods through ports that use the Goods Vehicle Movement Service;  Manually arrive your goods in the UK;  Making a full import declaration; and  Trading and moving goods in and out of Northern Ireland. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service Bulletin is also available. Now that the first phase of the UK’s new import controls has commenced, we take this opportunity to remind you of the various phases in both the UK’s Border Target Operating Model and implementation of the Windsor Framework which are set out in a flyer prepared by the Institute’s Public Policy and Tax team. More guidance is set out below on the first phase of the UK’s new import controls in the context of certain meat products which confirms an extension to certain transitional arrangements until 30 April 2024, and we also take a look at the outcome from the recent Call for Evidence on Expanding export support.  Guidance on the UK’s new import controls – certain meat products  The Foreign and Commonwealth Directorate Office has asked us to share recently published guidance on minced meats, meat preparations and mechanically separated meat in the context of the UK’s new import controls which commenced from 31 January 2024 which effectively extends the transition period until 30 April 2024.   The default position is that imports of meat preparations and minced meat into Great Britain must be deep frozen. Imports of minced poultry meat and pig or poultry mechanically separated meat are not permitted.  In 2022, Ministers announced a delay in applying these prohibitions and restrictions to imports from the EU. Consequently, the government extended the statutory transition for meat preparations until 31 January 2024.   The guidance note now published confirms that the statutory transition for meat preparations did not end on 31 January 2024 and has been further extended until the end of April 2024 in line with the timetable for checks under the Border Target Operating Model (“BTOM”).  Call for evidence outcome: Expanding DBT export support in Northern Ireland, Scotland, and Wales  In this Call for Evidence, the Department for Business and Trade (“DBT”) proposed increasing its export support in Wales, Scotland, and Northern Ireland by introducing one-to-one support to complement existing services.  The DBT proposes increasing its export support in the Nations by introducing one-to-one support that complements existing services in the form of DBT International Trade Advisors (“ITAs”). ITAs are currently available in the English regions, and introducing this support to Northern Ireland, Scotland, and Wales, will ensure that DBT offers consistent export support across the UK. This rationale is set out in the corresponding document Exporting for Growth, DBT Services in the Nations.   Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:-  CDS Declaration Completion Instructions for Imports;  Customs declarants and declaration volumes for international trade in 2023;  External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service;  Reference Document for The Customs (Northern Ireland) (EU Exit) Regulations 2020;  Data Element 2/3 Documents and Other Reference Codes (National) of the Customs Declaration Service (CDS);  Notices made under the Customs (Export) (EU Exit) Regulations 2019;  Data Element 2/3: Documents and Other Reference Codes (Union) of the Customs Declaration Service;  Simplified procedures exclusion list of procedure and additional procedure codes for CDS;  Data Element 2/3: Documents and Other Reference Codes (Union) of the Customs Declaration Service; and  Authorised Consignee Temporary Storage (ACTS) location codes for Data Element 5/23 of the Customs Declaration Service. 

In October 2023, HMRC announced that the 31 October 2023 deadline for the end of the VAT margin scheme for second hand vehicles moved from Great Britain (“GB”) to Northern Ireland (“NI”) prior to 1 May 2023 was being extended to 30 April 2024. This six-month extension followed extensive lobbying from Chartered Accountants Ireland in September and October 2023. We are now issuing a reminder that the extended deadline of 30 April 2024 is in just over two and half months.   This means that any vehicles moved from GB to NI prior to 1 May 2023 but sold after 30 April 2024 will require output VAT to be charged on the full selling price, and not on the margin. Businesses affected should check how such stock is selling – please contact us to discuss if this vehicle stock continues to be slow-moving. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service Bulletin is also available and the UK Government has provided a range of resources which aim to provide support as a result of the UK implementing the first stage of its new import controls which commenced from 31 January 2024 (see below for details). On the Northern Ireland front, the return of the Northern Ireland Assembly has resulted in a new committee being formed, the Windsor Framework Democratic Scrutiny Committee.   Resources to assist with new UK import controls  The UK Government has provided a range of resources which aim to provide support, help, and guidance as a result of the UK implementing the first stage of its new import controls which commenced from 31 January 2024 as part of the first phase of its Border Target Operating Model (“BTOM”). These are as follows:  Details of key contacts which can be used for urgent border issues relating to health certification and pre-notification;  Information on the UK Government’s approach to compliance and enforcement in respect of the BTOM;  An email from HMRC providing guidance on the customs requirements to move goods from Northern Ireland to Great Britain through Ireland; and  The latest Cabinet Office Borders Bulletin which contains important Border Target BTOM guidance for businesses.  Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:-  Software developers providing customs declaration software;  Known error workarounds for the Customs Declaration Service (CDS);  Importing SPS controlled goods that interact with ALVS;  How to apply for a repayment of import duty and VAT if you've overpaid (C285);  Designated export place (DEP) codes for Data Element 5/23 of the Customs Declaration Service;  External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service;  Bringing commercial goods into Great Britain in your baggage;  Taking commercial goods out of Great Britain in your baggage;  Notices made under the Customs (Import Duty) (EU Exit) Regulations 2018; and  Notices made under the Customs (Export) (EU Exit) Regulations 2019. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service and Cabinet Office Borders bulletins are also available. HMRC has also asked us to advise that the UK intends to open the Import One Stop Shop Scheme for businesses established in Northern Ireland for registration from 1 March 2024. Full guidance is due to be published soon. And finally, Saturday 3 February 2024 saw the return of the Northern Ireland Assembly after a two-year absence. Deal with DUP sees return of Northern Ireland Assembly  Last week the DUP and UK Government reached a deal which culminated on Saturday in the return of the Northern Ireland assembly. After the deal was announced earlier in the week, the UK Government published the accompanying Command Paper and associated documents, including legislation, which sets out more detail. The agreement and corresponding legislation were then debated in Parliament.  Essentially, the Windsor Framework (UK Internal Market and Unfettered Access) Regulations 2024 will amend the UK Internal Market Act 2020 in order to provide protection in law against exit procedures on goods moving from Northern Ireland to Great Britain. The regulations amend the Definition of Qualifying Northern Ireland Goods (EU Exit) Regulations 2020 to ensure that unfettered access benefits Northern Ireland traders only, not businesses which may divert goods to Northern Ireland to obtain the same benefit.   The Institute expects UK Government officials to provide more information in due course on what this specifically means for traders and will advise accordingly in Chartered Accountants Tax News in future.  Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:-  CDS Declaration Completion Instructions for Imports;  Appendix 23 Imports: Declaration Category Data Sets;  Appendix 1 Inventory Imports: DE 1/10: Requested and Previous Procedure Codes;  Reference Documents for The Customs Tariff (Suspension of Import Duty Rates) (EU Exit) Regulations 2020;  Reference Document for The Customs Tariff (Establishment) (EU Exit) Regulations 2020;  Reference Document for The Customs (Origin of Chargeable Goods) (EU Exit) Regulations 2020;  Reference Documents for The Customs Tariff (Preferential Trade Arrangements) (EU Exit) Regulations 2020;  Receive goods into and remove goods from an excise warehouse (Excise Notice 197);  Appendix 22: Declaration Category Data Sets Landing Page and Introductory Text;  Simplified Procedures Exclusions List of Procedure and Additional Procedure Codes for exports  CDS Declaration Completion Instructions for Exports;  Appendix 1 Inventory Exports: DE 1/10: Requested and Previous Procedure Codes;  Appendix 24: Declaration Category Data Set; and  External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service.

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service bulletin is available. We remind you that the first phase of the UK’s Border Target Operating Model for imports into Great Britain commences later this week from 31 January 2024. And finally, the conclusions of last year’s 2023 Civil Society Forum (“CSF”) between the UK and the EU have been published (Chartered Accountants Ireland participates in the UK Domestic Advisory Group which feeds into the annual UK and CSF meeting). UK Border Target Operating Model (“BTOM”) first phase commences from 31 January 2024  In just two days’ time, the UK’s BTOM commences when new border requirements come into effect when importing certain commodities, including some food, into Great Britain. This marks the start of the introduction of the UK’s new BTOM. Two reminder emails have been sent to us by the UK Government (one from HMRC and one sent on behalf of the Department for the Environment, Food and Rural Affairs) setting out the changes in more detail. You can also read more about the first phase of the BTOM in an article in Accountancy Ireland’s Briefly.   Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:-  Bringing commercial goods into Great Britain in your baggage; Taking commercial goods out of Great Britain in your baggage; Notices made under the Customs (Import Duty) (EU Exit) Regulations 2018; Notices made under the Customs (Export) (EU Exit) Regulations 2019; Declare commercial goods you’re taking out of Great Britain in your accompanied baggage or small vehicles; Report payments and view your allowance for non-customs state aid and customs duty waiver claims; What you can do if things are seized by HMRC or Border Force; The Taxation (Cross-border Trade) (Miscellaneous Amendments) Regulations 2024 and The Ship’s Report, Importation and Exportation by Sea (Amendment) Regulations 2024; Customs declaration completion requirements for Great Britain; Search the register of customs agents and fast parcel operators; Customs Declaration Service communication pack; Appendix 21: Import Declaration Category Data Sets; and Appendix 2: DE 1/11: Additional Procedure Codes of the Customs Declaration Service (CDS).

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service and Cabinet Office Borders bulletins are also available. And finally, this week, the House of Lords Windsor Framework Committee has received a response from the Government on the implications of EU exit for public procurement and the Committee has launched an inquiry on veterinary medicines  Miscellaneous updated guidance etc.   Recently updated guidance, and publications relevant to EU exit are set out below:-  Amend or cancel simplified import declarations;  Making a Final Supplementary Declaration;  Making a late supplementary declaration;  Data Element 2/3: Document and Other Reference Codes: Licence Types – Imports and Exports of the Customs Declaration Service (CDS);  Data Element 2/3: Documents and Other Reference Codes (Union) of the Customs Declaration Service;  Claim a waiver for duty on goods that you bring to Northern Ireland from Great Britain or countries outside the UK and EU;  Check if you can bring your goods into Northern Ireland from Great Britain without paying duty;  Report payments and view your allowance for non-customs state aid and customs duty waiver claims;  Commercial importers, certified traders and tax representatives — EU trade in duty paid excise goods (Excise Notice 204b);  CDS Declaration Completion Instructions for Imports;  The Trade Specialised Committee on Customs Cooperation and Rules of Origin;  Reference Documents for The Customs Tariff (Preferential Trade Arrangements) (EU Exit) Regulations 2020;  Reference document for authorised use: eligible goods and authorised uses;  Reference documents for The Customs (Reliefs from a Liability to Import Duty and Miscellaneous Amendments) (EU Exit) Regulations 2020;  Reference Documents for The Customs (Tariff Quotas) (EU Exit) Regulations 2020;  Notices made under s32A of the Taxation (Cross-border Trade) Act 2018;  Appendix 2: DE 1/11: Additional Procedure Codes of the Customs Declaration Service (CDS)  CHIEF: customs procedure codes; and  CDS Declaration Completion Instructions for Exports. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service bulletin is also available. From 2027, a carbon pricing mechanism for imports will be implemented in the UK to support decarbonisation and the Institute is meeting with HMRC next week to discuss the Import One Stop Shop rules and welcomes any member questions in advance. We briefly update you on the impact of the Retained EU Law (Revocation and Reform) Act 2023 (“REUL Act 2023”) and the introduction of the first elements of the UK’s Border Target Operating Model which commence from the end of this month.   Retained EU Law update  As a result of the REUL Act 2023, from 31 December 2023, circa 600 pieces of retained EU law were repealed. The Government’s first report on the status of REUL is due to be published by 22 January 2024. This is expected to include a summary of the data on the REUL dashboard, and is expected to include progress and future plans. Reports are due to be published every six months until June 2026. The House of Commons Library has also published a useful briefing on the new powers available to the Government under the REUL Act 2023.  Border Target Operating Model (“BTOM”)  The UK government has published a set of communication assets to support the readiness of traders and has been sharing these assets with UK and EU traders in preparation for the first phase of its BTOM which commences later this month.   These communication assets include:- Border control posts leaflet for plant and plant products;  Composite products decision tree;  Health certificates guide;  Import notifications guide; and  Phytosanitary certificate guide.  BTOM training sessions for traders are being held online throughout January. What changes are coming on 31 January 2024?   The introduction of health certification on imports from the EU of medium risk which are as follows:- animal products;  plants;   plant products;   the introduction of health certification on imports from the EU of high-risk food and feed of non-animal origin; and  the introduction of new checks and controls when moving Irish goods (i.e., any goods other than qualifying Northern Irish Goods) which are moved from Irish ports directly to Great Britain.  The Government has also set out three actions which can be taken to prepare for these changes:-   Know your risk-category – use these online tools to find the risk category of your commodity;  Ensure that your EU supply chain is preparing to provide you with health certificates and/or phytosanitary certificates – find out more here; and  Be ready to correctly submit your pre-notification via the Import of products, animals, food, and feed system (“IPAFFS”) – attend a January training session and read the import notifications guidance.  Sign up for the Defra Traders/Exports Newsletter for updates relating to the BTOM   Miscellaneous updated guidance etc.   Below we highlight recently updated guidance, and publications relevant to EU exit which this week includes the UK Government’s responses to various customs related consultations:-  Customs, VAT and excise UK transition legislation from 1 January 2021;  Reference Documents for The Customs Tariff (Suspension of Import Duty Rates) (EU Exit) Regulations 2020;  Reference Documents for The Customs Tariff (Preferential Trade Arrangements) (EU Exit) Regulations 2020;  Bringing goods into the UK temporarily;  Apply to use simplified procedures for import or export (C&E48);  Apply to operate a customs warehouse;  Apply to use simplified declarations for exports;  The future of customs declarations;  Transit newsletters — HMRC updates; and  Introducing a voluntary standard for customs intermediaries. 

We have compiled the latest updates to various HMRC VAT publications, briefs, and guidance. Readers should note that there are also numerous updates to VAT guidance and rules due to the UK’s departure from the EU. Claim a VAT refund as an organisation not registered for VAT;   Late payment interest if you do not pay VAT or penalties on time;   Pay the VAT due on your One Stop Shop VAT Return;  People involved in transactions connected with VAT fraud;  Partial exemption (VAT Notice 706);  Health professionals and pharmaceutical products (VAT Notice 701/57);  Updates on VAT appeals;   Charity funded equipment for medical and veterinary uses (VAT Notice 701/6);  Insolvency (VAT Notice 700/56);  Apply to join the VAT Flat Rate Scheme;   Motoring expenses (VAT Notice 700/64);  VAT on goods exported from the UK (VAT Notice 703);  Register for VAT if you make relevant acquisitions into Northern Ireland;  VAT Government and Public Bodies;  Claim a VAT refund as an organisation not registered for VAT; and  Register for VAT by post. 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service and Cabinet Office Borders bulletins are also available. We also update you on the rules of origin for electric vehicles and batteries and the latest work of the House of Lords Windsor Framework Sub-Committee. HMRC has also sent an email reminder with useful preparation hints and tips for the first phase of its Border Target Operating Model which takes effect from 31 January 2024 for goods imported directly into Great Britain from Ireland.  UK and EU agreement on rules of origin for electric vehicles and batteries extended to  2026  The UK and EU have agreed to extend the Trade and Co-operation Agreement rules of origin for electric vehicles and batteries until 31 December 2026. This was confirmed by the release of a UK Press Notice and is confirmed in the Partnership Council decision.  House of Lords Windsor Framework Sub-Committee update  The House of Lords Windsor Framework Sub-Committee (formerly known as the House of Lords Protocol Sub-Committee) recently wrote to the Foreign Secretary asking for greater clarity on the regulatory divergence issues arising from the Windsor Framework, following consideration of evidence it received as part of the recent inquiry.  In November 2023, the Committee launched a short inquiry into regulatory divergence arising from EU and domestic legislation, in the context of the Windsor Framework and took evidence from academic, policy and legal experts, a range of business organisations, farming representatives and the government.  In its letter, the Committee draws attention to a number of key issues which were highlighted in the evidence it received, including:  The impact of regulatory divergence;  Potential opportunities of regulatory divergence;  Benefits of the Windsor Framework relating to regulatory divergence;   Potential risks relating to regulatory divergence; and  Mechanisms for managing regulatory divergence.  Miscellaneous updated guidance etc.   The following updated guidance, and publications relevant to EU exit are available:-  External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service;  Bringing commercial goods into Great Britain in your baggage;  Notices made under the Customs (Import Duty) (EU Exit) Regulations 2018;  Restricted and controlled goods for merchandise in baggage;  Notices made under the Customs (Export) (EU Exit) Regulations 2019;  Declare commercial goods you’re bringing into Great Britain in your accompanied baggage or a small vehicle; and  Data Element 2/3 Documents and Other Reference Codes (National) of the Customs Declaration Service (CDS). 

In this week’s EU exit corner, we bring you the latest guidance updates and publications relevant to EU exit. The most recent Trader Support Service bulletin is also available. The Department for the Economy in Northern Ireland has asked us to publicise a request from HMRC for participants to take part in HMRC’s Import One Stop Shop trial and we highlight some new resources which aim to support exporters and cross-border trade.  Import One Stop Shop (“IOSS”) trial  The Department for the Economy has been in touch with a request from HMRC to identify businesses who may wish to use the forthcoming VAT Import One Stop Shop (“IOSS”) system. HMRC is looking to speak with businesses who might be interested in using this facility ahead of the go live period next year. This potentially might allow those business access to training and could help resolve any initial teething issues, ahead of official launch.   The IOSS scheme is a VAT simplification scheme which the EU introduced on 1 July 2021. The UK is committed to making this scheme available in Northern Ireland. Following the introduction of the Windsor Framework, the IOSS scheme will be open to Northern Ireland businesses to register from 2024 (date to be confirmed).   Broadly, the IOSS is a monthly VAT reporting and payment system that businesses can opt to use where they sell (non-excise) goods to consumers in Northern Ireland or the EU, where the business is located outside the EU and the UK. The goods must be imported in consignments not exceeding £135 (€150). Once registered for the scheme, businesses are required to charge and collect any VAT due at the point of sale from the consumer and account for the VAT through their monthly IOSS return by submitting a single VAT payment. If you have any clients or are a business who might be interested in participating in the IOSS trial, please get in touch.  Resources for cross-border trade  Several new resources are available to support those engaged in cross-border trade. Invest NI has recently published updated pages on exporting and Inter-Trade Ireland has launched a cross-border trade hub which contains a range of different resources and useful guidance.  Miscellaneous updated guidance etc.   The following updated guidance, and publications relevant to EU exit are available:-  Safety and security requirements on imports and exports;  Making an entry summary declaration;  Overview of the Single Trade Window;  Report a problem using the Customs Declaration Service;  The Customs (Aerodromes and Miscellaneous Amendments) Regulations 2023; and  External temporary storage facilities codes for Data Element 5/23 of the Customs Declaration Service.