Scottish Enterprise is working with the eight Chambers of Commerce in Scotland who are licensed by HM Government and HMRC to issue export and import-related documentation and services. Providing expert advice and support, they can answer your questions on export and customs documentation, changes to documentation systems and associated process changes brought about by Brexit.
This service is available to all companies, not just members of the Chambers. To access this support, just call your nearest Chamber. The eight licensed Chambers are:
To help companies deal with the new customs declarations requirements some of the local chambers deliver ChamberCustoms, a customs brokerage service for traders.
The ChamberCustoms offering includes:
Making customs declarations for companies – their HMRC compliant brokerage service will look after the import and export declaration requirements of companies
Providing specialist customs advisory services – their customs brokerage service will offer a ‘one stop shop’ with direct links to all sea, air, rail and road ports and terminals in the UK
Training courses – ChamberCustoms has developed a range of training courses to respond to increasing demand. All courses are eligible for HMRC Customs Intermediary Funding
You can access further information by contacting your local or Chamber or by visiting the ChamberCustoms website.
Trader and Industry forum
Your EU customers and suppliers may have different interpretations of the rules following the end of the transition period. Avoid any misunderstandings by clarifying processes and responsibilities now.
The Trader Support Service will guide you through the changes for goods movements between Northern Ireland and Great Britain and can also complete declarations on your behalf.
You can find more guidance on trading with Northern Ireland in our dedicated section.
What do I need to know to import from the EU after Brexit?
The UK has now left the EU, and is classed as a 3rd country in regards to trade to and from the continent. An FTA was agreed on 24/12/20 which eliminates duty on goods of preferential origin. January 1st 2021 saw new regulations come into force when it came to importing goods to the UK from the Continent and Northern Ireland.
Importing goods after Brexit has proved to be a very different procedure for many clients who were used to the previous EU regulations.
Operating post Brexit means customs clearance procedures and import tariffs are now in place for bringing goods into the UK, which is why here at Speedy Freight here to help our clients with their import compliance.
Step 1 – Get an EORI number
As a business owner, you need to make sure that your business has an Economic Operator Registration and Identification Number (EORI). In order to continue importing goods into the UK, you will need to have a 12-digit EORI starting with GB. You may not need an EORI number if your business is service-based or if you want to move goods between Northern Ireland and Ireland. If your business does not have an EORI number, then you might face delays and increased costs while importing goods.
Check what documents you may need to apply for an EORI number here.
Step 2 – Make import declaration
To make import declarations, you can either hire an agent or do it yourself.
HIRING A CUSTOMS AGENT
Freight forwarders, brokers, and fast parcel operators are some of the types of agents who can handle customs for you. To help you with imports from the EU, they must be established in the EU. Freight forwarders can assist you with moving the goods around the world. They can even make arrangements to help you get customs clearance. Brokers or custom agents ensure clearance through customs. Fast parcel operators can help you move documents, parcels, and freight across the world within a specific time frame. They can even handle customs clearance for you, provided you give them written instructions. The instructions must clarify whether these agents are acting for you directly or indirectly. If your business is new and you are still in search of a customs agent, you can find one from HMRC’s list of customs agents.
DECLARING IMPORTS YOURSELF
If you are making customs import declarations by yourself, there are three important things for you to know when you import from outside the UK: how to submit, when to submit, and which boxes to complete.
a. How to submit – If you are submitting your declarations on your own, they have to be sent electronically through the Customs Handling of Import and Export Freight (CHIEF) system. To do this, you must first apply to gain access to CHIEF and then buy third-party software to submit declarations electronically via CHIEF.
b. When to submit – Under normal circumstances, a business owner must submit a complete declaration when goods are entering the UK. If you are moving your goods to temporary storage under customs supervision, they can remain in storage for 90 days. If the 90-day time limit is exceeded, you will need to pay the duty, VAT and penalty.
The declaration process may vary if you are using the simplified declaration procedure or operating under an EIDR (entry in declarant’s record) authorization.
In the event of a no-deal Brexit, if you are using transitional simplified procedures, the goods you import from the EU might get delayed. This is because it may take longer than usual for you to submit a full declaration and pay your import duties and VAT.
In the event of a no-deal Brexit, you can still utilise the roll on roll off ports or the Channel Tunnel to import goods from the EU. You may need to produce customs declarations and pay any excise duty or VAT.
c. Boxes to complete – Each time you are moving goods, you must include the commodity code in your customs declarations. You may also have to include the Customs Procedure Code (CPC), which identifies the customs procedure applied while moving the goods.
Step 3 – Making importing easier
There are other customs procedures designed to streamline the process, like the Common Transit Convention (CTC), which simplifies the way in which goods get transported between or through the EU and the common transit countries.
If your business imports goods frequently, you can set up a duty deferment account. This allows you to make one payment per time interval (for instance, a month), instead of making payments every time you import something.
Step 4 – Check the tax and duty rates to be paid
For every import, you will have to pay custom duties and VAT. If the UK leaves the EU without a deal, the custom duty tariffs for imports from the EU and the rest of the world will change. Reports say that the temporary rates will be applicable for up to 12 months until the government completes its public consultation and introduces a permanent tariff regime.
Based on where the goods come from, the tariff rates can be classified as either preferential (also called Most Favoured Nation or MFN) and non-preferential.
Non-preferential tariffs will be applicable for those countries which do not hold an official trade agreement with the UK and will eventually have to comply with the trade regulations set up by World Trade Organization (WTO). You can find out what the non-preferential tariff rates will be in case of a no-deal Brexit here.
If you have registered your business for VAT, then you will have to pay your import VAT while filing your VAT return. If your business involves the import of alcohol, tobacco, or biofuels, you will have to pay excise duties also. You can find the rates for excise duties here.
Step 5 – Get the right type of licence for the type of goods you import
Based on what kinds of goods you are moving into the UK, you may be required to have a special license or certificate. For some goods, you may even have to pay an inspection fee. You can check whether you need licenses for the goods you are importing here.
The UK and Turkey signed a free trade agreement (UK-Turkey FTA) on 29 December 2020. A free trade agreement aims to reduce barriers to trade between signatory countries.
This is one of several agreements that the Government has created since the UK’s departure from the EU, in order to maintain as far as possible existing trade relationships with other countries.
The Department for International Trade’s guidance on trade with Turkey states that the UK’s previous trading relationship with Turkey was governed by the EU-Turkey customs union. These existing arrangements have now been transitioned into a traditional free trade agreement.
The UK-Turkey FTA has provisionally applied since 1 January 2021 and awaits ratification procedures by both countries.
trade in goods – including provisions on preferential tariffs, tariff rate quotas, rules of origin and sanitary and phytosanitary measures;
customs and trade facilitation;
intellectual property;
government procurement;
technical barriers to trade;
competition;
trade remedies; and
dispute settlement.
The Government Published Several Documents Alongside The UK-Turkey FTA, Including:
Explanatory Memorandum: This includes policy considerations. For example, the purpose of the UK-Turkey FTA is to ensure the continuity of trade between the UK and Turkey. The Government says it is intended to have the same effect as pre-existing arrangements that the UK was a party to whilst a member of the EU. However, due to the nature of Turkey’s relationship with the EU, there are certain elements that cannot be replicated in the new agreement. This includes the free circulation of goods. In these cases, the UK-Turkey FTA provides alternative arrangements.
Report to Parliament by the Department for International Trade: This report includes an explanation of the differences between the UK-Turkey FTA and the existing arrangements with the EU. The main difference is the transition from a customs union to a traditional free trade agreement structure. In the EU-Turkey custom union, goods benefit from free circulation between the EU and Turkey. This is different to a free trade agreement, where products can only be traded free of import duties if they originate in signatory countries. The report states that these changes impact upon trade because goods now need to meet preferential rules of origin agreed between the UK and Turkey. The new rules of origin provisions also affect the documentation requirements for traders.
Anything posted or couriered to you from another country goes through customs to check it is not banned or restricted and you pay the right tax and ‘duty’ on it.This includes anything new or used that you:
buy online
buy abroad and send back to the UK
receive as a gift
Before receiving your goods, you may have to pay VAT, Customs Duty or Excise Duty if they were sent to:
Great Britain (England, Wales and Scotland) from outside the UK Northern Ireland from countries outside the UK and the European Union (EU)You must also check that the sender: Pays Excise Duty on any alcohol or tobacco sent from the EU to Northern Ireland Declares goods correctly if they’re sent from outside the UK (or from outside the EU for Northern Ireland)
Your goods may be seized if you do not follow the rules. You may also be fined or prosecuted.
You’ll be contacted by Royal Mail, Parcelforce or the courier company if you need to pay any VAT, duty or delivery charges (‘handling fees’) to receive your goods. They’ll send you a bill stating exactly which fees you need to pay. They’ll normally hold your parcel for about 3 weeks. If you have not paid the bill by then, your parcel will be returned to the sender.
You will not have to pay anything to the delivery company to receive goods worth less than £135 unless they’re gifts over £39 or excise goods (for example, alcohol and tobacco).
VAT
VAT is charged on all goods (except for gifts worth £39 or less) sent from:
outside the UK to Great Britain
outside the UK and the EU to Northern Ireland
VAT is not charged on goods that are gifts worth £39 or less.
You pay VAT when you buy the goods or to the delivery company before you receive them. If you have to pay VAT to the delivery company, it’s charged on the total package value, including:
the value of the goods
postage, packaging and insurance
any duty you owe
The standard rate of VAT increased to 20% on 4 January 2011 (from 17.5%). Some things are exempt from VAT, such as postage stamps, financial and property transactions. The VAT rate businesses charge depends on their goods and services.
CUSTOMS DUTY
You’ll be charged Customs Duty on all goods sent from outside the UK (or the UK and the EU if you’re in Northern Ireland) if they’re either:
excise goods
worth more than £135
If you’re charged Customs Duty, you’ll need to pay it on both:
the price paid for the goods
postage, packaging and insurance
Gifts above £630 and other goods above £135: The rate depends on the type of goods and where they came from.
You pay Customs Duty on excise goods of any value.
Excise Goods
EXCISE GOODS
If you’re sent alcohol or tobacco from outside the UK, you’ll be charged Excise Duty at current rates. If the goods are sent from the EU to Northern Ireland, check that the Excise Duty was included in the price. If it’s not, your goods may be seized. It does not matter whether you buy the goods or they’re sent as a gift. Your goods can also be seized if they’re:
spirits over 35 centilitres without a UK duty stamp
cigarettes or hand-rolling tobacco without UK health warnings or fiscal marks
If you’re charged too much or return your goods Ask for a refund of VAT or Customs Duty if you:
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