FULL CUSTOMS CHECKS ON UK IMPORTS BEGIN 1 JANUARY 2022
The government has reminded companies importing goods from the EU that new paperwork and customs checks are being introduced from 1 October 2021, and there are concerns that many are still not prepared.
The government postponed the start of import controls in March 2021 for six months to give businesses more time to prepare and for border control infrastructure to be set up.
New Rules
Importers have been required to keep internal records of imports since the start of the year, but may have to start providing documentation from 1 October 2021 – initially for goods subject to sanitary and phytosanitary (SPS) controls such as meat, cheese and eggs.
However, full customs checks on all imports will begin on 1 January 2022 with tariffs, duties and VAT deferrable until the end of 2022.
Upcoming rule changes
International trade experts have stressed the importance of importers preparing for the upcoming rule changes now.
Brexit changes are far from over. companies need to act now to make sure their businesses know to prepare and get good advice.
New responsibilities
HMRC has written to more than 160,000 businesses reminding them of their responsibilities.
Those who deferred customs declarations in January 2021 are having to now file supplementary declarations for their goods movements.
These declarations must be completed 175 days after the date that the goods were imported into the UK.
Non-compliant businesses could lose the right to delay future declarations and could face financial penalties.
End of easements
Some EU importers have mistaken the ongoing easements from the government as a permanent “light touch” approach to customs checks.
Businesses should check that their partners are ready to comply.
2022: Full customs procedures
According to Lloyd’s Loading List, freight companies view 1 January 2022 – when full customs procedures will come into effect for all imports – as an even bigger challenge than January 2021, “because there are more new processes to master”
Robert Keen, director general of freight association BIFA, said his members were ready, but any importers that are new to the customs environment should beware.
Traders should consider appointing an intermediary to deal with their customs documentation, whilst they concentrate on their core business.
Further clarity needed
There are gaps in the information provided by the government, including clarity on which ports will be operating a pre-lodgement model as opposed to a temporary storage model for processing cargo.
There are also concerns about whether the necessary infrastructure will be built in time.
Get advice
HMRC is providing information on how businesses can appoint intermediaries to deal with their customs documentation.
If you have any concerns regarding customs declarations? Contact Us for free confidential advice.
