Guide

Inward Processing

Types of Inward Processing authorisation

You need to be authorised to be eligible for duty relief under IP.

Inward Processing - Full authorisation

Use full authorisation if you’re a regular user of IP. You should apply at least one month before importing, using form SP3.

Inward Processing - Authorisation by declaration

Authorisation by declaration is suited to traders importing goods occasionally to IP and carrying out all processing in the UK. You should only use this method if you intend to import 3 times or less in a calendar year.

Authorisation by declaration lets you enter goods into IP without making a prior application for authorisation. Use the relevant customs procedure codes on your customs declaration (form C88) and place indicators in box 44. You’ll also need to complete a Bill of Discharge for each entry.

Where a company or importer’s address is not in the UK, you should only use authorisation by declaration for non-commercial goods. For authorisation involving more than one member state, you should apply for full authorisation or multi state authorisation.

You cannot use an authorisation by declaration to import goods listed under chapter 93 and chapter 97 of the Trade Tariff, or over £500,000 in value.

Inward Processing - Multi State Authorisations

Multi State Authorisations are authorisations that are valid in more than one member state. They can apply to:

  • Temporary Admission
  • End-Use
  • Inward Processing
  • Outward Processing
  • customs warehousing

Economic Operators must use a European Union Gateway website to access the EU Central Service site to request an authorisation.

Email: admin.uum@hmrc.gov.uk to get access to the website. Include your:

  • name
  • contact email address
  • Economic Operator Registration and Identification scheme (EORI) number

HMRC will email you within 5 days to confirm you’ve been set up to access the European Union Gateway website, and give you the link to access it.

A guarantee for potential debts has to be provided to secure the future payment of the Customs Duty should they become due, for example, for IP where the goods are released to free circulation and the debtor fails to pay.

You should make sure you’ve applied for a Customs Comprehensive Guarantee (CCG) on form CCG1. You can submit the CCG1 at the same time as your application for authorisation. A CCG can take up to 120 days to issue.

Your authorisation cannot be issued until the CCG1 form has been processed. If you intend to use an individual guarantee, you should explain the reasons in the additional information box and provide the details to the authorising office.

Inward Processing - Retrospective authorisation

You can apply for retrospective authorisation on goods imported to free circulation, if you realise the goods should have been imported to IPR.

All requests are considered individually and may only be issued in certain circumstances. You need to be able to:

  • produce records to support your application
  • show the goods were, or are, eligible for relief
  • provide a full explanation of why retrospective authorisation is necessary

Retrospective authorisation can only be issued for up to one year prior to the date of the application being received. Retrospective authorisation can only be applied for once in a 3 year period.

You cannot retrospectively apply for authorisation by declaration.

Responsibility of authorisation holders

The authorisation holder is responsible for all duties on the goods, even if they do not own them. You need to make your own financial arrangements with other suppliers, customers and processors involved.