Brexit Update for ATA Carnet Customers
Chamber International has been working closely with HM Revenue & Customs to get as much clarity as we can in issuing, processing and regularising Carnets so that you can continue to ship goods temporarily as efficiently as possible.
It is anticipated that ATA Carnets will be appropriate for temporary shipments to the EU 27 once the current transition period expires at 11pm on 31 December 2020.
This guide therefore assumes that:
• 1 January 2021 is Day 1 (D1) of the UK trading on WTO rules (irrsepective of whether there is an UK-EU trade deal or not)
• it has been confirmed that ATA Carnets can be used for temporary imports and exports between the UK and the EU 27 after D1, as it is used for signatory countries in the rest of the world
1. ATA CARNET DOCUMENT
We have produced a new ATA Carnet document with amendments to the front and back covers (where the UK was classified as an EU member) to reflect the fact that the UK has officially left the EU. The new format will be supplied by your issuing Chamber and must be used from 1 January 2021 / D1.
2. SECURITY RATE CHART
The EU is one bloc and therefore one destination for ATA Carnet goods. The single security rate we will be requiring customers to provide for the bloc is 40 per cent.
3. PORTS AND AIRPORTS
HM Revenue & Customs has introduced various inland sites to take the pressure away from the ports. These sites can process ATA Carnets, CITES, TIR and CTC documentation.
Click here for the up to date list of sites.
HGV traffic will have to use the following service.
4. ARE UK CARNETS ISSUED IN 2020 VALID FOR USE IN THE EU IN 2021?
Yes. DG Taxud confirmed that UK Carnets issued in 2020 will be valid for use in the EU in 2021. Carnets issued in 2020 should have additional Importation / Re-exportation Vouchers inserted into the Carnet if EU is to be included in the itinerary in 2021.
SCENARIO 1
UK goods shipped to a third country before D1, using a Carnet, and returning overland via EU (transit through EU) after D1.
Example: Goods shipped to Switzerland in 2020 and returning to UK in 2021, overland via EU.
Response: UK goods will no longer be in free circulation on return to the EU, however, UK Carnets issued in 2020 will be valid for use in the EU in 2021. Please ensure that you have a spare set of Transit Vouchers available in the Carnet to cover transit through the EU. Contact your issuing Chamber if additional Vouchers are required.
SCENARIO 2
UK goods being shipped to a third country before D1, using a Carnet, and returning overland via EU (including a working visit in EU) after D1.
Example: Goods shipped to Switzerland in 2020 then moving to Germany in 2021, for a working visit, before returning to UK.
Response: UK goods will no longer be in free circulation on return to the EU, however, UK Carnets issued in 2020 will be valid for use in the EU in 2021. Please ensure that you have a spare set of Importation / Re- exportation Vouchers available in the Carnet to cover the visit to the EU. Contact your issuing Chamber if additional Vouchers are required.
SCENARIO 3
UK goods destined to an EU Member State before D1 and returning after D1 (with no ATA Carnet issued or Customs declarations completed).
Example: UK goods are to be shipped to Spain before D1, scheduled to stay until later in 2021 then returned to UK, by land or air. Any goods that are currently in free circulation do not require an ATA Carnet to move between Member States. Following the D1 the movement of UK goods through EU will be subject to customs procedures and the goods will need to be declared to HMRC as returned goods (which may also require trader to provide HMRC with proof of the UK status of the goods).
Response: If the goods are transported by the Haulier, then the goods may have to be declared to T1 on their way back to the UK (transit will be open in Spain and closed in the Member State of exit from EU). The goods will have to be declared to Returned Goods Relief on return to the UK (your Haulier will be able to do this electronically) or if the goods are carried in baggage, then you may be asked to complete form C&E1246.
Please note that you may still be expected to provide reasonable proof of UK status of the goods to the UK customs. These could be VAT receipts confirming purchase in the UK, commercial evidence showing that the goods are on the trader’s books / inventory, shipment documents issued for previous movements etc.
SCENARIO 4
UK goods shipped to EU in 2021 and returning in 2021 / 2022
Example: Goods shipped for a working visit to Germany in 2021 and returning to UK in 2021 / 2022.
Response: ATA Carnets issued on or after 01 January 2021 will be valid for use in the EU. EU is treated as a single Customs territory / bloc, hence, one visit will allow your goods to travel between Member States.
If your itinerary also includes a visit to a non-EU country (i.e. Turkey Switzerland etc) then ensure that your Carnet contains sufficient number of Importation / Re-exportation Vouchers to cater for the intended
visits as well as the return journey.
Note of course that in the event of the transition period being extended, there would be no change in ATA issue procedures or Carnet forms until the newly agreed period expires ATA Carnets will not be required for movement of UK goods between Northern Ireland and GB.
For further details telephone one of our specialists on +44 (0)7827 318692 or contact us via email.
