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The Customs Declaration Service was updated on 24th June 2023. This is part of an ongoing process by HM Revenue & Customs to bring the service up to full functionality.
The table below, which has been produced by HMRC, provides details of the changes that have been implemented in the update and a brief explanation of how the change impacts the completion of CDS declarations.
Most of the changes appear to be minor, involving increased validation of specific data elements intended to bring the system in line with the Tariff completion rules. Therefore, it is essential to continue to use the CDS Import Declaration Completion Instructions and the CDS Export Declaration Completion Instructions in conjunction with your CDS customs declaration software when completing customs declarations.
It is also essential to continue to refer to the Procedure Codes and Additional Procedure Codes, which are also affected by the upgrade. The import and export codes can be accessed here:
DE 1/10: Requested and Previous Procedure Codes - Imports
DE 1/11: Additional Procedure Codes - Imports
DE 1/10: Requested and Previous Procedure Codes - Exports
DE 1/11: Additional Procedure Codes - Exports
Some Document Codes may be affected by the update, and the complete list of Document Codes can be accessed here:
DE 2/3: Documents and Other Reference Codes (Union)
DE 2/3: Documents and Other Reference Codes (National)
Details of the changes can be found in the table here:
| CDS Change | Declaration Completion Instructions |
|---|---|
| Validation of Procedure Code combinations when using SRDS | On SRDS declarations, only use combinations of DE 1/10 and 1/11 codes permitted by the declaration category |
| Customs Office ID for customs warehouse removals. | For import and export declarations where previous procedure code 71 is used, a customs office ID must be declared in DE 5/27 |
| Additional Procedure Code 1FV | When using Additional Procedure Code 1FV in DE 1/11, the Valuation Method in 4/16 should be four, as per the Declaration Completion Instructions. |
| VAT will be included in the calculations for the security deposit when applicable | |
| MUCRs/DUCRs | Where a MUCR and DUCR are declared, ensure that the format of the DUCR is correct. |
| Document Codes | When the Integrated Online Tariff or CDS Declaration Completion Instructions mandate the declaration of a document code in DE 2/3, the status code, ID and Reason should be completed as per the guidance in Appendix 5A. |
| Appendix 5A has been updated with new document codes. | |
| Ensure the Country Code is declared when using ALVS document codes. | When document codes C085, C640, C673, C678, N002, N851 or 9115 are declared on an import declaration, then either DE 5/15 or 5/16 must be completed. |
| Additional document codes to be used with C400 | When declaring document code C400 in DE 2/3, then one of the following document codes must also be declared in DE 2/3: C401, C402, C403, C404, C405, C406, C635, C638 or C639. |
| Prohibition and Restrictions | When declaring a commodity code with prohibition and restriction conditions, ensure that the correct document codes required by the Integrated Online Tariff are declared as per the instructions in Appendix 5A. |
| Requested Procedure Codes that can be used with Authorised Use Special Procedures. | Document Code N990 may only be used where the Requested Procedure Code is 44 or 07 |
| Export Countries of Routing | When a Country of Routing Code needs to be declared on an export declaration, DE 5/18 must be completed with a valid country code. |
| CSE and SDE Authorisation Codes | Authorisation codes CSE and SDE can both be declared in DE 3/39 on the same export declaration when the type in DE 1/2 is C or F. |
| Final Supplementary Declarations | When submitting a Final Supplementary Declaration using Procedure Code 0090 in DE 1/10 then, DE 2/1 must be completed with the following code at the header level: Z-ZZZ-FSD. |
| Final Supplementary Declarations using self-representation. | When submitting a Final Supplementary Declaration using self-representation, DE 3/18 must be completed with the SDCP-authorised traders EORI. DE 3/21 should be left blank. AI codes 00400 or 00500 are not required in these circumstances. |
| Manual Duty Calculations using AI Code OVR01 | When declaring AI Code OVR01 in DE 2/2, a Method of Payment Code is required in DE 4/8 only when the payable amount in DE 4/6 is greater than 0.00. |
| MOU Traders | MOU Traders exporting goods using the B1MOU declaration category must declare if a container is being used in DE 7/2 |
| MOU Traders using the C21e EIDR NOP declaration category | When MOU Traders complete a C21E EIDR NOP using Requested Procedure Code 10 in DE 1/10, then either C514 or C676 must be declared in DE 2/3 with the appropriate authorisation code declared in DE 3/39 |
| GLC | New Goods Location Codes have been added and will be listed in Appendix 16 |
| Importing Goods into NI Claiming a UK Quota | Goods travelling from GB-NI cannot claim a UK Quota. RoW-NI goods can only claim a UK quota if the goods are not at risk. Where there is a mismatch between UK and EU quotas, please refer to the declaration completion instructions guidance for Group 4 |
| UK/EU Preference Mismatches for goods imported into NI | When importing goods from RoW into NI and claiming the EU Preference where there is a different UK preference code (for example, Goods being imported under an EU Preference rate of 0% where code 300 is needed, but the UK Integrated Online Tariff has a 0% duty rate, which would require code 100 to be declared), then the declaration should be completed as follows: |
| - UK preference code should be declared in DE 4/17, | |
| - AI Code EUPRF should be declared in DE 2/2 with the EU Preference code entered in the free text field. | |
| Number Rounding | When entering Net and Gross Mass values, please enter the correct number of decimal places. |
| Processing Individual Guarantees | When using a guarantee to cover a security deposit, ensure that the guarantee balance is enough to cover the amounts being secured. |
| KEL 495 - Issue with Quotas and Immediate Payment MOPs | KEL 495 has now been resolved. |
Workaround for Hydrocarbon Oils being simultaneously entered into Excise Warehousing and Authorised-Use (End-Use)
From 26th June 2023, a temporary workaround will be available to facilitate the declaration of hydrocarbon oils, which are simultaneously being entered into Excise Warehousing and Authorised-Use (End-Use in Northern Ireland). This will facilitate the migration of traders who have been using CPC 0740000 on CHIEF. A permanent solution will be delivered in a subsequent software release.
Background;
Several hydrocarbon oil commodity codes can only be used in conjunction with authorised use, which would normally require a declaration using requested procedure code 44.
Hydrocarbon oils are generally imported into excise warehousing, which usually requires a declaration using requested procedure code 07.
As it is only possible to declare one requested procedure code, it has not, so far, been possible to declare these consignments on CDS.
Temporary Solution;
A temporary solution will be available on CDS from 26th June 2023. Hydrocarbon oils being simultaneously entered to excise warehousing and authorised use should be declared using procedure code 0700, but with all the authorised-use authorisation details included in addition to the excise warehouse authorisation details.
The Declaration Completion Instructions for procedure code 0700 should be followed but note the following restrictions and additional requirements Data Element.
| DE 1/1 | IM (not permitted with CO) |
|---|---|
| DE 1/2 | A, D (not permitted with B, C, E, F, J, K, Y or Z) |
| DE 1/10 | Procedure code 0700 |
| DE 1/11 | F06 (no other Additional Procedure Codes are permitted) |
| DE 2/2 | GEN45 and the reference number for tracking the consignment through the traders records for Authorised-Use purposes |
| DE 2/3 | N990 GBEUS and the authorisation for Authorised-Use |
| C676 GBEXWH and the authorisation for the excise warehouse | |
| DE 2/7 | Code Y and the identification of the excise warehouse |
| DE 3/39 | EUS and the EORI of the Authorised-Use authorisation holder |
| EXWH and the EORI of the excise warehouse authorisation holder | |
| DE 5/27 | Enter the Supervising Customs Office for the excise warehouse. |
| DE 6/14 & DE 6/15 | Commodity code with Authorised-Use (N990) condition |
| DE 6/17 | Appropriate National Additional Code for the oil being declared |
HMRC has added a reminder to the CDS Declaration Completion Instructions for Imports for Data Element 4/14.
The note also states that HMRC has removed deduction code BC from Data Element 4/9 and pointed declarants to the Import Declaration Completion Instructions for DE 4/14 for guidance on declaring the value when using invoice term DDP (Delivered Duty Paid).
To be clear, HMRC says you must not use a Deduction Code to remove the duty from a DDP import declaration. You must remove the duty manually and provide a worksheet.
DE 4/14 Item Price / Amount (Box 42: Item Price)
Delivery Terms DDP (Delivered Duty Paid)
When delivery terms DDP is declared in DE 4/1, any amounts included in the invoice value, which represent import duties or other charges payable in the UK for the reason of the import or sale of the goods, must be deducted so that these are excluded from the item price declared in DE 4/14.
Document code 9WKS must be included for the worksheet showing how the declared item price has been arrived at.
When DDP is used with consignments that are not anticipated to incur UK import duties, but the seller has undertaken to reimburse the buyer for any duties charged, no deduction should be made.
If duty is charged and the seller reimburses the buyer for this amount, an application can be submitted for a post-clearance adjustment.
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