Simplifications to customs warehousing
Simplifications to customs warehousing are 1) the simplified declaration procedure and 2) entry in the declarant’s records. Simplified declaration procedure means that a commercial or administrative document is used as a warehousing declaration instead of the SAD form. An entry in the declarant's records, which was formerly known as local clearance, means that the goods can be placed under a procedure with an entry in the records. Both simplifications require an authorisation from the Customs Authorisation Centre.
Simplified declaration procedure
The holder of the customs warehousing procedure can be authorised to use an administrative or commercial document, e.g. a consignment note, as a customs warehousing declaration instead of the SAD form. The document must include all data required of a customs declaration. Using the simplified declaration procedure requires an authorisation from the Customs Authorisation Centre. Simplification will no longer be in use when electronic declarations are implemented for customs warehousing.
Entry in the declarant's records (EIR)
An entry in the declarant’s records replaces the paper-based customs declaration. Using an entry in the declarant’s records (EIR) for customs clearance, requires an authorisation from the Customs Authorisation Centre. The applicant must fulfil the AEOC criteria. An AEOC operator is someone who is entitled to simplifications regarding customs procedures. If the applicant has a valid AEOC certificate it speeds up the application process.
When this procedure is used, the goods are released for the customs warehousing procedure with an entry in the declarant’s records. The date of placing goods under the customs warehousing procedure is the day that the goods are entered into the records. A supplementary declaration is not required for customs warehousing.
An entry in the declarant’s records is most frequently implemented, when the goods arrive under a transit procedure to an authorised consignee who has a customs warehousing authorisation. The warehouse keeper is responsible for the entries in the records.
Points to consider
As a part of the application process, the applicant provides a description of their records and logistics system to Customs. Based on the application and description, Customs begins the assessment process where it is assessed whether or not the company’s policies and procedures correspond to the requirements of the authorisation. If the criteria have been inspected previously in connection with the approval of an AEOC certificate, the authorisation process is speeded up.
The product groups, for which an entry in the declarant’s records can be implemented when placing them under a procedure, are defined in the appendix of the authorisation for simplification in accordance with the HS nomenclature, i.e. provided at the level of four digits.
The goods must be presented to Customs when they arrive at the warehouse. Under certain conditions, the holder of the authorisation can be exempted from presenting the goods. Several operators in Finland have been exempted from providing a presentation notification, until further notice. If Customs asks for a presentation notification, it send more detailed information separately to the warehouse keeper regarding the notification. The data content for the presentation notification has been defined in the appendix of the authorisation for simplification. There is a mention in the authorisation if the operator has been granted exemption from presentation.
Customs inspects the applicant’s records when the authorisation for simplification is approved. The company’s nature and scope of activity is taken into account, when establishing the data content requirements of the records. The records can be either separate or a part of the stock records of a customs warehouse. The holder of the authorisation must on a daily basis enter into the records, goods received at the customs warehouse.
When an entry in the declarant’s records is used in customs warehousing, the following data must be entered into the records:
- the date for placing goods under a procedure
- the number of the transport document, if the consignment does not have a separate reference number
- the consignment reference number provided by the holder of the authorisation
- the record reference number (warehouse deposit number), which can be omitted if the consignment is otherwise traceable
- the consignee (known)
- the goods description to identify the goods
- the package type and number of packages
- marks and numbers
- possible number of container
- the commodity code entered at a minimum level of six (6) digits
- gross and net mass
- procedure code 7100, customs warehousing procedure
- if necessary, the number of the authorisation for simplification.
There may be grounds for presenting some of the required data e.g. at header level. In addition to the required data, the records must also contain all other information required in the stock records of a customs warehouse. These are, for instance, the number of the customs declaration preceding as well as the one ending the customs warehousing procedure, the date as well as supplementary unit, if necessary.
The holder of the authorisation must also follow both the general instructions regarding the authorisation for simplification of customs warehousing and regarding the customs warehousing authorisation.
- Simplified customs declaration, Union Customs Code Article 166
- Supplementary customs declaration not submitted, Union Customs Code Article 167(2)(a)
- Entry in the declarant's records, Union Customs Code Article 182
- Conditions for granting authorisations for entry in the declarant's records, Delegated Regulation Article 150
- Obligations of the holder of the authorisation to lodge a customs declaration in the form of an entry in the declarant’s records, Implementing Regulation Article 234