Customs Information Paper (13)22

CUSTOMS INFORMATION PAPER (13)22

Temporary Removal of goods from a Customs Warehouseand Temporary Admission ofWorks of Art, Collectors Items and Antiques

Who should read: / All warehousekeepers who temporarily remove goods from the customs warehousing procedure; and anyone who is involved in the importation ofWorks of Art, Collectors Items and Antiques to Temporary Admission.
What is it about: / The requirement to use Temporary Admissioninstead of the customs warehousing temporary removal arrangements for goods subject to certain activitiesandsubject to authorisation, alternative security arrangements for Temporary Admission goods listed at Annex IX of Council Directive 2006/112/EC when used for certain activities
When effective: / 30th June 2013
Extant until/ Expires / Indefinitely

1. Background

The UK policy of permitting goods to be entered to the customs warehousing arrangements and temporarily removed from the warehouse for the purpose of exhibition and similar activities has been a long established practice. However following discussions with the EU Commission and other Member States it has been confirmed that the correct customs procedure to be used is Temporary Admission (TA).

Customs Information Papers (CIP) (10)44, (11)18 and (11)71 have been issued on the use of the Temporary Removal arrangements.This paper supplements and where applicable,supersedes the guidance in the three CIP papers detailed above in relation to the use of temporary removal for exhibition and similar activities.

2. Action required

From 30th June 2013 all goods imported for exhibition with a view to sale, possible sale, for sale by auction or similar activities, should be entered to TA, either directly at import or on removal from a customs warehouse if a period of storage is required. If you currently use the customs warehousingarrangements and temporarily remove goods for exhibitionor similar activities you should note that from the 30th June 2013 temporary removal will no longer be authorised for these purposes, you should contact your Supervising Office, at the address below, so your customs warehouse authorisation can be amended, and this permission removed.

If you use the temporary removal arrangements from a customs warehouse solely for the purpose of viewing you may continue to use your current arrangements as detailed in your customs warehouse authorisation.

It should be noted that ‘viewing’ in the context of this papercannot be applied to items temporarily removed for display at a venue which allows public access for example fairs/galleries/exhibitions.

3. TA Procedure

The use of the TA procedure for goods imported for exhibition with a view to sale, possible sale, for sale by auction or similar activities requires security to cover any Customs duty and/or Import VAT liability that may become due if the TA procedure is not correctly discharged. HMRC is aware that the use of TA may have a cost impact on businesses .To mitigate the potential cost impact on businesses HMRC is going to offer a full guarantee waiver in respect of Import VAT in the above scenarios where the following conditions are met:

• A full TA authorisation is held

Note – Before an authorisation is issued you will need to show a good compliance record, meet the financial solvency criteria, be able to demonstrate a good record keeping history and show that there are systems/procedures in place to identify and correct any errorsfound and to prevent them being repeated. The types of checks which we may make are similar to those detailed in Notice 117, Sections 4 to 6, which is available on the HMRC website.

• The goods are those as described in the Annex attached to this CIP and are imported for the uses detailed.

Note - If the goods are subject to both Import VAT and Customs charges, security for the full amount of Customsduty will still be required.

If you currently use the customs warehousing arrangements and temporarily remove goods for exhibition with a view to saleon a regular basis and do not already have a full TA authorisation you will need to apply using form C&E 1331to take advantage of these arrangements. The completed formshould be sent to:

Authorisations and Returns Team

HM Revenue and Customs

Peter Bennett House

Redvers Close

Leeds LS16 6RQ

If your application for approval is successful you will be advised on the C88 declaration completion requirements to enable these new arrangements to be used.

If you currently use the TA Simplified authorisation procedureon a regular basis for the goods and purposes detailed in this CIP andwish to obtain a full TA authorisation you should complete a C&E 1331 and send it to the address detailed above.

It should be noted that if you only import occasionally, HMRC will take the economic need and any administrative burden into consideration before granting a full TA authorisation. If you are refused a full TA authorisation for this or any other reason you can use the Simplified TA authorisation arrangements but security for Import VAT and other Customs charges will be required on entry to TA.

If you already hold a full TA authorisationand wish to take advantage of the arrangements detailed in this CIP please contact the Authorisation and Returns Team (at the above address) for further information on obtaining an approval to use them..

If your business falls under the supervision of Large Business Service (LBS), you should contact your Customer Relationship Manager or allocated Customs & International Trade Tax Specialist.

Please also note that Agents, Freight forwarders or Fast Parcel Operators who complete customs entries on behalf of an importer or deliver goods to the place where they will be used,cannot claim TA relief in their own name if they are not responsible for using the goods or arranging for them to be used on behalf of the importer.

4. Contacts

Further information concerning the use of the Temporary Admission procedure can be found in Notice 200 which is available on the HMRC website at or from the VAT, Excise and Customs Helpline at the number detailed below.

Issued on the 15 April 2013 by the JCCC SecretaryHMRC, Excise, Customs Stamps & Money Directorate.

If you have a question about the content of this paper please use the details provided in the Contacts section. For general HMRC queries speak to the VAT, Excise & Customs Helpline on Tel 0845 010 9000.

To find out what you can expect from us and what we expect from you go to and have a look at YourCharter

Annex

ANNEX IX of Directive 2006/112/EC - WORKS OF ART, COLLECTORS' ITEMS AND ANTIQUES

(a) 'Works of art' shall mean:

Description of goods / Specific CN Code (where applicable)
Pictures, collages and similar decorative plaques, paintings and drawings, executed entirely by hand by the artist, other than plans and drawings for architectural, engineering, industrial, commercial, topographical or similar purposes, hand decorated manufactured articles, theatrical scenery, studio back cloths or the like of painted canvas. / 9701
Original engravings, prints and lithographs, being impressions produced in limited numbers directly in black and white or in colour of one or of several plates executed entirely by hand by the artist, irrespective of the process or of the material employed, but not including any mechanical or photomechanical process. / 9702 00 00
Original sculptures and statuary, in any material, provided that they are executed entirely by the artist, sculpture casts the production of which is limited to eight copies and supervised by the artist or his successors in title, on an exceptional basis, in cases determined by the Member States, the limit of eight copies may be exceeded for statuary casts produced before 1 January 1989. / 9703 00 00
Tapestries, and,
Wall textiles
made by hand from original designs provided by artists, provided that there are not more than eight copies of each. / 5805 00 00
6304 00 00
Individual pieces of ceramics executed entirely by the artist and signed by him. / -
Enamels on copper, executed entirely by hand, limited to eight numbered copies bearing the signature of the artist or the studio, excluding articles of jewellery and goldsmiths' and silversmiths' wares. / -
Photographs taken by the artist, printed by him or under his supervision, signed and numbered and limited to 30 copies, all sizes and mounts included. / -

(b) 'Collectors' items' shall mean

Description of goods / Specific CN Code (where applicable)
Postage or revenue stamps, postmarks, first day covers, pre-stamped stationary and the like, used, or if unused not current and not intended to be current. / 9704 00 00
Collections and collectors' pieces of zoological, botanical, mineralogical, anatomical, historical, archaeological, paleontological, ethnographic or numismatic interest. / 9705 00 00

(c) 'Antiques' shall mean:

Description of goods / Specific CN Code (where applicable)
Objects other than works of art or collectors items which are more than 100 years old. / 9706 00 00