Finance Act 2021

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Amendment of Part 2 of Finance Act 2001 (excise)

47. (1) Part 2 of the Finance Act 2001 is amended—

(a) in section 96—

(i) in subsection (1)—

(I) in the definition of “authorised warehousekeeper”—

(A) in paragraph (a), by the substitution of “process, hold or store” for “process, or hold”, and

(B) in paragraph (b), by the substitution of “authority” for “authorities”,

(II) by the substitution of the following definition for the definition of “Directive”:

“ ‘Directive’ means Council Directive (EU) No. 2020/262 of 19 December 2019²⁸ ;”,

(III) in the definition of “European Union”, by the substitution of the following paragraph for paragraph (f):

“(f) in the case of France, the territories referred to in Article 349 and Article 355(1) of the Treaty on the Functioning of the European Union, and”,

(IV) in the definition of “registered consignee”, by the deletion of “other than an authorised warehousekeeper or an exempt consignee,” in each place where it occurs,

(V) in the definition of “registered consignor”—

(A) by the substitution of “only dispatch” for “consign” in each place where it occurs, and

(B) by the substitution of “Article 201 of the Council Regulation” for “Article 79 of Council Regulation (EEC) No. 2913/92” in each place where it occurs,

(VI) in the definition of “suspension arrangement”, by the substitution of “held, stored or moved” for “held or moved”,

(VII) in the definition of “tax warehouse”, by the substitution of “held, stored, received or dispatched” for “held, received or dispatched” in each place where it occurs, and

(VIII) by the insertion of the following definitions:

“ ‘certified consignee’ means, as the case requires—

(a) a person registered with the Commissioners in accordance with section 109RA(4) in order to receive, in the course of business, excisable products that have been released for consumption in another Member State and then moved to the State, or

(b) a person registered with a competent authority in another Member State in order to receive, in the course of business, excisable products that have been released for consumption in the Member State of dispatch and then moved to the first-mentioned Member State;

‘certified consignor’ means, as the case requires, either—

(a) a person registered with the Commissioners in accordance with section 109RA(4) in order to dispatch, in the course of business, excisable products that have been released for consumption in the State to another Member State, or

(b) a person registered with the competent authority of another Member State in order to dispatch, in the course of business, excisable products that have been released for consumption in that Member State and then moved to another Member State;

‘Commission Regulation’ means Commission Regulation (EC) No. 684/2009 of 24 July 2009²⁹ ;

‘computerised system’ means the system referred to in Article 1 of Decision (EU) 2020/263 of the European Parliament and of the Council of 15 January 2020³⁰ ;

‘consignment’ has the meaning, as the case requires, assigned to it by section 109B or section 109Q;

‘Council Regulation’ means Regulation (EU) No. 952/2013 of the European Parliament and of the Council of 9 October 2013³¹ laying down the Union Customs Code;

‘declarant’ means the declarant as defined in point (15) of Article 5 of the Council Regulation;

‘destination Member State’, in respect of a consignment, means the Member State where, as the case may be, the designated consignee, place of exportation, or certified consignee for that consignment is located;

‘electronic change of destination document’ means a document that complies with the requirements set out in Table 3 of Annex 1 of the Commission Regulation;

‘importation’ means the release of goods for free circulation in accordance with Article 201 of the Council Regulation;

‘irregular entry’ means an entry of goods into the territory of the European Union, which have not been placed under release for free circulation in accordance with Article 201 of the Council Regulation and for which a customs debt under Article 79(1) of that Regulation has been incurred, or would have been incurred if the goods had been subject to customs duty;

‘irregularity’ means an occurrence during a movement of excisable products made under Chapter 2B that has not been ended in accordance with the provisions of that Chapter;

‘irregular release’ means an occurrence giving rise to a release for consumption during a movement of excisable products made under Chapter 2A that has not been ended in accordance with the provisions of that Chapter;

‘Member State of dispatch’ means the Member State from which a consignment is dispatched;

‘paper confirmation of receipt’ has the meaning, as the case requires, assigned to it by section 109N(1), section 109TA(1) or section 109VA(3);

‘place of importation’ means a place where excisable products are released for free circulation in accordance with Article 201 of the Council Regulation;

‘report of receipt’ means a report by means of the computerised system, in accordance with (as the case may be)—

(a) Article 24(1) of the Directive, certifying that a consignment has been received by a designated consignee, or

(b) Article 37(1) of the Directive certifying a consignment has been received by a certified consignee;

‘SEED register’ means the register of economic operators and of premises authorised as tax warehouses that is required to be maintained by the Commissioners under Article 19 of Council Regulation (EU) No. 389/2012³² ;”,

and

(ii) by the insertion of the following subsection after subsection (3):

“(4) A reference in any other enactment to Council Directive No. 2008/118/EC of 16 December 2008³³ shall be construed as a reference to the Directive.”,

(b) by the substitution of the following section for section 98:

“Importation from outside territory of European Union

98. (1) The Commissioners may require that, on the importation of excisable products from outside the territory of the European Union, the person who declares such products for free circulation in accordance with Article 201 of the Council Regulation shall provide such information as they require for the correct accounting for, and payment of, any excise duty that is payable on such products.

(2) Where the excisable products referred to in subsection (1) are to be moved upon release for free circulation from the place of importation in the State under a suspension arrangement, the declarant or any person directly or indirectly involved in the accomplishment of customs formalities in accordance with Article 15 of the Council Regulation shall provide to the Commissioners—

(a) the unique excise number in the SEED register identifying the registered consignor for the movement,

(b) the unique excise number in the SEED register identifying the consignee to whom the excisable products are being dispatched, and

(c) if the movement is to be made in accordance with Chapter 2A, such evidence as the Commissioners may require to show that the imported excisable products are intended to be dispatched from the State to another Member State.”,

(c) in section 98A—

(i) by the substitution of the following subsection for subsection (1):

“(1) In this Part ‘release for consumption’ means—

(a) any release, including irregular release, of excisable products from a suspension arrangement,

(b) any production, processing or extraction, including irregular production, processing or extraction, of excisable products outside a suspension arrangement,

(c) any importation of excisable products from outside the European Union or any arrival in the State of products from within the European Union, except where the excisable products are, immediately upon such importation or arrival, placed under a suspension arrangement, or

(d) any irregular entry of excisable products, except where the customs debt was extinguished under points (e), (f), (g) or (k) of Article 124(1) of the Council Regulation.”,

(ii) in subsection (3), by the insertion of “or stored” after “held”,

(iii) by the substitution of the following subsection for subsection (4):

“(4) Without prejudice to subsection (1), excisable products shall be deemed not to have been released for consumption where they are shown to the satisfaction of the Commissioners to have been totally or partially lost—

(a) during production, processing, holding or storage in the State, or

(b) in the course of movement to, from or within the State,

under a suspension arrangement, and where such loss is shown to their satisfaction to have been—

(i) due to unforeseen circumstances or force majeure,

(ii) in the case of a loss referred to in paragraph (a), due to the nature of the excisable products, or

(iii) the result of destruction in accordance with such procedures as the Commissioners may require.”,

(iv) by the insertion of the following subsections after subsection (4):

“(4A) Where excisable products are shown to the satisfaction of the Commissioners to have been partially lost during transport to the State from another Member State, and the loss is shown to their satisfaction to have been due to the nature of the excisable products, the products shall, unless an officer has reasonable grounds to suspect that a fraud or an irregular release has occurred in connection with the excisable products, be deemed not to have been released for consumption in so far as the amount of loss falls below a common partial loss threshold established in delegated acts adopted by the Commission in accordance with Article 51 of the Directive.

(4B) Where the Commissioners are satisfied that destruction or loss, as referred to in subsection (4), of the excisable products has been established and that no release for consumption has occurred, any security provided in accordance with section 109(7) or 109A(8), as the case may be, shall be released fully or partially, as appropriate, upon the production of satisfactory proof of such destruction or loss.”,

(v) in subsection (5), by the substitution of “this section” for “subsection (4)”, and

(vi) in subsection (7), by the insertion of “and in such circumstances, the Commissioners shall inform the competent authority of the Member State of dispatch” after “so occurred”,

(d) by the insertion of the following section after section 98A:

“Chargeability of excisable products released for consumption

98B. (1) In the case of a movement of excisable products delivered to the State in accordance with Chapter 2B, excise duty shall not be chargeable in the State on such products where the products are shown to the satisfaction of the Commissioners to have been totally or partially lost in the course of movement to the State from the Member State in which they were released for consumption, and where such loss is shown to have been—

(a) due to unforeseen circumstances or force majeure, or

(b) the result of destruction in accordance with such procedures as the Commissioners may require.

(2) Where excisable products are shown to the satisfaction of the Commissioners to have been partially lost in the State during transport from another Member State in which they were released for consumption, and the loss is shown to the satisfaction of the Commissioners to have been due to the nature of the excisable products, excise duty on those products shall, unless an officer has reasonable grounds to suspect that a fraud or an irregularity has occurred in connection with the excisable products, not be chargeable in so far as the loss falls below a common partial loss threshold established in delegated acts adopted by the Commission in accordance with Article 51 of the Directive.

(3) Where the Commissioners are satisfied that destruction or loss, as referred to in subsection (1), of the excisable products has been established and that excise duty shall not be chargeable on those excisable products, the security referred to in section 109SB(1) or 109U, as the case may be, shall be released fully or partially, as appropriate, upon the production of satisfactory proof of such destruction or loss.

(4) In the case of an irregularity occurring during the movement of excisable products released for consumption in another Member State, excise duty shall become chargeable on the products in the State if the irregularity occurred in the State or, where it is not possible to determine where the irregularity occurred, if it is detected in the State.

(5) For the purposes of this section, excisable products are destroyed when they are rendered unusable as excisable products.”,

(e) in section 99—

(i) by the substitution of the following subsection for subsection (3):

“(3) A registered consignor is liable for payment of the excise duty on any consignment dispatched by such registered consignor to another Member State under section 109E(1)(b) or to a place in the State, and that liability is fully or partly discharged where, and to the extent that, the consignment concerned has been (as the case may be)—

(a) received, under a suspension arrangement, into a tax warehouse in the State, or

(b) ended in accordance with subsection (1) of section 109K, and evidence to that effect has been received in accordance with subsection (2) of that section.”,

(ii) by the insertion of the following subsections after subsection (4):

“(4A) A certified consignee is liable for payment of excise duty on excisable products delivered to such certified consignee in the State in accordance with Chapter 2B.

(4B) Where excisable products are delivered to a person in the State in accordance with Chapter 2B and the person is not registered with the Commissioners in accordance with section 109RA(4), that person shall be liable for payment of excise duty on the excisable products.”,

(iii) by the substitution of the following subsection for subsection (5):

“(5) Without prejudice to the liability of any person under subsection (1), (3), (4), (4A) or (4B), where an irregular release of excisable products from a suspension arrangement or an irregularity in a movement of excisable products in accordance with Chapter 2B gives rise to a liability to excise duty, any person who knowingly participated in that irregular release or irregularity, as the case may be, is liable for payment of that excise duty.”,

(iv) by the insertion of the following subsection after subsection (6):

“(6A) Where a tax representative is not appointed in accordance with section 109U or a tax representative so appointed fails to comply with the requirements of that section or with regulations made under section 153, the person liable to pay the excise duty is the person to whom the excisable products are consigned.”,

(v) in subsection (7)—

(I) by the insertion of “or there is an irregular entry of such products into the State” after “outside the European Union”,

(II) in paragraph (a), by the substitution of “Article 201 of the Council Regulation, or any person who participated in the irregular entry, as the case may be” for “Article 79 of Council Regulation (EEC) No. 2913/92”, and

(III) in paragraph (b)—

(A) by the insertion of “or in the case of an irregular entry of such products” after “free circulation”,

(B) in subparagraph (i), by the insertion of “or participates in the irregular entry of” after “who imports”, and

(C) in subparagraph (ii), by the insertion of “or irregular entry” after “importation” in each place where it occurs,

(vi) in subsection (8)—

(I) by the insertion of “, extracted or processed” after “produced”,

(II) in paragraph (a), by the insertion of “, extractor or processor” after “the producer”, and

(III) in paragraph (b), by the insertion of “, extraction or processing” after “the production” in each place where it occurs,

(vii) in subsection (9)—

(I) in paragraph (b), by the insertion of “, held or stored” after “kept”, and

(II) in subparagraph (ii), by the insertion of “held, stored” after “kept,”,

and

(viii) in subsection (10)—

(I) in paragraph (b)—

(A) by the insertion of “, storage” after “holding”, and

(B) by the insertion of “or stored” after “held”,

and

(II) by the substitution of “who holds or stores them” for “who holds them”,

(f) in section 104—

(i) in subsection (5)—

(I) in paragraph (a), by the substitution of “section 109SA or section 109VA,” for “section 109V, or”,

(II) in paragraph (b), by the substitution of “section 109W, or” for “section 109W.”, and

(III) by the insertion of the following paragraph after paragraph (b):

“(c) have been dispatched to another Member State in accordance with section 109SA or section 109VA, where an irregularity occurred or was detected during the movement.”,

and

(ii) by the insertion of the following subsection after subsection (5):

“(5A) A repayment of excise duty for the purposes of subsection (5)(a) shall be on the basis of a report of receipt received from the competent authority in the destination Member State in accordance with section 109SC(4) or 109VA(3), as the case may be.”,

(g) in section 108A—

(i) in subsection (1)(b), by the insertion of “or storage” after “holding”, and

(ii) in subsection (4), by the insertion of “or stored” after “held” in each place where it occurs,

(h) in section 109—

(i) in subsection (3)(i), by the substitution of “held, stored or processed” for “held or processed”,

(ii) in subsection (4)—

(I) by the substitution of “subsections (2), (2A) and (3)” for “subsections (2) and (3)”, and

(II) in paragraph (b), by the substitution of “held or stored” for “held”,

(iii) in subsection (7)(a), by the substitution of “held or stored” for “held”,

(iv) in subsection (11), by the substitution of “held or stored” for “held”, and

(v) in subsection (12)(h), by the substitution of “held, stored or processed” for “held or processed”,

(i) in section 109B—

(i) in the definition of “administrative reference code”, by the substitution of “Article 20(3)” for “Article 21(3)”,

(ii) in the definition of “customs electronic data”, by the substitution of “Chapter 2 of Title II of Commission Implementing Regulation (EU) 2015/2447 of 24 November 2015³⁴ ” for “Chapter 3 of Title IV of Commission Regulation (EEC) No. 2454/93 of 2 July 1993”,

(iii) in the definition of “customs office of exit”, by the substitution of “Article 329(5) of Commission Implementing Regulation (EU) 2015/2447” for “Article 793(2) of Commission Regulation (EEC) No. 2454/93”,

(iv) in the definition of “customs office of export”, by the substitution of “Article 221 of Commission Implementing Regulation (EU) 2015/2447” for “Article 161(5) of Council Regulation (EEC) No. 2913/92”,

(v) by the insertion of the following definition:

“ ‘customs special procedure’ means any one of the special procedures provided for under the Council Regulation relating to the customs supervision to which non-European Union goods are subjected upon their entry into the European Union customs territory, temporary storage, free zones or free warehouses, as well as any of the procedures referred to in Article 210 of that Regulation;”,

(vi) in the definition of “electronic administrative document”, by the substitution of “Article 20(2)” for “Article 21(2)”,

(vii) in the definition of “small wine producer”—

(I) by the substitution of “per wine year” for “per year”,

(II) by the substitution of “Article 48” for “Article 40”, and

(III) by the substitution of “Articles 14 to 31” for “Chapters III and IV”,

and

(viii) by the deletion of the definitions of “Commission Regulation”, “computerised system”, “customs suspensive arrangement”, “destination Member State”, “Member State of dispatch”, “paper confirmation of receipt”, “place of importation”, “report of receipt” and “SEED register”,

(j) in section 109C—

(i) in subsection (2)(a), by the substitution of “the Directive” for “Council Directive No. 2008/118/EC”, and

(ii) in subsection (3), by the substitution of “customs special procedure” for “customs suspensive arrangement”,

(k) in section 109E—

(i) in subsection (2)—

(I) in paragraph (c), by the substitution of “exportation,” for “exportation, or”,

(II) in paragraph (d), by the substitution of “consignee, or” for “consignee,” and

(III) by the insertion of the following paragraph after paragraph (d):

“(e) the customs office of exit, where that office is also the customs office of departure for the external transit procedure where provided for in Article 189(4) of Commission Delegated Regulation (EU) 2015/2446 of 28 July 2015³⁵ ,”,

(ii) in subsection (4)—

(I) by the substitution of the following paragraph for paragraph (a):

“(a) the administrative reference code, and”,

and

(II) by the substitution of “such code” for “such document”,

and

(iii) by the insertion of the following subsection after subsection (4):

“(5) Where an officer deems it appropriate, the officer may request the consignor, or any person acting on behalf of such consignor, to make available a printed copy of the electronic administrative document or a commercial document with the same information.”,

(l) in section 109H—

(i) in subsection (1), by the insertion of “, using the computerised system,” after “electronic administrative document”,

(ii) in subsection (2)—

(I) by the insertion of “or the consignee of the excisable products” after “destination of the consignment”, and

(II) by the insertion of “and, for that purpose, the consignor shall submit a draft electronic change of destination document to the Commissioners using the computerised system” after “subsection 109E(2)”,

(iii) in subsection (4), by the insertion of the following paragraph after paragraph (b):

“(c) Paragraphs (a) and (b) shall not apply to the movements referred to in paragraphs (c) and (e) of section 109E(2).”,

and

(iv) by the insertion of the following subsections after subsection (4):

“(5) (a) In the case of a consignment from another Member State dispatched to a place of exportation in the State, where the excisable products are no longer to be taken out of the European Union customs territory, the Commissioners shall, subject to subsection (7), by means of the computerised system notify the competent authority in the Member State of dispatch of that fact as soon as they become aware thereof.

(b) In the case of a consignment dispatched from a place in the State to a place of exportation in another Member State, where the excisable products are no longer to be taken out of the European Union customs territory, the Commissioners shall, upon receipt of notification of that fact from the Member State of export, forward the notification without delay to the consignor.

(6) On receipt of a notification under subsection (5)(b), the consignor shall cancel the electronic administrative document in accordance with subsection (1) or amend the destination of the products in accordance with subsection (2), as appropriate.

(7) A notification referred to in subsection (5)(a) may, until 13 February 2024, be made by means other than the computerised system.”,

(m) in section 109I—

(i) by the substitution of the following subsection for subsection (5):

“(5) Where a consignment is under cover of a paper document, the consignor may, in accordance with such procedures as the Commissioners may prescribe—

(a) change the destination for that consignment, as recorded in that paper document, to any other destination that is allowable under section 109E(2), or

(b) in the case of a consignment of mineral oil, split the consignment in accordance with section 109H(3A),

and shall inform the Commissioners before the change of destination or the splitting of the consignment is initiated.”,

and

(ii) by the insertion of the following subsection after subsection (5):

“(6) Where the computerised system is unavailable to the consignor in the cases referred to in section 109E(2)(c) and (e)—

(a) the consignor shall provide a copy of the paper document referred to in subsection (1)(b) to the declarant, and

(b) the declarant, on receipt of the paper document, shall provide the customs office of export with a copy of that paper document, the contents of which shall correspond to the excisable products declared in the export declaration, or the unique identifier of the paper document.”,

(n) in section 109J—

(i) in subsection (6)(b), by the substitution of “Article 26(1)” for “Article 26(3)”,

(ii) in subsection (7), by the substitution of “subsection (1)(c)” for “section 109J(1)(c)”, and

(iii) by the insertion of the following subsection after subsection (7):

“(8) In the case of a consignment referred to in subsection (1)(d)—

(a) the declarant shall provide the Commissioners with the administrative reference code indicating the excisable products referred to in the export declaration,

(b) before the release for export of the excisable products, the Commissioners shall verify that the data in the electronic administrative document correspond to those contained in the export declaration, and

(c) where there are any inconsistencies between the electronic administrative document and the export declaration, the Commissioners shall notify the competent authority in the Member State of dispatch using the computerised system.”,

(o) in section 109K(1)—

(i) in paragraph (a), by the substitution of “consignment,” for “consignment, and”,

(ii) in paragraph (b), by the substitution of “European Union, or” for “European Union.”, and

(iii) by the insertion of the following paragraph after paragraph (b):

“(c) in a case referred to in section 109E(2)(e), when the goods are placed under the external transit procedure.”,

(p) in section 109L, by the insertion of the following subsection after subsection (3):

“(4) Where a consignment begins in the State, the Commissioners shall forward the report of receipt to the consignor.”,

(q) in section 109M(1)—

(i) by the substitution of the following paragraph for paragraph (a):

“(a) a consignor in the State and has been duly verified, or”,

and

(ii) in paragraph (b), by the substitution of “Article 21(1)” for “Article 21. 5”,

(r) in section 109N(3), by the substitution of “authority” for “authorities”,

(s) in section 109O(2), by the substitution of “Commission Delegated Regulation (EU) 2018/273 of 11 December 2017³⁶ ” for “Commission Regulation EC No. 884/2001 of 24 April 2001”,

(t) by the substitution of the following section for section 109Q:

“Interpretation (Chapter 2B)

109Q. In this Chapter—

‘consignment’ means the single movement to a Member State of a specific quantity of excisable products that have been released for consumption in another Member State;

‘electronic simplified administrative document’ means the electronic simplified administrative document referred to in Article 36(1) of the Directive;

‘simplified administrative reference code’ means the unique simplified administrative reference code to be assigned to the draft electronic simplified administrative document, in accordance with Article 36(2) of the Directive.”,

(u) in section 109R(2), by the substitution of “the Directive” for “Council Directive No. 2008/118/EC”,

(v) by the insertion of the following section after section 109R:

“Movement of excisable products for commercial purposes

109RA. (1) (a) A consignment may be dispatched from the State to another Member State for commercial purposes only where the person who dispatches it is a certified consignor and the consignment is to be delivered to a certified consignee.

(b) A consignment may be delivered to the State for commercial purposes only where the person who receives it is a certified consignee and the person who dispatches it is a certified consignor.

(2) Where a consignment is dispatched from the State to another Member State in accordance with subsection (1)(a)—

(a) the consignment begins when the excisable products leave the premises of a certified consignor or any other location in the State, and

(b) the certified consignor shall notify the Commissioners using the computerised system of the consignment before it begins.

(3) Where a consignment is delivered to the State in accordance with subsection (1)(b)—

(a) the certified consignee shall notify the Commissioners using the computerised system of the consignment before it begins, and

(b) the consignment shall end when the certified consignee has taken delivery of the excisable products at his or her premises, or at any other location in the State.

(4) (a) A certified consignor in the State and a certified consignee in the State shall be registered as such with the Commissioners for such periods and subject to such conditions as the Commissioners may think fit to impose in any particular case.

(b) The Commissioners may at any time for reasonable cause revoke any registration granted under paragraph (a), or vary its terms.

(c) Where the Commissioners propose to revoke a registration under paragraph (b), they shall notify the holder of that registration in writing of that intention, and afford such holder an opportunity to make representations to them in relation to the matter.

(5) (a) Where a certified consignor or certified consignee sends or receives excisable products only occasionally, the Commissioners shall limit the registration of the certified consignor or certified consignee (as the case may be) to—

(i) a specified quantity of excisable products,

(ii) a single consignee, in the case of a certified consignor, or a single consignor, in the case of a certified consignee, and

(iii) a specified period of time,

(in this subsection referred to as a ‘temporary registration’) and the temporary registration may be limited to a single movement of excisable products.

(b) The Commissioners may grant a temporary registration to a person who is not a certified consignor or a certified consignee where excisable products are dispatched by or delivered to the person for commercial purposes.”,

(w) by the insertion of the following sections after section 109S:

“Consignment of excisable products, duty-paid in the State, to another Member State for commercial purposes

109SA. (1) Except where section 109VA applies, where a certified consignor dispatches a consignment from the State to another Member State, the certified consignor shall submit a draft electronic simplified administrative document to the Commissioners using the computerised system.

(2) The Commissioners shall carry out an electronic verification of the data in the draft electronic simplified administrative document.

(3) Where the data in the draft electronic simplified administrative document are verified in accordance with subsection (2), the Commissioners shall assign to the document a simplified administrative reference code and forward it without delay to the certified consignor and to the competent authority of the destination Member State.

(4) Where the data in the draft electronic simplified administrative document cannot be verified in accordance with subsection (2), the Commissioners shall, without delay, advise the certified consignor accordingly by means of the computerised system.

(5) The certified consignor shall ensure that a consignment under cover of the electronic simplified administrative document is accompanied at all times by a simplified administrative reference code and that such code is made available on request to an officer.

(6) Where a consignment has been dispatched to a certified consignee, the certified consignor may, using the computerised system, subject to verification under subsection (2), amend the destination of the consignment to—

(a) another place of delivery in the destination Member State operated by that certified consignee, or

(b) the place of dispatch,

and, for that purpose, the certified consignor shall submit a draft electronic change of destination document to the Commissioners using the computerised system.

(7) An authorised warehousekeeper or registered consignor may act as a certified consignor for the purposes of this Chapter after having notified the Commissioners and complied with such conditions as the Commissioners may prescribe.

Consignment to the State of excisable products released for consumption in another Member State for commercial purposes

109SB. (1) Where a consignment is delivered to the State by a certified consignor to a certified consignee, the certified consignee shall, in advance of the dispatch of the consignment and subject to such conditions as the Commissioners may prescribe or otherwise require—

(a) notify the Commissioners in such form as they may prescribe or otherwise require,

(b) provide security, valid throughout the European Union, for the excise duty on such consignment,

(c) pay the excise duty on the excisable products consigned.

(2) A consignment referred to in subsection (1) shall at all times be under cover of—

(a) an electronic simplified administrative document, or

(b) in any case where the computerised system was unavailable at the time of the consignment, and Article 38 of the Directive applied for the time being, a paper document containing all the data required for an electronic simplified administrative document,

and where the Commissioners receive the document referred to in paragraph (a) from the competent authority of the Member State of dispatch, the Commissioners shall forward it without delay to the certified consignee.

(3) An authorised warehousekeeper or registered consignee may act as a certified consignee for the purposes of this Chapter after having notified the Commissioners and complying with such conditions as the Commissioners may prescribe.

Report of receipt of duty-paid consignment

109SC. (1) Except where section 109TA applies, where a consignment has been delivered to a certified consignee in accordance with section 109SB, the certified consignee shall, without delay and no later than five working days after the end of the movement, submit a report of receipt to the Commissioners, using the computerised system.

(2) The Commissioners shall carry out an electronic verification of the data in each report of receipt submitted to them under subsection (1).

(3) (a) Where the data in the report of receipt are verified in accordance with subsection (2), the Commissioners shall by means of the computerised system confirm the registration of that report to the certified consignee and forward it to the competent authority of the Member State of dispatch.

(b) Where the data in the report of receipt cannot be verified in accordance with subsection (2), the Commissioners shall advise the certified consignee accordingly without delay.

(4) Where a consignment is dispatched from the State in accordance with section 109SA, the Commissioners shall, on receipt of a report of receipt from the competent authority of the destination Member State, forward the report of receipt to the certified consignor.

(5) A report of receipt referred to in subsection (4) shall, unless and until there is evidence to the contrary, be evidence that a consignment has been delivered to the certified consignee and that any excise duty due on the consignment in the destination Member State has been paid.”,

(x) by the repeal of section 109T,

(y) by the insertion of the following section after section 109T:

“Consignment to the State where computerised system is unavailable

109TA. (1) (a) Where a report of receipt cannot be submitted in accordance with section 109SC, either because—

(i) the computerised system is unavailable to the certified consignee in the State, or

(ii) the consignment remains, for the time being, under cover of the paper document in accordance with section 109SB(2)(b),

the certified consignee shall submit to the Commissioners a paper confirmation of receipt containing all the data required for a report of receipt and stating that the movement has ended.

(b) Where a paper confirmation of receipt has been submitted in accordance with paragraph (a), the Commissioners shall forward a copy of the paper confirmation of receipt to the competent authority of the Member State of dispatch.

(c) Where a paper confirmation of receipt has been submitted in accordance with paragraph (a), and as soon as subparagraph (i) or (ii) (as the case may be) of paragraph (a) no longer applies, the certified consignee shall submit a report of receipt for the consignment by means of the computerised system in accordance with section 109SC.

(2) (a) A paper confirmation of receipt, as referred to in subsection (1), shall, unless and until there is evidence to the contrary, be evidence that a consignment has been delivered to the certified consignee and that any excise duty due on the consignment in the destination Member State has been paid.

(b) Without prejudice to paragraph (a), the Commissioners may, in any case where evidence under that paragraph is unavailable, accept alternative evidence that a consignment has ended.”,

(z) by the repeal of section 109V,

(aa) by the insertion of the following section after section 109V:

“Unavailability of the computerised system to a certified consignor in the State

109VA. (1) Where the computerised system is unavailable to a certified consignor, the consignor may dispatch a consignment where—

(a) before the consignment is dispatched—

(i) the consignor informs the Commissioners of the consignment in such form as they may prescribe or otherwise require, and

(ii) the consignment is under cover of the paper document containing all the data required for an electronic simplified administrative document,

and

(b) the consignor complies with such other requirements, including the keeping of records, as the Commissioners may prescribe or otherwise require.

(2) (a) A certified consignor who has consigned in accordance with subsection (1) shall, as soon as the computerised system is available to that consignor, submit a draft electronic simplified administrative document in accordance with section 109SA(1) for the consignment.

(b) From such time as a simplified administrative reference code is assigned to the draft electronic simplified administrative document submitted in accordance with paragraph (a), the consignment is under cover of that document, and subject to the provisions of this Chapter that relate to the computerised system.

(3) Where, in respect of a consignment to another Member State, the Commissioners receive a paper confirmation of receipt containing all the data required for a report of receipt from the competent authority of the destination Member State and this has been accepted by the Commissioners—

(a) it shall, unless and until there is evidence to the contrary, be evidence that the consignment has been delivered to the certified consignee and that any excise duty due on the consignment in the destination Member State has been paid, and

(b) the Commissioners shall forward the paper confirmation of receipt to the certified consignor.

(4) Where a consignment has been dispatched to a certified consignee under cover of a paper document, the certified consignor may, in accordance with such procedures as the Commissioners may prescribe, change the destination of the consignment to—

(a) another place of delivery in the destination Member State operated by that certified consignee, or

(b) the place of dispatch,

and the certified consignor shall inform the Commissioners of the change of destination before the change is made.”,

(ab) by the insertion of the following section after section 109X:

“Transitional arrangements

109Y. (1) From 13 February 2023 until 31 December 2023, a consignment to the State for commercial purposes—

(a) may be under cover of the simplified accompanying document, and

(b) may be delivered to a person other than a certified consignee.

(2) The person referred to in subsection (1)(b) shall, in advance of the dispatch of a consignment in accordance with that subsection and subject to such conditions as the Commissioners may prescribe—

(a) notify the Commissioners in such form as they may prescribe,

(b) provide security, valid throughout the European Union, for the excise duty on such consignment, and

(c) pay the excise duty on the excisable products consigned.

(3) The Commissioners may prescribe the procedure for receiving a consignment under the simplified accompanying document in accordance with subsection (1).”,

(ac) in section 122—

(i) in clause (III), by the substitution of “section 109IA” for “section 109IA, or”,

(ii) in clause (IV), by the substitution of “section 109U, or” for “section 109U”, and

(iii) by the insertion of the following clause after clause (IV):

“(V) registration as a certified consignor or certified consignee under section 109RA(4),”,

(ad) in section 125A(1), by the substitution of “products held or stored for wholesale” for “products held for wholesale”,

(ae) in section 131(3)—

(i) in paragraph (a), by the substitution of “processes, holds or stores” for “processes or holds”, and

(ii) in paragraph (b), by the substitution of “section 109SB” for “section 109T”,

(af) in section 136(3A), by the substitution of the following paragraph for paragraph (b):

“(b) for any declaration under the Council Regulation, Commission Delegated Regulation (EU) 2015/2446, Commission Delegated Regulation (EU) 2016/341 of 17 December 2015³⁷ , Commission Implementing Regulation (EU) 2015/2447 or the Customs Act 2015 in relation to such foreign packet,”,

(ag) in section 144A(2), by the insertion of the following paragraph after paragraph (d):

“(da) the registration of a certified consignor or a certified consignee under section 109RA(4),”,

(ah) in section 146(1A), by the insertion of the following paragraph after paragraph (d):

“(da) a refusal to register a person as a certified consignor or a certified consignee under section 109RA(4) or a revocation under that section of any such registration;”,

and

(ai) in section 153(2)—

(i) in paragraph (b), by the substitution of “processing, holding and storing” for “processing and holding”,

(ii) in paragraph (e), by the insertion of “and a registered consignor” after “registered consignee”,

(iii) by the insertion of the following paragraph after paragraph (h):

“(ha) specifying in relation to the electronic simplified administrative document (within the meaning of Chapter 2B) and movements of excisable products which have been released for consumption between Member States—

(i) the correct completion of that document and the person responsible for that completion,

(ii) the submission of that document and the cancellation or amendment of that document after it is submitted,

(iii) the submission of a report of receipt (within the meaning of Chapter 2B), and

(iv) the confirmation of receipt where the computerised system is unavailable,”,

(iv) in paragraph (l), by the substitution of “section 109B” for “section 109J(7)”,

(v) in paragraph (p), by the substitution of “holding, storing or transportation” for “holding or transportation”,

(vi) in paragraph (s), by the deletion of “and” after “producer,”,

(vii) in paragraph (t)(vi), by the insertion of “and” after “necessary,”, and

(viii) by the insertion of the following paragraph after paragraph (t):

“(u) governing the registration and the conditions to be attached to such registration of a certified consignor and of a certified consignee.”.

(2) Subsection (1) shall come into operation on 13 February 2023.

²⁸ OJ No. L58, 27.2.2020, p. 4

²⁹ OJ No. L197, 29.7.2009, p. 24

³⁰ OJ No. L58, 27.2.2020, p. 43

³¹ OJ No. L269, 10.10.2013, p. 1

³² OJ No. L121, 8.5.2012, p. 1

³³ OJ No. L9, 14.1.2009, p. 12

³⁴ OJ No. L343, 29.12.2015, p. 558

³⁵ OJ No. L343, 29.12.2015, p. 1

³⁶ OJ No. L58, 28.2.2018, p. 1

³⁷ OJ No. L69, 15.3.2016, p. 1