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UK Internal Market Scheme – Frequently Asked Questions

UK Internal Market Scheme – Frequently Asked Questions

The UK Internal Market Scheme (UKIMS) is an improved trusted trader scheme for businesses moving “not at risk” goods into Northern Ireland. In this article, we explore the main frequently asked questions on the new updates relating to UKIMS and NIREM.

What changes were made to HMRC systems?

From 24 March 2024, HMRC made changes that affected how you make declarations into Northern Ireland through the Customs Declaration Service (CDS).
 
Traders authorised with the UK Internal Market Scheme have received correspondence from HMRC about the codes they (or their agent or intermediary) should use. HMRC has also issued communications to other traders and customs intermediaries.

More information is available in the GOV.UK guidance at: https://www.gov.uk/guidance/check-if-you-can-declare-goods-you-bring-into-northern-ireland-not-at-risk-of-moving-to-the-eu

Which movements are affected by the UK Internal Market Scheme?

These changes apply to goods moving into Northern Ireland from Great Britain and to goods moving into Northern Ireland from a country outside of both the UK and the EU. This includes goods entering Northern Ireland from Great Britain where the good was not in free circulation in Great Britain).

What should I do if I am UKIMS authorised but have used the wrong code on the movement and have been charged duty?

If you hold a UKIMS authorisation but did not declare the authorisation when making your declaration, your goods may have been treated as ‘at risk’ and charged the applicable EU rate of duty.

If you think you may be entitled to a repayment of customs duty, you can apply using the C285 form, available at: https://www.gov.uk/guidance/how-to-apply-for-a-repayment-of-import-duty-and-vat-if-youve-overpaid-c285.

What to do if I am being prompted to enter a method of payment on my CDS declaration?

When you submit a declaration, you may be prompted for payment of any applicable duties.

1– If you hold a UKIMS authorisation:

If you hold a UKIMS authorisation and declared it on your declaration, please check that your goods movement is eligible to be declared ‘not at risk’ under UKIMS using the GOV.UK guidance: https://www.gov.uk/guidance/check-if-you-can-declare-goods-you-bring-into-northern-ireland-not-at-risk-of-moving-to-the-eu

If you believe your goods do meet the criteria for a ‘not at risk’ declaration, you may not have correctly declared your UKIMS authorisation, and you should check the following information before resubmitting.

2– If you do NOT hold a UKIMS authorisation:

You can check if you are eligible and apply for the UKIMS authorisation on GOV.UK at: www.gov.uk/guidance/apply-for-authorisation-for-the-uk-internal-market-scheme-if-you-bring-goods-into-northern-ireland

If you are not authorised with the UK Internal Market Scheme, you won’t be able to declare goods ‘not at risk’ under this scheme and you may have to pay duty at the EU rate.


If you can subsequently provide evidence that the goods did not go on to enter the EU, you can apply for a repayment or remission of duty under the Duty Reimbursement Scheme. Guidance can be found at: https://www.gov.uk/guidance/apply-to-claim-a-repayment-or-remission-of-import-duty-on-at-risk-goods-brought-into-northern-ireland

You can also claim a customs duty waiver provided you have not reached your ‘de minimis’ state aid limit. Guidance can be found at: https://www.gov.uk/guidance/claim-a-waiver-for-duty-on-goods-that-you-bring-to-northern-ireland-from-great-britain

If you were expecting to claim preference under the EU Trade and Cooperation Agreement or a Free Trade Agreement, or to claim any reliefs, check these have been applied correctly on the declaration. You can find out more about this in the GOV.UK guidance:

What to do if I am UKIMS authorised and have correctly indicated this but I am still been charged duty?

If you have correctly declared your UK Internal Market Scheme authorisation, you could still be charged duty at the EU rate under certain circumstances where the goods are not eligible to be declared ‘not at risk’ including circumstances where:

  • The goods are subject to an EU trade remedy.
  • The applicable EU duty on goods brought into Northern Ireland from countries outside of both the EU and UK is more than the applicable UK duty by 3 percentage points or more.

In these scenarios, you may be eligible to make use of the Duty Reimbursement Scheme or Customs Duty Waiver Scheme outlined in the question above.

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