UKIMS authorisation and updates to CDS NI Imports

HMRC have recently published updated guidance on the UKIMS authorisation and declarations for goods being moved into NI. This is part of the CDS Release 4.4.0 scheduled for 23rd March 2024.

In this article, we will discuss UKIMS and the upcoming changes in procedure to CDS imports into Northern Ireland.

1. Additional Information Codes for NI imports

For imports into Northern Ireland (NI), one of the following Additional Information (AI) Codes must be entered in DE 2/2 in all instances on every goods item when goods are being declared on entry to NI:

NIDOM or NIIMP

AI Code	Tariff Measure
NIDOM	Goods have United Kingdom (UK) domestic status (for example goods are in free circulation and home use in Great Britain (GB)) Only European Union (EU) control measures will be applied
NIIMP	Goods do not have UK domestic status (for example, the goods are moving under duty suspense arrangements, or the goods are Rest of World (RoW) imports Both UK and EU control measures will be applied

One of the following AI Codes may be entered, as required, in DE 2/2 on each goods item when goods are being declared on entry to NI:

AI Code	‘At Risk’/’Not At Risk’ status	Details to be entered on the declaration or clearance request
NIAID	Claim to waive duties calculated at the applicable EU rate of duty for goods imported into NI from GB or the difference between duties calculated at the applicable EU and UK rates where duties calculated at the EU rate are higher for goods imported into NI from RoW.	Leave blank
NIPRO	Goods imported into NI that will be subject to processing where the additional processing criteria are not met. Goods will be treated as ‘At Risk	Leave blank
NIQUO	Used to declare applicable goods subject to Tariff Rate Quotas into Northern Ireland without being subject to safeguard charges where relevant quotas are open: • a UK Quota to be claimed on goods imported into NI from RoW or • GB- NI movements to count towards EU-UK quotas where EU trade defence measures are in place (for example, movements of steel that would otherwise attract additional duties)	For RoW-NI movements, leave blank and complete DE 8/1 with the UK Quota Order Number and DE 2/2 with codes NIQUO and NIIMP For GB-NI movements, DE 2/2 must contain NIDOM and NIQUO. Enter the EU Quota Order Number in the free text box of DE 2/2 and the word QUOTA. DE 8/1 must be left blank
NIREM	Used to indicate goods are remaining in NI (and Great Britain in the case of GB-NI movements) and are when a valid UKIMS authorisation is declared with document code 1UKI in DE 2/3. If the goods are subject to commercial processing in NI, the additional processing criteria must be met in order to declare NIREM. If no UKIMS authorisation is declared, NIREM will not have an effect, and a CDS calculation to determine the correct duties (if any) to pay will be performed.	DE 2/3: document code ‘1UKI’ followed by the UKIMS authorisation decision number DE 3/16: GB or XI EORI associated with the UKIMS authorisation DE 3/39: Authorisation type ‘UKIM’ followed by the GB or XI EORI of the UKIMS authorisation holder as declared in DE 3/16

Important notes:

• These AI Statement Codes should be declared on each individual goods item, as applicable.
• Failure to declare either NIREM or NIQUO against a goods item will subject the goods item to a CDS calculation to determine the correct duties to pay (if any). This will result in the goods being considered ‘At Risk’ where the applicable duty calculated according to the NI Tariff (‘applicable EU rate of duty’) is greater than the applicable duty calculated according to the GB Tariff (‘applicable UK rate of duty’).
• NIREM can be used to indicate that goods are ‘Not At Risk’ when a UK Internal Market Scheme (UKIMS) authorisation is held and declared in DE 2/3.
• If one of NIPRO, NIQUO, or NIREM is not declared in DE 2/2, CDS will determine ‘At Risk’/’Not At Risk’ status by checking both the GB and NI Tariffs to determine the correct duty rate.
• If the goods are subject to commercial processing in NI, the additional processing criteria must be met in order to declare NIREM DE (2/3):
• Use of AI statement code NIREM and document code 1UKI to move goods into NI under a UKIMS authorisation is a declaration that the goods are remaining in NI (and Great Britain in the case of GB-NI movements

2. How to enter UKIMS authorisation

UKIMS – Authorisation for the declaration of goods as ‘Not At Risk’ of entering the EU under the UK Internal Market Scheme. When a UKIMS authorisation is used, the following details must be declared:

• DE 2/3: document code ‘1UKI’ followed by the UKIMS authorisation decision number
• DE 3/16: GB or XI EORI associated with the UKIMS authorisation
• DE 3/39: Authorisation type ‘UKIM’ followed by the GB or XI EORI of the UKIMS authorisation holder as declared in DE 3/16

Important notes:

• For imports into Northern Ireland (NI), a GB EORI is permitted in DE 3/16, amongst other circumstances, where the UKIMS authorisation holder and the authorisation has been issued against a GB EORI.

• The GB or XI EORI declared against the UKIMS authorisation type in DE 3/39, and the UKIMS authorisation, must be valid at the tax point date of the declaration.

• UKIM authorisation format:
  • 2-digit code identifying the country of authorisation: enter XI
  • 4-digit code indicating that a UKIMS authorisation is held:  enter UKIM
  • followed by the authorisation reference number.
  • No status code is required

• UKTS authorisation code has been removed

3. Updates to Procedure and Additional Procedure Codes

• Procedure code (CPC) 51 (5100, 5111, 5121, 5151, 5153, 5154, 5171, 5178)

Goods imported into NI that will be subject to processing where the additional processing criteria are not met. Check the additional requirements for goods subject to processing. Enter NIPRO in DE 2/2.

• Additional Procedure Code E01

This Additional Procedure Code may be used to declare goods moving from:

• RoW to Northern Ireland (unless NIREM or NIQUO is declared in DE 2/2)
• GB to Northern Ireland (unless NIREM or NIQUO is declared in DE 2/2)

Conditions for use:

• For use with imports of fresh fruit and vegetables which are not covered by an invoice value for the transaction

Restrictions on usage:

• If there is an invoice value for the transaction.
• With entry in Declarant’s Records (EIDR).
• Where NIIMP is declared with NIREM or NIQUO in DE 2/2
• Where NIDOM is declared with NIREM or NIQUO in DE 2/2
• Where E02, 1FV or 1SV are declared in DE 1/11

• Additional Procedure Code E02

This Additional Procedure Code may be used to declare goods moving from:

• RoW to Northern Ireland (unless NIREM or NIQUO is declared in DE 2/2)
• GB to Northern Ireland (unless NIREM or NIQUO is declared in DE 2/2)

Conditions for use:

• For use with imports of fresh fruit and vegetables which are not covered by an invoice value for the transaction and where an SIV rate is published in the OJ

Restrictions on usage:

• if there is an invoice value for the transaction.
• with Entry in Declarant’s Records (EIDR).
• for imports in GB
• where NIIMP is declared with NIREM or NIQUO in DE 2/2
• where NIDOM is declared with NIREM or NIQUO in DE 2/2
• where E01, 1FV or 1SV are declared in DE 1/11

• Additional Procedure Code 1SV

This Additional Procedure Code may be used to declare goods moving from:

• RoW to GB
• RoW to NI (if NIREM is declared in DE 2/2, and a valid UKIMS authorisation is declared against document code 1UKI in DE 2/3)
• RoW to NI (if NIQUO is declared in DE 2/2)

Conditions for use:

• Imports of fresh fruit and vegetables with the customs value and duty calculated using a GB Simplified Procedure Value (SPV).

Restrictions on usage:

• If there is an invoice value for the transaction.
• with Entry in Declarant’s Records (EIDR).
• where NIIMP is declared without NIREM or NIQUO in DE 2/2
• where NIIMP is declared with NIREM in DE 2/2 without a valid UKIMS authorisation declared against document code 1UKI in DE 2/3
• where NIDOM is declared in DE 2/2
• where E01, E02 or 1FV are declared in DE 1/11

4. Northern Ireland Import Quota Claims

• Movements from RoW into NI can claim a UK quota where there is both UK and EU quota capacity (for the relevant country of origin). The quota can only be claimed with Additional Declaration Types A, D, Y, or Z in DE 1/2 and must include Additional Information (AI) codes NIIMP and NIQUO in DE 2/2. Any other Additional Declaration Type will result in the declaration being rejected.

• DE8/1 must be completed with the UK quota order number.

• Movements from GB into NI can count towards EU-UK quotas where EU trade defence measures are in place (for example, movements of steel that would otherwise attract additional duties)

• In these cases, DE 2/2 must contain NIDOM and NIQUO, and the free text field must be completed with the relevant EU quota order number and the word ‘QUOTA’.

• DE 8/1 must not be completed with a quota order number for GB-NI movements or the declaration will be rejected.