The government yesterday (28 February) announced updates to the Customs Declaration Service (CDS). Taking effect from 24 March 2024, some of the changes will apply to goods moving into Northern Ireland.

NIREM changes

The operation of the NIREM code used by some traders to declare their goods as ‘not at risk’ will function differently, as traders who do not have a valid UK Internal Market Scheme authorisation will have to pay duties “at the EU rate” if they are due.

From 24 March, you can no longer use the NIREM code for goods that don’t meet the criteria to move under UKIMS, even if they are ‘not at risk’ due to the applicable EU rate of duty being zero or equal to or less than the UK rate, in the case of goods moving from a country outside both the UK and the EU.

This is because HMRC will automatically check the applicable EU rate of duty, considering any claims for preferences or reliefs. If this is zero, you will not be charged duty on movements from Great Britain to Northern Ireland.

The changes “will 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 (including goods entering Northern Ireland from Great Britain where the goods were not in free circulation in Great Britain)”, HMRC explains, adding:

“If traders already hold a valid UK Internal Market Scheme authorisation, they (or their agent or intermediary) will need to start using some new codes and your UK Internal Market Scheme authorisation number when making declarations on or after 24 March 2024.”

Traders registered on the Trader Support Service (TSS) can receive support for their UK Internal Market Scheme authorisation application from TSS, HMRC has said. Resources for those looking to apply include a video guide and answers to frequently asked questions, available for free here.

TSS traders

HMRC states that traders currently using TSS are less likely to be affected by the changes and will not have to change how they do anything to utilise their UK Internal Market Scheme authorisation through the TSS trader portal.

“They can continue to select the ‘NIREM’ code from the drop-down menu when moving goods that meet the ‘not at risk’ criteria under the UK Internal Market Scheme.

“If not already done, they must ensure their company profile in TSS is updated with details of their UK Internal Market Scheme authorisation and that they have uploaded their authorisation letter to the trader portal before 24 March 2024.”

Traders must also unsure they are using the correct Economic Operator Registration and Identification (EORI) number for their UK Internal Market Scheme authorisation, HMRC adds. Traders can check the EORI details on their authorisation letter issued by HMRC.

The government also notes that other measures are available for traders to relieve duties on goods moving to Northern Ireland, such as claiming a customs duty waiver or applying for a “repayment or remission of duties under the Duty Reimbursement Scheme if they can evidence that the goods did not go on to enter the EU”.