Driven by HM Revenue & Customs; the new Customs Declaration Service is set to ‘rock the boat’ for traders and freight forwarders throughout the UK. Peters & May’s in-house Customs & VAT Manager Simon Beck is at the forefront of ongoing change. As such, it is the aim of the team at Peters & May to keep customers informed, to make the transitional process as smooth as possible.
Customs Declaration Service (CDS) will be replacing the existing Customs Handling of Import and Export Freight system (otherwise known as CHIEF).
CHIEF is one of the world’s most sophisticated electronic services for managing customs and declarations processes. It is however now 25 years old and as a result not easily adaptable to new requirements. HMRC have made the decision to replace CHIEF with CDS meaning all forwarders including Peters & May will be required to handle their imports and exports differently going forwards. Although the decision to migrate to CDS was made prior to the Brexit decision, the scalability of the Customs Declaration Service will mean that the expected increase in declarations with the potential exit from the EU will be easily managed going forwards.
All traders, agents or freight forwarders that imports or exports goods outside the EU.
The phased launch of the Customs & Declaration Service began in August 2018, with all declarations taking place on CDS from 2019. The Customs Declaration Service is currently being built by HMRC before undergoing testing with industry, software and Community System Providers (CPS). Introduction will be phased, with CHIEF continuing to run during transition, helping ensure a smooth shift.
Any trader or freight forwarder involved in the import or export of goods outside the EU will currently be using CHIEF to:
CDS will still hold the same required functionality as CHIEF, however there will be significant differences:
Additional information will be required for declarations in order to align with the World Customs Organisation Kyoto Convention, currently being implemented in the UK through the Union Customs Code (UCC). Extra information required includes:
To ensure that UK Customs data is aligned to international standards, there will also be changes to the following:
When processing your customs documentation, our teams will be asking customers for a little more information than normal, this is driven by the new data requirements associated with CSD. Once all testing is complete, importers, exporters, agents and freight forwarders such as Peters & May will be informed by software providers when they need to supply the additional information required to begin making declarations on CDS. When Peters & May are notified of this they will communicate it to customers. In the meantime, Peters & May’s Customs & VAT Manager Simon Beck, will be on hand to assist all our customers with queries during the transition.
To stay informed with updates from Simon, customs developments and general business updates sign up to Peters & May’s E-news here.