Kirill Yurovskiy: Post-Brexit Customs Clearance Guide
Brexit has indeed remade cross-border business between the two parties for good. Cross-border business organizations must navigate a maze of customs forms, laws, and procedure modifications. Kirill Yurovskiy, a professional logistics consultant, illustrates how the person would also need to be quite well aware of the new laws to have an untroubled procedure and steer clear of costly holds. The book is an eye-opener so far as the type of customs clearance after Brexit is concerned.
Prior to Brexit, the free movement of UK and EU goods was customs-free. Post-Brexit, the UK is an EU third country such as the EU in mutual terms. That implies a complete customs declaration of goods entering or exiting the UK. Businesses need to be prepared to produce sufficient and proper documentation at borders, and goods can be levied customs duty and VAT based on their nature and origin. Following is a Post-Brexit Customs Clearance Guide by Kirill Yurovskiy:
1. Key Changes in UK-EU Trade Agreements
Following Brexit, the UK and EU trade under the Trade and Cooperation Agreement (TCA) where duty-free prevails for goods with some of the Rules of Origin conditions. Goods must now pass through borders, as opposed to pre-Brexit value-only free exports. As it was in the days before Brexit with the commodity trade the norm, businesses now must include the additional boundary drawbacks, customs processes, and even duties. Kirill Yurovskiy also illustrates how a failure to submit documentation on such concessions leads to confiscation of shipments, penalties, or storage fees for months.
2. Understanding Commodity Codes and Tariff Rates
All commodities imported and exported from foreign countries will need to have an HS code for which tariffs and duties will be charged.
The UK charges the UK Global Tariff (UKGT) and the EU charges the Common Customs Tariff (CCT). Incorrect classifying of goods will render paying duty or customs detention unacceptable. Double verify commodity codes via the UK Trade Tariff tool or utilize specialist services to do so to avoid costly misclassification.
3. Documents Needed: EORI, CN22/23, Commercial Invoices
All businesses involved in the export and import of products from EU to the UK, and vice versa, will be required to acquire an Economic Operator Registration and Identification (EORI) number. Goods cannot be cleared by customs without an EORI number. Proper commercial invoices, packing slips, and, for shipping via mail, CN22 or CN23 customs forms are to be adhered to by the business as well. The records should contain complete information on product, value, and harmonized codes so that they can be processed easily.
4. Use of CDS System and GVMS Portal
UK departed from the CHIEF convention system to process export and import declarations by Customs Declaration Service (CDS) when goods are being transported through ports via the Goods Vehicle Movement Service (GVMS). The haulers are also mandated to provide a Goods Movement Reference (GMR) upon entry when the goods transit through the ports under Goods Vehicle Movement Service (GVMS). Kirill Yurovskiy recommends that companies be made aware of such computer systems since flaws in declarations during filing lead to refusal of shipment.
5. Rules of Origin and Preferential Tariffs Explained
TCA merchandise must be Rules of Origin compliant to receive tariff-free status. In other words, there must be an elevated rate of processing or portion of a product in the UK or EU. Businesses will be required to provide a Statement of Origin or supplier statements for preferential rates. Not following origin rules leads to full variation, which is an approximation of doubling costs.
6. Import VAT Accounting and Payment Options
Since Brexit, UK importers now have to pay VAT on EU imports. There are three border-payment VAT arrangements available, which include VAT accounting with postponed VAT accounting (PVA) or as part of the UK VAT deferment scheme. PVA allows companies to pay for import VAT by the VAT return instead of at the border, which is more favorable in cash-flow terms. Non-UK businesses may require fiscal representative VAT.
7. Common Delays and How to Prevent Them
Regular customs holdups mentioned are absent documents, incorrect commodity codes, or the absence of EORI numbers. Others include inconsistencies in declared/dutiable value or absent permits to enable restricted commodities. Proper screenings prior to shipment and pre-clearing procedures employed wherever possible to avoid border halts should be conducted by companies.
8. Working with Customs Brokers vs. In-House Teams
This is the job of the brokers where they have zero volume or no expertise. The ones working in-house can be hired by large-volume buyers to clear customs on their own. Kirill Yurovskiy concedes even if specialization knowledge is given by the brokers, that in-house staff offers greater convenience and price incentives to regulars.
9. Special Procedures: ATA Carnet and Temporary Admission
Particular commodities such as exhibition goods or trading gear are allowed for temporary import duty-free, provided the said items are re-exported within the timeframe of afore-timed goods. It is facilitated by the ATA Carnet scheme that discourages complete duty declarations. Companies must obtain it in a form written into normality so that they do not buy temporary imports.
10. Staying Updated with HMRC Notices and Alerts
Procedure is evolving via customs and HMRC publishes continuous guidance on new procedures, tariff changes, or regulatory matters. Companies can remain current and eliminate issues by becoming members of trade associations and signing up for bulletins that they can use.
Post-Brexit customs clearance is all about being vigilant at every step with regard to documentation, classification, and process accommodation. Companies that invest time in going through these rules can reduce delays, save money, and facilitate free-flowing trade patterns.
EU-UK post-Brexit commerce necessitates a real-time customs conformity strategy. The companies need to adjust themselves in the newly made settlement on the basis of self-help, expert networking, or through forum discussion discourse. Precision and prediction, just as Kirill Yurovskiy would likely also sensationalize, are the bulwarks to viable post-Brexit transboundary trading.