Sharing an EORI number

11 October 2019

Is it possible for two separate legal entities to share an EORI number if they belong to the same VAT group?

Incoterms® Rule Delivered at Place (DAP) Buyer’s Premises

4 October 2019

We are currently working through a tender from the Republic of Ireland for equipment shipped directly from our manufacturing company in the USA. The Incoterms® Rule requested is Delivered at Place (DAP) Buyer’s Premises. Please could you clarify if the buyer can be the importer of record under DAP terms? Also if we have to deliver to the buyer’s premises will we have to be the importer and how will that affect the payment of VAT?

Responsibility to arrange customs export declaration for FCA shipping terms

27 September 2019

We have been advised via our broker that one of our shipments, destined for Russia, has not had the customs export declaration completed before leaving the UK. We have recently moved to FCA shipping terms — Free Carrier — and assumed the broker, who was chosen by our customer, would complete the declaration on our behalf. The broker said that we should have done this declaration before giving them the freight and that the shipment will have to be returned to the UK as it cannot leave the EU (Poland) without an export declaration completed in the UK. What can we do to sort this out?

Exporting from Portugal with a UK EORI number

13 September 2019

We are looking to export some items from our Portuguese business to South Africa via our company in the UK. We want to arrange the container to collect and export from Portugal. The Portuguese business does not trade internationally so doesn’t have an Economic Operator Registered Identification (EORI) number so could our UK EORI Number be used on the export declaration? We also import goods from our Portuguese business into the UK so when the UK leaves the EU should we advise Portugal to apply for an EORI?

Legitimate use of Customs Procedure Code (CPC) 4000C07

13 September 2019

Can Customs Procedure Code (CPC) 4000C07 which is for goods of value £15 or less and therefore zero rated for duty and VAT, still legitimately be used if adding the freight costs pushes the value up above the £15?

Using Ex Works for export sales quotes

6 September 2019

We currently ship within the UK and also export to EU and non-EU countries. We use Ex Works for all export sales quotes for our products because at the quote stage we do not know what the delivery scenario will be and even if we did we can’t know what the transport price might be many months later at point of export when the customer finally places an order. So, the terms are agreed and confirmed with the customer once we have received the Sales Order when any one of the following export scenarios could apply:

  1. We arrange transport to a designated place in the buyer’s country — this could be to port/airport/terminal excluding insurance, customs clearance, import duties and taxes (customer arranges broker and clearance) — Delivered at Place (DAP) or Delivered at Terminal (DAT)

  2. We arrange transport to customer’s address — including customs clearance, import duties and taxes (our haulier arranges brokerage) — Delivered Duties Paid (DDP)

  3. EU customer arranges transport (so collects from our premises) to address within EU — no customs clearance or docs required (currently) — Ex Works (EXW) or Free Carrier (FCA) our premises

  4. Customer arranges transport (so collects from our premises) to an address outside EU (and to the EU27 if Brexit happens). We provide the commercial invoice and certificate of origin if required and the buyer’s haulier/broker arranges customs clearance and pays import duties and taxes — EXW OR FCA (our premises).

So, whatever the scenario this updated Incoterms® Rule is then stated on our sales order confirmation as this is confirmation of the terms of our contract to supply. It will also appear on the commercial invoice. Can you confirm that this procedure is ok and that we are commercially protected doing it this way?

Also, we need some clarification for scenario 4:

  • If FCA, do we have to provide customs declaration (other than commercial invoice) and pay import duties and taxes?

  • If EXW, do we then need to receive copy of their export declaration and the transport doc (AWB/CMR) as proof of export for HMRC reporting?

Export Authorisation Number and exporting to Morocco

29 August 2019

I have a customer in Morocco who is asking for my Export Authorisation Number, I thought this was our Economic Operator Registered Identification (EORI) number but they say not. In case it is relevant, the shipment is of shoes made in Italy (commodity code 64042010) with a value of £12,000. Can you advise?