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Export Customs Simplified Procedures

Article Date: 21 May 2009

Following a change in EU legislation (draft Council Regulation 1435/2007) a new trader identification system will be introduced throughout the EU on 1 July 2009, called Economic Operator Registration and Identification (EORI).    The EORI number will be used by economic operators in all communications with EU customs authorities when an identifier is required, for example, when completing customs declarations.

As a result the current Trader Unique Reference Number (TURN) system in the UK will be replaced by EORI. 

For further information about EORI please see the HMRC Website, www.hmrc.gov.uk, follow the links from the red business box Business & Corporations >Imports and Exports>international Trade Developments> EORI.  Please note the content of the FAQ in particular.

2.  TURN holders who do not qualify for an EORI number

Only businesses who are legal entities will qualify for an EORI number.  Branches and divisions are not legal entities and will not be entitled to an EORI number.  Therefore they must use the EORI number allocated to their parent company with effect from 1 July 2009, as their existing TURN number will not be accepted by the CHIEF system.

Any NES authorisations held on associated branch or division TURN numbers will be transferred to the appropriate parent company EORI number to enable branches and divisions to continue using their authorisations.
  
3.   What will the Impact of EORI be on traders authorised to use the NES Simplified Procedures?

Though the introduction of EORI will affect all traders involved in imports and export procedures; this paper only covers arrangements for those traders authorised to use NES simplified procedures mentioned below.

? Simplified Declaration Procedure; and
? Local Clearance Procedure

a) NES simplified Traders without Branches or Divisions

Traders who have used their TURN numbers in the last two years and are a legal entity should have already received a notification from HMRC of their new EORI number.  If you have not received an EORI number, you will need to apply for one.  (Please see the EORI web page on the HMRC website for details on how to apply for an EORI number including an application form).  The EORI number for these traders will be exactly the same as their current TURN number and therefore there should be no changes required.

b) NES Simplified Traders with Branches and Divisions 

Branches and divisions who currently have TURN numbers will not be eligible for an EORI number because they are not legal entities.  However, they may continue using their TURN number up to 30 June 2009.  It should be noted though, they must have migrated to their parent company’s EORI number no later than 1 July 2009.

For example:

John Smith Ltd has a TURN number GB123456789 000 with two branches ending with suffixes 001 and 002 migrating to the new EORI number GB123456789 000 on 4 June 2009.

Each branch TURN may submit supplementary Declarations in respect of Pre-Shipment Advice (PSAs) submitted up to 3 June by 17 June.

On 4 June, each branch uses new EORI number on PSA and submits Supplementary Declarations by 18 June using the new EORI number and so on.
 

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