Explanatory note

These Regulations, made under section 16(2) of the Finance (No. 2) Act 1975 and section 15 of the Finance Act 1976, provide for deferment of customs duties (other than customs duties on tobacco) payable on imported goods and imported warehoused goods removed from warehouse; they also apply to agricultural levy and to value added tax payable on imported goods and on such goods removed from warehouse. The Regulations prescribe the period for which deferment is allowed and the action to be taken by those seeking deferment including the giving of security. Provision is made for cases of under-payment or over-payment of duty and, for the purposes of giving relief by repayment of duty under certain enactments, it is provided that duty shall be deemed to have been paid at the time when deferment was permitted.

The Regulations supersede the Customs Duties (Deferred Payment) Regulations 1972 and replace Regulation 8(5) of the Warehousing Regulations 1975. They will meet the full obligations of Council Directive (EEC) 69/76 on duty deferment by extending deferment in the following manner. In certain circumstances charges are remitted at importation, subject to the fulfilment of specified conditions such as the exportation of processed products made from imported goods, the goods being placed meanwhile under customs control. Some of these imported goods or the products made from them may be released from customs control on to the home market and liability to import charges then arises. These Regulations will permit the same deferment of payment in these cases as is allowed at importation or on delivery from warehouse.