Union Customs Code ― Customs Freight Simplified Procedures (CFSP)

By Tolley

The following Value Added Tax guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Union Customs Code ― Customs Freight Simplified Procedures (CFSP)
  • Advantages of using CFSP
  • CFSP authorisations
  • Eligible goods
  • Authorisation
  • When are businesses required to apply for a new authorisation?
  • Representation
  • Security, guarantee, reporting and payment requirements
  • Simplified Frontier Declaration
  • Supplementary declarations
  • Final Supplementary Declarations (FSD)
  • Supporting documentation
  • Other miscellaneous matters
  • HMRC visits
  • Penalties and appeals

Customs Freight Simplified Procedures (CFSP) enable authorised businesses to obtain accelerated removal or release of non-EU (third country) imports by submitting an electronic simplified declaration that contains the minimum amount of information required at the frontier or inland border. Using CFSP can have cash flow benefits for importers. CFSP is not compulsory but may prove beneficial. CFSP is also referred to as Simplified Import Procedures. This note should be read in conjunction with the Union Customs Code ― CFSP ― declarations guidance note.

Union Customs Code Regulation (EU) No 952/2013 , Articles 166, 167, 182; Commission Delegated Regulation (EU) 2015/2446 ; Commission Implementing Regulation (EU) 2015/2447 ; Notice 760: Customs Freight Simplified Procedures ; CFSP01000

This guidance note covers the rules that are applicable since the introduction of the Union Customs Code (UCC) from May 2016. For the procedure prior to this date, see the CFSP ― authorisation criteria and conditions and Customs Freight Simplified Procedures (CFSP) ― declarations guidance notes.

Please note that CHIEF is being replaced by the Customs Declaration Service (CDS), see the Customs Declaration Service guidance note.

Advantages of using CFSP

According to HMRC, using CFSP has the following advantages:

  • “gain accelerated release of your goods from Customs at the (air)port or at authorised locations inland, subject to anti-smuggling checks
  • use CFSP in combination with normal entry and warehouse procedures to suit the needs of your business
  • achieve cash flow benefits ― the duty and Import VAT are not paid until the Supplementary Declaration (SD) is submitted
  • submit frontier declarations and all SD by electronic means
  • build a partnership with us so that assurance visits are cost effective, selected on the basis of risk, and test the completeness of internal controls
  • use third-party service providers

More on Union Customs Code: