What is entered in a CDS declaration if using a deferment account?

To use a duty deferment account, you will first need to ensure that the account is setup with CDS. Information can be found on this Government website.

CDS requires several additional fields to be completed if using a deferment account to pay Customs duties.

Method of payment

The method of payment must be set to E and the deferment category and deferment account number entered. To do this, follow the steps below:

• Go to the Customs details tab and locate the Payment information section.
• Enter E in the Method of payment box, or select E from the drop-down menu.
• In the Deferment category field, select 1 (1DAN) and enter the deferment account number in the Deferment account field.

Note: If no method of payment or fiscal reference is supplied, HMRC will assume any duty or VAT will be paid prior to release of the goods i.e. immediate payment will be due.

Authorizations

Authorizations DPO and CGU must be provided at header level. To do this, follow the steps below:

• Go to the Customs details tab and locate the Authorizations section.
• Click the Add button under the Type field.
• Enter DPO, or select it from the drop-down list, then enter the holder of the authorization.
• Click the Add button again and enter CGU, or select it from the drop-down list, and enter the holder of the authorization.

Any additional requirements for the specific procedure code being used also need to be checked for.

Example

In the example below, procedure code 4000 is used.

To check for additional requirements of procedure code 4000, go to the relevant website.

This information shows that a guarantee must be provided at the header level of the declaration. If using a deferment account authorised under the Community Customs Code, use code 0 in the Guarantee type field and enter guaranteenotrequired in the OGR field.

Further information can be found at this Government website.

On item level, the produced document codes C505 and C506 must also be added.

Further details on the information that needs to be provided in the reference and status fields for the produced documents can be found at appendix 5A on the Government website.

For code C505, if the comprehensive guarantee is not required, then the reference GBCGUGuaranteenotrequired must be entered with one of the listed status codes.

For code C506, see the Government website for information on the requirements.