24/07/08 - All Export Traders - No. 44/08
1. Notice to Traders 15/08, issued 4 March 2008, advised you of a new requirement to state the rate of export refund on export declarations and T5s. This notice is to advise you of further guidance which has now been received from the Commission.
2. To assist Customs with the selection of declarations for physical and substitution checks, Customs need to be aware of the rate of export refund at stake. Article 8 of Commission Regulation (EC) No 800/1999 has been amended and requires exporters to state the rate of export refund on their export declaration and, if applicable, their control copy T5.
3. The UK is able to take advantage of an exemption for exporters from the requirement to state the rate of refund on their export declaration. However, if you are exporting via another Member State, you must state the rate of export refund in box 106 of the control copy T5 (or its equivalent).
4. Where the T5 covers only one export declaration, you must state the rate of export refund in box 106 of the T5.
5. However, where the amount of refund applicable is less than €1000 you do not need to state the rate of export refund. In this case you must put the following statement in box 106 of the T5:
'Refunds less than EUR 1000'
6. Where the T5 covers several export declarations, you must state the rate of export refund for each individual line.
Note: Where the T5 covers more than one product or good, you may still use the statement 'Refunds less than EUR 1000' however, this applies to the total amount of export refund for the whole consignment, not each individual line.
7. If the amount of export refund calculated using the rate you have given is found to be less than the actual amount applicable, your export refund will be reduced depending on the amount of the difference, as follows:
- 10% of the difference between the calculated refund and that applicable to the actual export if the difference is more than €1000;
- 100% of the difference between the calculated refund and that applicable to the actual export if you indicated that the refund would be less than €1000 and the actual refund is more than €10000;
- 200% of the difference between the calculated refund and that applicable where you intentionally provide false information.
8. In cases where you have declared the statement 'Refunds less than EUR 1000' and the actual amount of refund due for the
whole consignment covered by the T5 is higher than €1000, then a penalty will normally be applied. The rate for each line will be deemed to be zero when considering the application of a penalty.
9.
If you are using a T5 continuation (bis) form, the rate of refund stated in box 106 of the T5 must have a clear reference to the relevant line number of the T5 bis form.
For example: 'refund rate 25 EUR/100kg, line 3'
If there is insufficient room in box 106 of the T5, you may state the rate of refund in box 31 of the line concerned on the T5 bis. There must be a clear reference in box 106 of the T5.
For example:
In box 106 of T5 - 'refund rate: line 3'
In box 31, line 3 on T5 bis - 'refund rate: 20 EUR/100kg'
10. If you are using a T5 loading list, the rate of export refund stated in box 106 of the T5 must have a clear reference to the relevant item number in the first column of the T5 loading list.
For example: 'refund rate 15 EUR/100kg, item 2'
If there is insufficient room in box 106 of the T5, you may state the rate of export refund in the second column of the item number concerned on the T5 loading list. There must be a clear reference in box 106 of the T5.
For example:
In box 106 of T5 - 'refund rate: item 2'
In second column of item 2 on T5 loading list - 'refund rate: 15 EUR/100kg'
11. You will find details of these changes in Commission Regulation (EC) No 159/2008 published in Official Journal L48. Copies can be obtained from Stationery Office bookshops and accredited agents, or ordered from the Stationery Office website
(www.tso.co.uk). You can also access Official Journals electronically by visiting the Commission’s Europa website at (
http://eur-lex.europa.eu/en/index.htm).
Please note that the Rural Payments Agency cannot provide any warranty as to the accuracy or completeness of the Europa website. Whilst every care has been taken in producing this guidance, the regulation as published is definitive.
12. If you have any enquiries concerning this notice, please contact Trader Scheme Operations Policy section of the Rural Payments Agency Newcastle on the following:
| Suzanne Ridley | 0191 226 5249 |
| Julia Murch | 0191 226 5238 |
Page published: 6 July 2011