SPE13420 - Production accessories: general

Note: This manual is under review following Brexit and is likely to be withdrawn. If there is anything within this manual you use regularly, please email hmrcmanualsteam@hmrc.gov.uk to let us know. Please check the other guidance available on GOV.UK from HMRC.

Production accessories are goods which are not found in (re)exported products but which allow or facilitate their production. They may be partially or entirely used up in the production process but relief from the duty due on them may still be allowed.

Note: For the purposes of this section the term ‘catalysts’ covers all agents and production accessories.

‘Catalysts’ can be entered to IP for use on non-union goods or free circulation goods. The processed products must be exported outside the UK to discharge duty liability on the catalyst.

Any duty liability calculations are based upon the amount of catalyst used to manufacture the ‘processed products’. If goods that are claimed to be catalyst are present in any processed products, they must not be considered under this section.

Catalysts used on free circulation goods

Where catalysts are to be entered to IP for use on free circulation goods, a guarantee for the duty and import VAT on the catalyst is required. This is to ensure that the processed free circulation goods are intended for export outside the UK and to prevent any advantage being gained over traders who enter catalysts to free circulation for similar operations.

Note: When applications are received the authorising office must ensure that IP is not being used to produce goods that are for use in free circulation or to obtain duty free catalysts for use on the home market.

https://www.gov.uk/guidance/apply-to-delay-or-pay-less-duty-on-goods-you-import-to-process-or-repair

Note - Northern Ireland (NI) Customs Authorisations will continue to fall within the provisions of the Union Customs Code (UCC), as retained by the European Union (Withdrawal) Act 2018 and CEMA 1979