SPE16725 - Completion of Authorised Use and discharging liability: Authorised Use relief and Outward Processing Relief (OPR)

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Goods previously imported under the Authorised Use arrangements may be exported for processing under the OPR arrangements. Similarly, OPR compensating products may be re-imported to free circulation at a reduced rate of duty, if they continue to qualify for Authorised Use. Prior authorisation to use the OPR arrangements is required.

However, if a reduced Authorised Use duty rate is claimed on compensating products certain restrictions may apply to the amount of duty relief which can be claimed under OPR. If the exported goods were previously imported at a reduced Authorised Use rate of duty, or, are of a type which could qualify for an Authorised Use rate if imported, relief under OPR is restricted as follows:

  • goods previously imported to Authorised Use will be restricted to the actual amount of duty paid on them when they were originally imported to Authorised Use

  • goods which could qualify for Authorised Use will be restricted to the reduced rate of duty which would apply to them if imported under Authorised Use arrangements. It should be noted that if:

  • the compensating products are eligible for a ‘nil’ duty rate under Authorised Use, or
  • the exported goods were previously imported at a ‘nil’ duty rate under Authorised Use, or
  • the exported goods could qualify on import for a ‘nil’ duty rate under Authorised Use
  • there is no benefit to be gained from the use of the OPR arrangements. In the first case, the compensating products could be entered to Authorised Use free of duty, and in the second two cases, there would be no duty to deduct and therefore no relief available.

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.