Finance Act 2021

Section 101

SCHEDULE 20 Customs duty: steel products

1 The Customs (Northern Ireland) (EU Exit) Regulations 2020 (S.I. 2020/1605) are amended in accordance with this Schedule.

Duty on certain steel products imported on or after 3 March 2021

2 (1) After regulation 7 insert—

“7A Amount of section 30A(3) duty for certain steel products

(1) This regulation applies to goods if—

(a) they are imported into the United Kingdom as a result of their entry into Northern Ireland,

(b) they are not relevant goods,

(c) they are not Union goods,

(d) the origin of the goods (as determined in accordance with the provisions of Union customs legislation in force relating to non-preferential origin) is neither in the United Kingdom nor in the European Union,

(e) they are declared, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure,

(f) they would (ignoring this regulation) have been subject to the EU steel safeguarding measure, and

(g) if they had instead been imported into a member State they would have benefitted from tariff-rate quota in relation to that measure.

(2) For the purpose of determining the amount of duty charged under section 30A(3) of the Act in respect of goods to which this regulation applies—

(a) the EU steel regulation does not apply, and

(b) the steel safeguards notice applies as if references to import duty were to duty charged under section 30A(3).”

(2) In regulation 8 (determination of section 30A charge), after “7” insert “, 7A”.

(3) In regulation 9 (relief from section 30A duty), in sub-paragraph (c)—

(a) for “regulation” substitute “regulations”;

(b) after “7” insert “and 7A”.

(4) The amendments made by this paragraph—

(a) have effect in relation to goods declared on or after 3 March 2021, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure, and

(b) have effect as if made under section 30B of TCTA 2018 (and may be amended or revoked accordingly).

Duty on certain steel products imported before 3 March 2021

3 (1) Before regulation 8 insert—

“7B Amount of section 30A(3) duty for certain steel products before 3 March 2021

(1) This regulation applies to goods if—

(a) they are imported into the United Kingdom as a result of their entry into Northern Ireland,

(b) they are declared before 3 March 2021, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure,

(c) they are not relevant goods,

(d) they are not Union goods,

(e) the origin of the goods (as determined in accordance with the provisions of Union customs legislation in force relating to non-preferential origin) is neither in the United Kingdom nor in the European Union,

(f) they would (ignoring this regulation) have been subject to an EU steel safeguarding measure,

(g) if they had instead been imported into a member State they would have benefitted from tariff-rate quota in relation to that measure, and

(h) they would not have been subject to a domestic steel safeguarding measure (whether they would have benefited from a quota or were otherwise not subject to the measure) if—

(i) the goods had been declared for the free-circulation procedure or the authorised use procedure in Great Britain, and

(ii) that declaration had been accepted at the same time as the actual declaration was accepted.

(2) Where the person declaring the goods makes a relevant claim that is accepted by HMRC, the EU steel regulation does not apply for the purpose of determining the amount of duty charged under section 30A(3) of the Act in respect of the goods.

(3) In this regulation “relevant claim” means a claim made in accordance with the procedure set out in the steel notice provided all conditions in that notice are complied with.”

(2) In regulation 8 (determination of section 30A charge), before “and 9” insert “, 7B”.

(3) The amendments made by this paragraph—

(a) have effect in relation to goods declared on or after IP completion day, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure, and

(b) have effect as if made under section 30B of TCTA 2018 (and may be amended or revoked accordingly).

Duty on certain steel products removed to Northern Ireland on or after 3 March 2021

4 (1) After regulation 13 insert—

“13A Amount of section 40A(1) duty for certain steel products

(1) This regulation applies to goods if—

(a) they are removed to Northern Ireland from Great Britain,

(b) they are declared, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure,

(c) they are not relevant goods,

(d) they are not Union goods,

(e) they are not domestic goods,

(f) they are not goods to which regulation 11 applies,

(g) the origin of the goods (as determined in accordance with the provisions of Union customs legislation in force relating to non-preferential origin) is neither in the United Kingdom nor in the European Union,

(h) they would (ignoring this regulation) have been subject to an EU steel safeguarding measure, and

(i) if they had instead been imported into a member State they would have benefitted from tariff-rate quota in relation to that measure.

(2) For the purpose of determining the amount of duty charged under section 40A(1) of the Act in respect of goods to which this regulation applies—

(a) the EU steel regulation does not apply, and

(b) the steel safeguards notice applies as if references to import duty were to duty charged under section 40A(1).”

(2) In regulation 14 (determination of section 40A charge), after “13,” insert “13A,”.

(3) In regulation 16 (relief from section 40A duty), in paragraph (1)(c)—

(a) for “regulation” substitute “regulations”;

(b) after “13” insert “and 13A”.

(4) The amendments made by this paragraph—

(a) have effect in relation to goods declared on or after 3 March 2021, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure, and

(b) have effect as if made under section 40B of TCTA 2018 (and may be amended or revoked accordingly).

Duty on certain steel products removed to Northern Ireland after IP completion day

5 (1) Before regulation 14 insert—

“13B Amount of section 40A(1) duty for certain domestic steel products

(1) This regulation applies to goods if—

(a) they are removed to Northern Ireland from Great Britain,

(b) they are declared, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure,

(c) they are domestic goods,

(d) they are not relevant goods,

(e) they are not Union goods,

(f) they are not goods to which regulation 11 applies,

(g) the origin of the goods (as determined in accordance with the provisions of Union customs legislation in force relating to non-preferential origin) is neither in the United Kingdom nor in the European Union,

(h) they would (ignoring this regulation) have been subject to an EU steel safeguarding measure, and

(i) if they had instead been imported into a member State they would have benefitted from tariff-rate quota in relation to that measure.

(2) Where the person declaring the goods makes a relevant claim that is accepted by HMRC, the EU steel regulation does not apply for the purpose of determining the amount of duty charged under section 40A(1) of the Act in respect of the goods.

(3) In this regulation “relevant claim” means a claim—

(a) made in accordance with a procedure specified in a notice given by HMRC Commissioners, or

(b) if no such notice is in force, made in accordance with the procedure set out in the steel notice provided all conditions in that notice are complied with.

(4) HMRC Commissioners may by notice provide that a person who makes a relevant claim of the type mentioned in paragraph (3)(a) must notify the Secretary of State of the making of the claim.

(5) The notice may provide—

(a) that specified information must be included in the notification to the Secretary of State;

(b) for the form and manner in which such a notification must be given;

(c) that such a notification must be given within such period as is specified in the notice.

(6) A notice under paragraph (3)(a) or (4)—

(a) must be published;

(b) may be withdrawn;

(c) may be amended from time to time.

13C Amount of section 40A(1) duty for certain steel products before 3 March 2021

(1) This regulation applies to goods if—

(a) they are removed to Northern Ireland from Great Britain,

(b) they are declared before 3 March 2021, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure,

(c) they are not domestic goods,

(d) they are not relevant goods,

(e) they are not Union goods,

(f) they are not goods to which regulation 11 applies,

(g) the origin of the goods (as determined in accordance with the provisions of Union customs legislation in force relating to non-preferential origin) is neither in the United Kingdom nor in the European Union,

(h) they would (ignoring this regulation) have been subject to an EU steel safeguarding measure,

(i) if they had instead been imported into a member State they would have benefitted from tariff-rate quota in relation to that measure, and

(j) they would not have been subject to a domestic steel safeguarding measure (whether they would have benefited from a quota or were otherwise not subject to the measure) if—

(i) the goods had been declared for the free-circulation procedure or the authorised use procedure in Great Britain, and

(ii) that declaration had been accepted at the same time as the actual declaration was accepted.

(2) Where the person declaring the goods makes a relevant claim that is accepted by HMRC, the EU steel regulation does not apply for the purpose of determining the amount of duty charged under section 40A(1) of the Act in respect of the goods.

(3) In this regulation “relevant claim” means a claim made in accordance with the procedure set out in the steel notice provided all conditions in that notice are complied with.”

(2) In regulation 14 (determination of section 40A charge), before “15” insert “13B, 13C,”.

(3) The amendments made by this paragraph—

(a) have effect in relation to goods declared on or after IP completion day, in accordance with Union customs legislation, for a procedure corresponding to the free-circulation procedure or the authorised use procedure, and

(b) have effect as if made under section 40B of TCTA 2018 (and may be amended or revoked accordingly).

Interpretation

6 (1) In regulation 3 (interpretation of Part 2), at the appropriate places insert—

• ““domestic steel safeguarding measure” means an additional rate of duty payable as a result of the steel safeguards notice (and goods are subject to that measure if that additional rate is payable in respect of the goods);”;

• ““EU steel safeguarding measure” means an additional rate of duty payable as a result of Article 1 of the EU steel regulation (and goods are subject to that measure if that additional rate is payable in respect of the goods);”;

• ““EU steel regulation” means Commission Implementing Regulation (EU) 2019/159 as it may be amended, or replaced, from time to time;”;

• ““steel notice” means the notice on movements of steel into Northern Ireland published by HMRC on 3 March 2021;”;

• ““steel safeguards notice” means Taxation Notice 2020/06: safeguard measures on certain steel products – application of tariff rate quotas published on 30 September 2020 by the Secretary of State, as that notice may be amended, or replaced, from time to time;”.

(2) The amendments made by this paragraph—

(a) are treated as having come into force on IP completion day, and

(b) have effect as if made under sections 30B and 40B of TCTA 2018 (and may be amended or revoked accordingly).

Power to extend application of the regulations to other goods

7 Where provision inserted by this Schedule—

(a) relates to particular goods, and

(b) is to have effect as if made under a power conferred by TCTA 2018,

that power may (amongst other things) be exercised to make similar provision relating to other goods, including provision having retrospective effect provided any such retrospective provision does not impose or increase taxation.