COMMISSION OF THE EUROPEAN COMMUNITIES 
C0MC89) 385 final - SYN 216 
Brussels, 27 July 1989 
Proposal for a 
COUNCIL DIRECTIVE 
amending Directive 79/695/EEC on the harmonization of procedures 
for the release of goods for free circulation 
(presented by the Commission) 
Cm un 
EXPLANATORY MEMORANDUM 
1. This proposal for a Directive amending the Council Directive of 24 July 1979 
on the harmonization of procedures for the release of goods for free 
circulation (79/695/EEC) forms part of the process of completing the internal 
market in as much as major differences currently exist in the application of 
simplified procedures for the release of goods for free circulation in trade 
with third countries. Whilst in some Member States up to 65 % of imports are 
covered by simplified procedures, application of the same procedures in other 
Member States is somewhat sporadic (e.g. limited in particular to perishable 
foodstuffs). 
2. In view of the economic importance of these procedures, the lack of 
uniformity in their use might encourage deflections of trade and be a factor 
influencing decisions to invest in one Member State or another once the 
single market had been created. 
3. When the Directive of 24 July 1979 was adopted, complete harmonization of the 
simplified procedures for release for free circulation was not considered 
possible. Articles 16-20 of the Directive merely laid down the criteria 
defining how far the Member States could go in simplifying procedures. A 
significant breakthrough was made at that time in that those Member States 
which already applied the said procedures are obliged to comply with minimum 
requirements when authorizing traders to use them. In contrast, those Member 
States which saw no need to apply the procedures are not so obliged under the 
1979 Directive. 
4. This situation will not be sustainable once the internal market has been 
completed if problems such as those referred to at point 2 above are to be 
avoided. Consequently, this proposal aims to supplement the Directive in 
question by amending Articles 16-20 thereof, laying down in so doing the 
conditions under which an importer is entitled to demand authorization to use 
a simplified procedure. Such a recognition of the entitlement of operators to 
use the simplified procedures also constitutes a better basis for the 
introduction of computer systems - this being a topic which, with a view to a 
close coordination and harmonisation among Member States, will be the subject 
of Commission implementing provisions as authorised in Article 26 of the 
basic Directive. 
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5. The Commission's proposal provides for two types of simplified procedure, 
i.e.: 
- the procedure for clearance at a designated place, which allows gocds to be 
released for free circulation at the premises of the person concerned or at 
other places that are authorized by the competent authorities (Articles 
18-18 c); 
- the simplified declaration procedure, which enables certain particulars of 
the dfclui Jt i on Lo be furni tilled or inserted at .J lut.ei date in tin- I'orm or 
supplementary declarations (Articles 19-20 a). 
6. Use of these two types of procedure is subject to authorization, which must 
be granted on request if certain conditions are met. 
Since it is the proposal's principal aim to make the application of 
simplified procedures in the Community more uniform, major importance is 
attached to defining these conditions, particularly those laid down in 
Articles 18a and 20. The Commission' s "proP°sal. is based on the principle that 
these conditions must be as objective as possible without leaving any doubt 
as to the responsibility of the Member States' administrations for the proper 
conduct of operations. The said Articles are based in this respect on 
provisions already adopted by the Council in Council Regulation (EEC) No 3/84 
of 19 December 1983 introducing arrangements for movement within the 
Community of goods sent from one Memher State for temporary use in one or 
more other Member States (OJ No L 2, 4.1.1984). 
7. Provided all the conditions are met, authorization to use the procedure for 
clearance at a designated place is to be granted on request to, inter alia, 
any authorized consignee under the Community transit procedure. It should be 
noted in this respect that where reference is made in Article 18(1) to the 
Community transit procedure, that term is used within the meaning cf Article 
1(2) of the Convention of 20 May 1987 on a common transit procedure (OJ No 
L 226, 13.8.1987). 
8. In view of the importance of this proposal for the customs union and the 
internal market, its legal basis is Article 100a. 
Proposal for a 
COUNCIL DIRECTIVE 
amending Directive 79/695/EEC on the harmonization of procedures 
for the release of goods for free circulation 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Community, and 
in particular Article 100a thereof, 
Having regard to the proposal from the Commission, 
In cooperation with the European Parliament, 
Having regard to the opinion of the Economic and Social Committee, 
i 
Whereas Title II of Council Directive 79/695/EEC , as last amended by Directive 
2 81/853/EEC , contains the provisions concerning special procedures; whereas 
those provisions contained in Subtitles A, B and C relate, respectively, to 
exemption from written entries, the drawing up of general, periodic or 
recapitulative entries and release of goods before lodging of entry; 
Whereas the said provisions laid down in what manner and under what conditions 
the competent authorities may authorize use of simplified procedures for the 
release of goods for free circulation; 
Whereas the conditions under which importers are entitled to request authori­
zation to use such a procedure should be defined as precisely as possible; 
whereas a distinction must be drawn between two types of procedure, namely the 
procedure for clearance at a designated place and the simplified declaration 
procedure; 
Whereas specific Community provisions apply where goods previously placed under 
a customs procedure with economic impact are released for free circulation; 
loj No L 205, 13.8.1979, p. 19. 
Z0J No L 319, 7.11.1981, p. 1. 
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Whereas the simplified procedures for the release of goods for free circulation 
are of considerable economic importance to the customs union and the internal 
market; whereas in a single market importers must be able to enjoy the same 
facilities irrespective of where goods are released for free circulation; 
Whereas the rules currently applicable should accordingly be amended by 
replacing Articles 16 to 20 of Directive 79/695/EEC, 
HAS ADOPTED THIS DIRECTIVE : 
Article 1 
Directive 79/695/EEC is hereby amended as follows : 
1. Articles 16 to 20 are replaced by the provisions below. 
"Article 16 
Except where Articles 16a to 22 provide otherwise, Title I shall apply to the 
special procedures laid down in those Articles. 
Article 16a 
Without prejudice to the special provisions laid down in respect of consignments 
sent by parcel or letter post, and with the exception of cases where an import 
licence has to be presented, the competent authorities may specify that a 
written entry is unnecessary for goods imported for non-commercial purposes or 
goods of low value. 
Article 17 
1. The procedure for clearance at a designated place shall enable goods to be 
released for free circulation at the premises of the person concerned or at 
other places authorized by the competent authorities. 
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The simplified declaration procedure shall enable certain particulars of the 
declaration to be furnished or inserted at a later date in the form of 
supplementary declarations of a general, periodic or recapitulative nature. 
2. In the framework of the procedures laid down in paragraph 1, release shall be 
granted without the goods in question having first been the subject, at the 
competent customs office, of the declaration provided for in Article 3 of the 
present Directive. 
3. These procedures shall be applied in accordance with Articles 18 to 20a and 
do not preclude the exercise by the customs services of any checks they deem 
necessary to ensure the proper conduct of operations. 
PROCEDURE FOR CLEARANCE AT A DESIGNATED PLACE 
Article 18 
1. Authorization to use the procedure for clearance at a designated place shall 
be granted, upon,request, in accordance with the conditions and in the manner 
laid down in Articles 18a to 18c where a person is 
authorized to use simplified procedures under either the Community transit 
procedure, to be carried out at the office of destination in accordance with 
* Articles 71 to 77 of Commission Regulation (EEC) No 1062/87 , or a national 
transit procedure, as the case may be. 
2. Without prejudice to the specific provisions applicable thereto, use of the 
procedure for clearance at a designated place shall also be authorized, upon 
request, where goods previously placed under a customs procedure with 
economic impact are released for free circulation. 
*0J No L 107, 22.4.1987, p. 1 
T 
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Use of the procedure for clearance at a designated place shall also be 
authorized, upon request, where goods to be released for free circulation at 
the premises of the person concerned or at other places authorised by the 
competent authorities are brought into the customs territory of the Community 
exempt from the requirement that they be presented to customs pursuant to 
Article 6(b) of Council Regulation (EEC) No 4151/88 
Article 18a 
1. The authorization referred to in Article 18(1) shall be granted on condition 
that : 
- the applicant has not committed a serious infringement or repeated 
infringements of legislation concerning trade in goods; 
- the applicant's records enable the customs authorities to carry out an 
effective check, including checks at a later date; 
- it is possible to guarantee an effective check on import prohibitions or 
restrictions or any other provisions governing release for free 
circulation. 
2. The authorization may be refused where the applicant declares goods for 
release for free circulation only occasionally. 
*0J No L 367, 31.12.1988, p. 1. 
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3. The authorization shall be revoked where one of the 
conditions referred to in paragraph 1 ceases to be fulfilled. It may be 
revoked where the situation referred to in paragraph 2 exists. 
4. The customs authorities shall set out the grounds for decisions refusing or 
revoking authorisation. 
Article 18b 
1. To enable the competent authorities to satisfy themselves as to the proper 
conduct of operations, the authorized person referred to in Article 18(1) shall, 
upon arrival of the goods at the place designated for that purpose : 
(a) duly notify the competent authorities of such arrival in the form and 
manner specified by them for the purpose of obtaining release of the 
goods ; 
(b) enter the said goods in his records. Such entry may be replaced by any 
other formality laid down by the competent authorities and offering 
similar guarantees. The entry shall indicate the date on which it is made 
and the particulars necessary for identification of the goods; such entry 
or the act in place of it has the same force in law as the acceptance of 
the declaration referred to in Article 3. 
(c) make available to the competent authorities all documents, the production 
of which may be required for the application of the Community provisions 
governing the release of goods for free circulation. 
2. On condition that checking on the proper conduct of operations is not thereby 
affected, the competent authorities may : 
(a) permit the notification referred to in paragraph 1(a) to 
be effected as soon as the arrival of the goods becomes imminent; 
°l 
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(b) in certain special circumstances where the nature of the goods in 
question and the rapid rate of importation operations so warrants, 
exempt the authorized person from the obligation to notify the competent 
customs office of each arrival of goods, on condition that he provides 
that office with all the information which it deems necessary to enable 
it to exercise, where appropriate, its right to examine the goods. In 
that case, entry of the goods in the records of the person concerned 
shall be equivalent to their release. 
Article 18c 
The authorisation referred to in Article 18(1) shall set out the practical 
details for the functioning of the procedure and in particular : 
- the goods to which it applies; 
- the practical details of the obligations referred to in Article 18b, as we-}l 
as the amount of the global guarantee to be provided by the person concerned; 
- the time of release of the goods; 
- the time limit within which the declaration referred to in Article 3 must 
be presented to the competent customs office designated 
for that purpose ; 
- the conditions in which goods are to be covered by general, periodic or ,yy-
recapitulative declarations. < i / 
AO 
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SIMPLIFIED DECLARATION PROCEDURE 
Article 19 
1. The declarant or the person acting on his behalf shall, upon request, be 
authorized, in accordance with the conditions and in the manner laid down in 
Articles 20 and 20a, to make the declaration for release for free circulation 
in a simplified form where goods are presented to customs with a view to 
their release for free circulation . 
Such declaration may take the form, apart from that of a declaration as 
referred to in Article 6, of an administrative or commercial document 
containing the particulars necessary for identification of the goods, 
accompanied by a request for release for free circulation. 
The simplified declaration shall be accompanied by any document the 
production of which may be required to secure the release of the goods for 
free circulation. 
2. Statements made in supplementary declarations, together with the statements 
made in the simplified declarations to which they relate, shall be deemed to 
constitute a sincle, indivisible instrument taking effect at the date on 
which the corresponding initial declaration was accepted. 
3. The provisions of this Article shall be without prejudice to specific 
provisions applicable in the case of the presentation for release for free 
circulation of goods which have been placed under a customs procedure with 
economic impact. 
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Article 20 
1. The authorization referred''to in Article 19 shall be granted on condition 
that : •'.'' 
.7 
- the applicant has not/ committed a serious infringement or repeated 
infringements of legislation concerning trade in goods; 
- it is possible to guarantee an effective check on import prohibitions or 
restrictions or Other provisions governing release for free circulation. 
2. The authorization may be refused where the applicant declares goods for 
release for free circulation only occasionally. 
3. The authorization shall be revoked where one of the conditions referred to 
in paragraph 1 ceases to be fulfilled. It may be revoked where the situation 
referred to in paragraph 2 exists. 
4. The customs authorities shall set out the grounds for decisions refusing or 
revoking authorisation. 
Article 20a 
1. The authorization referred to in Article 19 shall in particular designate the 
customs office(s) which accept simplified declarations, specify the goods to 
which they apply as well as the particulars necessary for the identification 
of the goods which must appear on the simplified declaration and specify the 
amount of the global guarantee to be provided by the person concerned. 
It shall also specify the form and content of the supplementary declarations, 
which may be of a general, periodic or recapitulative nature, and fix the 
time limits by which they must be lodged with the competent authority to be 
designated. 
2. In the headings which precede Articles 21 and 22 the letters (D) and (E) are 
deleted." 
n 
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Article 2 
Member States shall take the measures necessary to comply with this Directive 
not later than 1 January 1993. 
The provisions adopted pursuant to the first paragraph shall make express 
reference to this Directive. 
Member States shall communicate these measures to the Commission. 
Article 3 
This Directive is addressed to the Member States 
Done at For the Council 


ISSN 0254-1475 
COM(89) 385 final 
DOCUMENTS 
EN 02 06 
27.7.1989 
Catalogue number : CB-CO-89-372-EN-C 
ISBN 92-77-52611-4 
Office for Official Publications of the European Communities 
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