CELEX: 51989PC0385
Language: en
Date: 1989-07-27
Title: PROPOSAL FOR A COUNCIL DIRECTIVE AMENDING DIRECTIVE 79/695/EEC ON THE HARMONIZATION OF PROCEDURES FOR THE RELEASE OF GOODS FOR FREE CIRCULATION

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)
 ---pagebreak---                                                                            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.
 ---pagebreak---                                 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.
Z
  0J No L 319, 7.11.1981, p. 1.
 ---pagebreak---                                    - 2 -
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.
 ---pagebreak---                                        - 3-
   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
 ---pagebreak---                                       - 4 -
   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.
 ---pagebreak---                                        - 5 -
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
 ---pagebreak---                                         - 7-
                         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.
 ---pagebreak---                                        - 8-
                                    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
 ---pagebreak---  ---pagebreak---  ---pagebreak---                                                                      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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