HM Revenue and Customs (HMRC) has delayed the planned closure of its existing IT system for export declarations until March of next year.
It said it is to take a phased approach in the transition from Customs Handling of Import and Export Freight (CHIEF) to the new Customs Declaration Service (CDS), with the latter to be used for high volume exports from 30 November this year and for all exports from 30 March next year.
HMRC said it is taking step after listening to feedback from the industry, and will use the time to work with its delivery partners on IT testing and performance analysis, which businesses with the existing IT functionality start to migrate.
The original plan had been to replace CHIEF for export declarations from April of this year, but there have reportedly been difficulties for traders in registering to use CDS. The department said that all companies with the functionality in place should begin to use the new platform by the end of December for exports.
It has been used for all import declarations since October of last year.
Industry support
The announcement has won approval from industry representatives. Steve Bartlett, chair of Association of Freight Software Suppliers (AFSS) said: “The AFSS and our members fully support the revised timescales for the transition of export declarations from CHIEF to CDS. This moves away from the seasonal peak and also allows more focus to help customers migrate to NCTS5 (New Computerised Transit System) in November.
“We thank HMRC for the continued collaboration and consultation with us, to ensure a successful completion of the CDS journey for everyone by the end of March 2024
Robert Windsor, member policy and compliance director at the British International Freight Association (BIFA) said: “On behalf of BIFA members, we are looking forward to the final stage of the implementation of CDS and bringing export transitioning to its successful conclusion.”
Amanda Francis, chief executive of the Association of International Courier and Express Services (AICES) said: “AICES supports HMRC’s pragmatic decision to revise the timetable for CDS exports migration. We also welcome the level of stakeholder engagement and the recognition that express operators need sufficient notice and time to ensure a smooth transition from CHIEF to CDS.”
