Temporary admission allows the use of non Union goods on the customs territory of the European Union (EU) with full or partial exemption from import duties, depending on the type of goods and the use that will be made of them.
To benefit from temporary admission, imported goods must then be re-exported without having undergone any changes.
Temporary admission with full exemption of import duties
The following goods can benefit from temporary admission with full exemption of duties and taxes on importation, under certain conditions specific to each type of good:
- pallets and their spare parts, accessories and equipments
- containers and their spare parts, accesories and equipments (under conditions)
- means of transport and their spare parts, accesories and equipments (under conditions)
- disaster relief materials
- medical, surgical and laboratory equipments
- sound-, image- or data-carrying media and publicity materials
- professional equipments (under conditions)
- pedagogic materials and scientific equipments
- special tools and instruments
- goods used to carry out tests or subject to tests
- goods for events or for sale in certain situations
- personal effects and goods for sports purposes imported by travelers
- other goods imported in particular situations (under conditions).
The detailed list of goods and conditions to fulfill in order to benefit from temporary admission with full exemption of customs duties on importation is set by Delegated Regulation (EU) 2015/2446.
The VAT on importation is not due for goods used in temporary admission with full exemption of customs duties.
Temporary admission with partial exemption of import duties
The use of the temporary admission procedure with partial exemption from import duties may be authorized for goods that do not meet all the relevant requirements for total exemption of duties due on importation.
The amount of duties to pay is then set at 3% of the amount of duties that would have been due for these goods if they had been released for free circulation.
This amount is due each month or fraction of month in which the goods are placed in a procedure for temporary admission with partial exemption of import duties.
The amount of duties due on importation cannot be greater than what would have been due if the goods had been released for free circulation.
The VAT on importation must be paid for goods used in temporary admission with partial exemption of customs duties.
Practical procedures for temporary admission
A company that wishes to use non-Union goods in temporary admission must request authorization from the Customs and Excise Administration. Furthermore, the company has to provide a guarantee for the amount of the suspended duties and taxes.
The duration of the temporary admission is the time needed to use the goods, and cannot in theory exceed 24 months. In exceptional circumstances, the customs authorities may grand an extension of reasonable duration upon justified application. The overall period during which goods may remain under temporary admission procedure shall not exceed 10 years except in the case of unforeseeable event.
At the time of the arrival of the goods in the Luxembourg territory, the company must file a customs declaration to declare the goods in temporary admission.
The circulation of goods placed in temporary admission may take place between different places of the customs territory of the Union without other customs procedures.
In order to simplify temporary admission, a company may choose to use an ATA Carnet.
The ATA Carnet is used to temporarily import or export goods, and transport them between the various countries that are part of the ATA Convention, which allows companies to make transactions with suspension of duties and taxes.