UCC PLANNING - GLOSSARY

UCC PLANNING - GLOSSARY WP projects Abstract Overview of the projects WP based on the Graphical Planning Overview ncontrol info@ncontrol.be

Contents Glossary... 2 Explanation Graphical Planning Overview... 3 Explanation projects... 4 Customs decisions... 4 Binding Tariff Information (BTI)... 4 Authorised Economic Operator (AEO) and impacts of Mutual Recognition Agreement... 5 Automated Export System (AES)... 5 Transit System including NCTS... 6 Registered Exporter System (REX)... 6 Economic operators Registration and Identification subsystem 2 (EORI2)... 6 Guarantee Management (GUM)... 7 Special Procedures... 7 Surveillance 3... 8 ICS2 for strengthening the Security of the Supply Chain of Entry... 8 Adjustments of the existing import applications under the UCC... 9 Proof of Union Status (PoUS)... 9 Uniform user management & digital signatures UUM & DS (Direct Trader Access to EIS)... 9 References... 10 1

Glossary AEO Authorised Economic Operator AES Automated Export System BTI Binding Tariff Information CETA Comprehensive Economic and Trade Agreement between Canada and the EU CC Centralised Clearance CCI Centralised Clearance for Import COM European Commission CS/RD Central Services / Reference Data DA Delegated Act ECS Export Control System EMCS Excise Movement Control System ETD Electronic Transport Document EORI Economic Operators Registration and Identification subsystem EU European Union EUCDM European Union Customs Data Model EXP Export FTA Free Trade Agreement GUM Guarantee Management IA Implementing Act IMP Import ICS Import Control System MASP Multi-Annual Strategic Plan MRA Mutual Recognition Agreement MRN Main Reference Number MS Member States NCTS New Computerised Transit System OCT Overseas Countries and Territories PN Presentation Notification PoUS Proof of Union Status REX Registered Exporter System SP Special Procedures SURV2 Surveillance 2 SW Single Window TRACES Trade Control and Expert System TRACES NT Trade Control and Expert System New Technology TS Temporary Storage TIR Transports Internationaux Routiers UCC Union Customs Code UUM&DS Uniform User Management and Digital Signatures WP Work Programme 2

Explanation Graphical Planning Overview The Graphical Planning Overview gives an indication about all the existing work programme (WP) projects. Those WP do all have an individual operation date, this is specified in the overview file. Below, there are some concepts explained related to the Graphical Planning Overview. All this information is based on the MASP revision of 2017 (DG TAXUD, 2017). National system: The implementation of the national components of a system at national level. Estimated operation date: This indicates the estimated completion date for deliverable. The operation (i.e. the 'date of Operation') corresponds with the 'Target start date of deployment of the electronic system' stated in the UCC WP, which is equal to the end date of the transitional period for systems listed in the UCC WP and is the envisaged operational date of the electronic system. Deployment window: The dates of deployment of the electronic systems being the start date of the deployment window and the end date of the deployment window (= end date of the transitional period). - Start date of the deployment window of the electronic system This date for starting the deployment window of the electronic systems equals the earliest date for Member States to start operations - End date of the deployment window of the electronic system This date for ending the deployment window of the electronic systems equals to the latest date by which the system should be fully deployed and the latest date by which all economic operators should be migrated; where applicable, the date will be established by the Member States and equals the end date of the validity of the transitional period. 3

Explanation projects Below is an overview of all projects WP and a brief explanation based on the information provided from the MASP 2017 and on the website of the European Commission. This information is just a brief summary of the projects. All this information is based on both the MASP revision and the information displayed on the European website (Commission, 2016) (DG TAXUD, 2017). Customs decisions 1.2 UCC Customs Decisions The UCC Customs Decisions project aims to harmonise the processes related to the application for a customs decision, the decision taking and the decision management by standardisation and electronic managing of application/authorisations data across the EU. The Customs Decisions system implemented in this project will allow the electronic processing and central storage of the applications and authorisations and publication of the list of holders on the Internet. Binding Tariff Information (BTI) 1.4. UCC BTI Whereas the BTI was only binding upon the customs, the UCC makes the BTI also binding upon the holder as against customs. Thus, the holder has to inform the customs authorities that he holds a BTI decision for the declared goods. For the customs authorities this raises the issue of proper control of traders with regard to this new obligation. In order to monitor BTI usage and also the correct use of BTI with extended use, the COM will make use of the extended surveillance system (SURV2 system evolution for BTI control). Because of the high priority and urgency, IT developments to support the BTI Usage Controls will be implemented in two phases. Phase 1: The first step of the first phase will provide the functionality to receive the UCC required declaration dataset as of 1 March 2017 in a gradual manner until the implementation of the "Adjustments of the existing import applications under the UCC" and "UCC Automated Export System (AES) Component 2" projects. The second step of the first phase will fulfil the obligation of BTI usage control on the basis of the newly required declaration dataset and the alignment to the customs decisions process. Phase 2: The second phase will implement the electronic form of the BTI application and decision and provide for the economic operators an EU harmonised trader interface to submit the BTI application and receive the BTI decision electronically. 4

Authorised Economic Operator (AEO) and impacts of Mutual Recognition Agreement 1.5 UCC AEO and Impacts of MRA The project aims to improve the business processes related to AEO applications and certificates management taking into account the changes of the legal provisions and the harmonisation of the customs decision-taking procedures and to strengthen the recognition of the AEO status granted by partner countries. EU AEO Minor Enhancement (UCC related): Part of the envisaged EOS-AEO system changes require updates only in the code lists managed in the CS/RD application and in the EOS-AEO applications' user interface and they are considered as a 'minor system enhancement'. EU AEO Major Enhancement (UCC related): The UCC-related changes 7 to 16 needed for the alignment of the existing EOS-AEO system to the processes defined in the UCC and UCC IA/DA are considered as a 'major system enhancement' that requires additional functionalities to be implemented in the EOS-AEO CDCO applications and EOS-AEO national applications and that will impact the EOS-AEO system-tosystem interface. EU AEO Direct Trader Access (UCC related): The implementation of the EU AEO Direct Trader Access will allow data exchange between the economic operators and the customs autorities in a uniform and harmonised way. The central EOS-AEO application will provide services for the economic operators to submit requests and additional information and to receive notifications from the decision taking customs authority. AEO Mutual Recognition Enhancement: The update of the EOS system-to-system interface to allow the AEO data received from partner countries to be disseminated to the EU MS and the validation of the partner counties AEO status in the EU transaction systems, based on the adopted user requirements (doc. AEO data exchange with partner countries). Automated Export System (AES) 1.6 UCC Automated Export System The aim of this project is to fully implement AES, that will cover the business requirements for processes and data (EUCDM) brought about by the UCC, interfaces with supporting systems, EMCS, NCTS and Centralised Clearance for export. Currently, the Export and Exit formalities, including safety and security features, are covered by the functionality of the ECS Phase 2. However, it is clear that the current version of ECS does not cover full functionality as there are procedural aspects provided in the customs legislation which are not covered by an automated functionality at EU-level. Component 1 - "Trans-European AES": The aim of the project is to further develop the existing trans-european Export Control System in order to implement a full AES that would cover the business requirements for processes and data brought about by the UCC, inter alia the coverage of simplified procedures, split exit consignments and centralised clearance for export. Component 2 "National Export Systems upgrade": In addition, not being part of the scope of AES but closely linked, separate national systems are to be upgraded for specific national elements related to export and/or exit formalities. As far as these elements do not have an impact on the common domain for AES, they can be covered under this component. 5

Transit System including NCTS 1. UCC New Computerised Transit System (NCTS) upgrade The aim of the trans-european project on UCC NCTS is to create new phases of NCTS in order to implement in the existing system the new UCC requirements and the EUCDM aligning the data requirements to the international standards. NCTS automates the common and community transit procedure as well as control of the movements covered under the TIR procedure within the EU. Registered Exporter System (REX) 1.11 UCC Registered Exporter System (REX) The main purpose of the system is to replace the current paper-based certification process by an ITsupported self-certification process. A central database will contain the registered exporters. Therefore, the REX IT system will also offer the opportunity to MS to enhance their National Systems for Customs Declarations with an automated verification of the REX numbers from the declarations against that central database. The REX project aims at implementing a system to make up-to-date and complete information available on Registered Exporters established in non-eu countries (GSP beneficiary countries) exporting goods to the EU under preferential trade arrangements. The system will also include exporters registered in the MS for the purpose of bilateral cumulating of origin and split of consignments to be sent to Norway, Switzerland or Turkey. In a second phase, the system will also include exporters registered in MS for the purpose of declaring origin of goods in exports to a partner country in the context of a FTA. The current version of the REX system needs to be adapted for this purpose. Economic operators Registration and Identification subsystem 2 (EORI2) 1.15 UCC Economic Operators Registration and Identification subsystem 2 (EORI2) The objective of the Economic Operators' Registration and Identification System is to establish a unique system of registration and identification for economic operators in the EU. Economic operators Notification of Arrival, Presentation Notification and Temporary Storage 2.1 UCC Notification of Arrival, Presentation Notification and Temporary Storage The goal of this project is to define the processes for Notification of Arrival of the means of transport, Presentation of the goods (Presentation Notification) and Declaration for Temporary Storage as described in the UCC and to support harmonization in this respect across the Member States as regards the data exchange between trade and customs. 6

Guarantee Management (GUM) 2.5 UCC Guarantee Management (GUM) The objective of the project is to ensure that the data of guarantees used for import and export that affects more than one MS must be made electronically accessible to MS where the customs declarations are lodged and accepted. The Guarantee Management system will allow the registration, verification of existence and validity as well as release of individual and comprehensive guarantees valid throughout the customs territory of the Union (except for Transit). There are 2 components: Component 1 "GUM": The trans-european system will cover the management of the comprehensive guarantees that may be used in more than one Member State and the monitoring of the reference amount for each customs declaration, supplementary declaration or an appropriate information of the particulars needed for the entry in the accounts for the existing customs debts for all customs procedures as provided for in the Union Customs Code, except Transit which is handled as part of the NCTS project. Component 2 "National Guarantee Management": In addition, the electronic systems existing at national level to manage the guarantees valid in one Member State are to be upgraded. Special Procedures 2.6 UCC Special Procedures The UCC Special Procedures Harmonisation will aim to implement all changes required by the UCC, UCC DA and/or the UCC IA for Customs Warehousing, End-Use, Temporary Admission, Inward and Outward processing. The scope will be finalised on the basis of the final version of the UCC IA & DA. This project intends to provide IT support to accelerate and facilitate the Special Procedures. The project excludes the Transit procedure, which is subject to different projects and the Free-Zone, for which no IT development is envisaged because of its nature. UCC Special Procedures Harmonisation EXP Export UCC Special Procedures Harmonisation IMP Import UCC INF for Special Procedures: The UCC INF SP ensures the administrative cooperation and the standardised exchange of information between customs authorities across MS during the customs procedures of inward and outward processing. 7

Surveillance 3 2.7 UCC Surveillance 3 This project aims at providing an upgrade of the Surveillance 2+ system to ensure its alignment to the UCC requirements such as the standard exchange of information by electronic data-processing techniques and the establishment of adequate functionalities needed for processing and analyzing the full surveillance dataset obtained from Member States. Phase 1 The development will be implemented as 'SURV2 system evolution for BTI control' in fiche '1.4 UCC BTI'. This part concerns the extension of the collected and processed elements and the establishment of the functions needed for the control of BTI use for DG TAXUD and for MS Customs Authorities. Phase 2 The development concerns the establishment of functions needed for the further use of the collected data, implementation of further data mining capabilities and providing the necessary reporting functionalities needed by other Directorates-General and MS administrations. ICS2 for strengthening the Security of the Supply Chain of Entry 2. 8 UCC - ICS2 for strengthening the Security of the Supply Chain at Entry The goal of this project is to strengthen the safety and security of the supply chain for all modes of transport and especially air cargo, by means of improving data quality, data filing, data availability and data sharing as regards the entry summary declaration and related risk and control information (ENS+ lifecycle). The project will also facilitate the collaboration amongst Member States in the process of risk analysis. It will lead to a complete new architecture of the existing trans-european ICS system. ICS2 block 1.a: Given the large size of the programme, its ambitions and the available budget, it will be split into smaller workable blocks and implemented in an iterative and incremental way. ICS2 block 1.b and block 2: Considering the complexity of the programme and the current estimates in terms of cost, the rest of the programme is planned after 2020 and more in particular the following main blocks: full scaled Common Repository (block 1.b), rule engine for CRC category 1 (block 2.1.a), solution for data analytics (block 2.1.b), support for shared e-screening (block 2.2), integration of arrival and presentation notifications and controls result information (block 2.3). 8

Adjustments of the existing import applications under the UCC 2.10 Adjustments of the existing import applications under the UCC The scope of this project considers the MS request during the 2014 MASP review cycle to abandon the perspective of the 'concepts' introduced in the UCC and other modifications to IT-systems resulting from its implementation, and to focus on the effect the different initiatives will have on the existing national import applications, which will have to assume altered requirements and that will be aligned with the new legislation, be it through modification or extension of functionalities. EU Centralised Clearance for Import : CCI This projects aims to allow for goods to be placed under a customs procedure using centralised clearance, allowing economic operators to centralise their business from a customs viewpoint. The processing of the customs declaration and the physical release of the goods should be coordinated between the related customs offices. It concerns a trans-european system containing components developed centrally and nationally (initial MS and other MS). Proof of Union Status (PoUS) 2.12 UCC Proof of Union Status (PoUS) The PoUS project aims to provide an electronic means to endorse and store proofs of Union status of goods and to allow demonstration of proof and validation of the status of the goods when goods are re-entering the Customs territory of the Union. The PoUS system aims at the implementation of a new business process related to the issuing and presentation of T2L/T2LF documents replacing its paper form by electronic means and introducing an electronic customs goods manifest as a means to prove customs status of Union goods. Automation of these business processes includes the setup of an EIS for the exchange of data between Customs Authorities across MS. Uniform user management & digital signatures UUM & DS (Direct Trader Access to EIS) 4.6 UCC Uniform user management & digital signatures UUM & DS (Direct Trader Access to EIS) The UUM&DS Project aims to implement a system that allows Traders to access new EU-wide services, including central services, in line with the security policies, legal provisions and operational responsibilities. The UUM&DS Project has been initiated aiming at enabling the provision of a unique interface to a number of central services implemented by the EC for traders, therefore, effectively addressing the lack of harmonised interfaces for Trade and the redundant implementations of services of common functionality at MS-level. Support the use of electronic signatures. 9

References Commission, E. (2016). Union Customs Code. Opgehaald van Work Programmes: https://ec.europa.eu/taxation_customs/business/union-customs-code/ucc-workprogramme_en DG TAXUD. (2017). MASP Revision_2017 Annex2_Consolidated fiches_v1.4 for acceptance. CircaBc2017. 10