The Customs Declaration Service – Imports Immediate Payment, Cash Accounts and Deferment Accounts

BY:

Bernard O'Connor
24 August 2022

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There are three distinct differences between CDS and CHIEF when it comes to paying duties and taxes to HMRC....

CHIEF doesn’t allow direct payments. CDS does.

CHIEF doesn’t have importer cash accounts. CDS does.

CHIEF doesn’t allow Deferment account top-ups. CDS does.

Immediate Payment


You can use this service to settle your customs debt if you don’t want to use your cash account and you do not have a deferment account. It is very simply to use, and the service can be accessed here.


Pay for imports declared using the Customs Declaration Service - GOV.UK (www.gov.uk)


You will need to have the CDSI reference number which would have been generated by CDS when the import declaration was accepted.


You can pay by online banking and the funds should be with HMRC within 2 hours.

When paying by CHAPS or corporate credit/debit card, the payment should be with HMRC by the next day.


However, if you use BACS, the payment will take three working days.

 

Cash Account


All importers that have subscribed to CDS are automatically allocated a cash account. An empty bank account to which you add funds.


You can use this service to put money in your cash account prior to completing the import declaration. Again, it is simple to use, and the service can be accessed here.


Paying into your Customs Declaration Service cash account - GOV.UK (www.gov.uk)


You will need to have your CDSC payment reference number which you will find within your financial dashboard. It will begin with CDSC followed by your 11-digit cash account number.


Again, you can pay by online banking (2 hours), CHAPS or corporate credit/debit card (next day).

However, if you use BACS, the payment will take three working days.


Using the cash account service in advance of completing the import declaration means that when the entry is accepted on CDS, the funds will be taken from your cash account and the declaration will obtain immediate clearance (unless of course it is selected for a documentary check or physical examination).

 

Deferment Account


If you have a duty deferment account which you are using for your CHIEF import declarations, it will operate in the same way under CDS, with one exception. If your deferment account is getting close to its limit, you can simply top it up. The service can be accessed here.


Top-up your duty deferment account using the Customs Declaration Service - GOV.UK (www.gov.uk)


You will need to have your CDSD payment reference number which will begin with CDSD followed by your 7-digit Deferment Account Number.


Again, you can pay by online banking (2 hours), CHAPS or corporate credit/debit card (next day).

However, if you use BACS, the payment will take three working days.

 

Remember

You can only use the payment method that has been declared on the import customs declaration.


So, if your customs broker has selected “immediate payment” you cannot pay using your cash account.

CDS does not permit a method of payment to be changed on a customs declaration.


Strong & Herd CDS Resources and Training

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Practical and clear advice and assistance for importers , exporters , agents and those that are completing their own declarations.


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CDS is a major change to the way in which customs declarations are made, and this course provides detailed information on the changes.







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