Inward Processing – goods imported from the UK for repair

Revenue eBrief No. 188/21

Inward Processing – goods imported from the UK for repair

A new section (2.6.1) has been added to the Tax and Duty Manual on Inward Processing, outlining the procedure for goods imported from the UK for repair provided for under the EU/UK Trade and Cooperation Agreement.


2.6.1 Goods imported from UK for repair
Under the EU/UK Trade and Cooperation Agreement (TCA) which was agreed in December 2020, goods imported into Ireland from the UK for repair can be imported with no duty or VAT on condition the goods fall under the definition of repair as outlined in the TCA (see below).

The Inward Processing procedure must be used in order to claim this exemption. Goods falling outside of the definition of repair, must also use the Inward Processing procedure, however the exemption will not apply, and duty and VAT will be taken on deposit until the goods are re-exported back to the UK.

Definition of Repair under the EU/UK Trade and Cooperation Agreement (TCA) (ARTICLE GOODS 8)
“repair” means any processing operation undertaken on a good to remedy operating defects or material damage and entailing the re-establishment of the good to its original function or to ensure compliance with technical requirements for its use. Repair of a good includes restoration and maintenance, with a possible increase in the value of the good from restoring the original functionality of that good, but does not include an operation or process that:

(i) destroys the essential characteristics of a good, or creates a new or commercially different good;
(ii) transforms an unfinished good into a finished good; or
(iii) is used to improve or upgrade the technical performance of a good.

Please use the codes listed below for the import and subsequent re-export declarations.
(Import) AIS customs declaration system
* D.E 1/10 – 5100
* D.E 2/2 – 00100. Also quote: ‘Simplified IP, Goods for repair under EU/UK TCA’.
* D.E 2/3 – 1C99 (exempt duty), and 1A99 (exempt VAT), or, if you have VAT postponement insert ‘1A05 IEPOSTPONED’.
(Export) AEP customs declaration system
* Box 37 – 3151
* Box 44 – quote ‘Goods repaired under EU/UK TCA’.