Tax Appeals Commission determination 178TACD2020 regarding Customs and Excise, 2020

• Administrative Decision Number: 178TACD2020
• Date: 01 July 2010
• Subject Matter: Customs and Excise
• Respondent: THE REVENUE COMMISSIONERS

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Appeal No. 178TACD2020

Between/

[REDACTED]

Appellant

-and-

THE REVENUE COMMISSIONERS

Respondent

DETERMINATION

A. Introduction

1. This appeal is against a decision by the Respondent that the Appellant is liable to pay customs

duty of €25,609.85 in respect of the years 2010, 2011 and 2012 as a result of what the Respondent

alleges were incorrect claims for refunds submitted by the Appellant and granted by the

Respondent under the Inward Processing Drawback system during the years under appeal.

B. Facts and correspondence relevant to the Appeal

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2. The Appellant is a manufacturer of [TYPE OF ALCOHOLIC BEVERAGE]. As part of its business, it

imports Chinese-made drinking glasses which are used in the preparation of gift packs of [TYPE

OF ALCOHOLIC BEVERAGE] which are then exported outside the European Union.

3. The Appellant operates the Inward Processing (Drawback) system in relation to the import of the

glasses. The Inward Processing (Drawback) system allows the Appellant to claim relief against

customs duty by permitting it to import certain goods, up to specified quantities, pay the customs

duty thereon, and then reclaim the duty paid when those goods are incorporated in the finished

gift packs and exported.

4. The Appellant was permitted to operate the Inward Processing (Drawback) system on foot of

Authorisations granted by the Respondent pursuant to the provisions of Articles 114 to 129 of

Council Regulation 2913/92 (hereinafter “the Customs Code”) and Articles 496 to 502 and Articles

549 to 567 of Commission Regulation 2454/93, which contains provisions governing the

implementation of the Customs Code. These Authorisations are granted by the Respondent

following an application made by an importer for authorisation to operate the scheme. An

application for an Authorisation is made by an importer to the Respondent’s Economic Procedures

Unit in Nenagh, which requests the local Customs & Excise Control Officer to examine the

application prior to granting the Authorisation.

5. For the period under appeal, the Appellant was entitled to claim drawback under two separate

Authorisations; Authorisation [AUTHORISATION NUMBER 1], which covered the period from the

1st of July 2007 to the 30th of June 2010, and Authorisation [AUTHORISATION NUMBER 2], which

covered the period from the 1st of July 2010 to the 1st of July 2013. A previous Authorisation,

[AUTHORISATION NUMBER 3] covered a period from 2005 to the 30th of June 2007 and a

subsequent Authorisation, [AUTHORISATION NUMBER 4], covered the period from the 1st of July

2013 to the 30th of April 2016, but these are not directly relevant to the years the subject matter

of this appeal.