Excise Movement and Control System (EMCS) is a computer system which captures and processes information in respect of all movements of excise goods in duty suspension within the European Union (EU). On 1 January 2011 EMCS replaced the paper Administrative Accompanying Document (AAD) and paper W8 for intra-UK duty suspended movements (except for energy products and movements eligible for simplified procedures under Part 9 of The Excise Goods (Holding, Movement and Duty Point) Regulations 2010).
Background to EMCS
Getting started with EMCS
Managing your EMCS
Different trading roles
EMCS and exporting to non-EU countries
Additional EMCS guidance
An analysis of EU procedures across the EU identified weaknesses in the paper based AAD system. A recommendation to introduce an online system to capture and monitor the movement of excise goods under duty suspension was agreed by all Member States in June 2003.
A European Council Directive (2008/118/EEC) provides the legal framework for EMCS.
From 1 January 2011 traders must use EMCS for all movement of duty suspended excise goods within the EU. EMCS must also be used for all intra-UK movements except for movements of energy products and those meeting the criteria for simplified procedures as defined in Part 9 of The Excise Goods (Holding, Movement and Duty Point) Regulations 2010. A link to the regulations is provided below.
EMCS captures and processes AAD information online and it validates data and allows real time notification of dispatch and receipt of duty suspended excise goods. Authorised warehousekeepers, Registered Consignors, Registered Consignees and Temporary Registered Consignees can exchange messages online containing specific consignment and movement information with their trading counterparts throughout the EU.
EMCS links over 150,000 traders in 27 national administrations across the EU. Each Member State has developed their own national EMCS application and these systems are linked to all other Member States through a central domain, maintained by the European Commission.
The Excise Goods (Holding, Movement and Duty Point) Regulations 2010 (Opens new window)
All Member States are committed to delivering the various elements of EMCS in stages by the dates shown below. The Phasing and Scope Specification (PSS) document released by the Commission gives additional information about the EMCS roll-out strategy. A link to the Commissions website, where the document is held, is provided below.
Phasing and Scope Specification (Opens new window)
EMCS is being introduced in the following stages :
The European Commission developed the EMCS Business Prototype (BPR). This is a useful tool that illustrates how EMCS operates and is available from the Commission website which you can access using the link below.
EMCS in Practice (Opens new window)
You can also see an overview of the standard process which covers most EMCS movements using the link below.
EMCS allows for the secure online transmission of data between all parties and immediate validation of the electronic Administrative Document (eAD). This makes sure that before duty suspended excise goods are dispatched the consignee is approved to receive the goods. On screen validation and 'core checks' help minimise the risk of incorrect data being placed on the system. EMCS also reduces the scope for excise fraud as it allows both Member States and traders to monitor movements online in real time.
There are a number of options available to you. You can:
A number of commercial software suppliers have tested their products with HMRC and, when they have tested successfully, HMRC lists them for your information on its website. If you would like to see the latest list of these products, please follow the link below.
If you would like further information about developing your own in-house system please contact the Software Developer Support Team (SDST). Details of how to contact SDST can be found by using the following link.
Software Developers Support Team
Before you can use EMCS you will first have to register and enrol for HMRC Online Services. You will also need a System for the Exchange of Excise Data (SEED) registration which provides you with an Excise ID number (also referred to as the 'Excise Registration Number'). Your Excise ID number can be found on the letter/certificate that approves you to dispatch and/or receive excise goods under suspension arrangements. You will then be able to add EMCS to the list of HMRC Online Services you can access.
Please note: most businesses trading in duty suspended excise goods after 1 January 2011 must have a valid Excise ID Number and must be registered and enrolled for EMCS. However, EMCS does not need to be used for intra-UK movements of energy products or intra-UK movements meeting the criteria for simplified procedures as defined in Part 9 of The Excise Goods (Holding, Movement and Duty Point) Regulations 2010.
If you don't dispatch or receive excise goods under duty suspension, or EMCS does not need to be used for the type of movements you make, you do not need an Excise ID number and you do not need to use EMCS.
To find out more information about SEED, and the Excise ID number, please select the link below.
System for the Exchange of Excise Data (SEED)
If EMCS is required for the duty suspended movements you make, once you have your Excise ID number, the action you will need to take to register and enrol for EMCS will depend on whether you are a new or existing user of HMRC Online Services.
You must register for HMRC Online Services through the HMRC website which you can access at the link below.
Then follow the instructions below:
Log on to HMRC Online Services using the following link and then follow the actions set out below:
Additional information about registering and enrolling for HMRC Online Services is available at the following link:
Registration & Enrolment FAQ's
The process for enrolling for EMCS is different to that for Alcohol and Tobacco Warehousing Declarations (ATWD).
In the UK there are a range of authorisations for persons that can hold, dispatch and receive duty suspended goods such as warehousekeepers, Registered Consignors, Registered Consignees and Temporary Registered Consignees. The correct ERN to use for each role is shown below.
To register and enrol for EMCS, warehousekeepers must use the warehousekeeper excise ID. This is the 13 alpha-numeric character reference that normally starts with 'GBWK' and can be found on your 'approval' letter. You should not use the warehouse excise ID for enrolment for EMCS as this relates to a 'physical premises' not the 'authorised person'.
The warehousekeeper excise ID should be used in EMCS for the consignor/consignee reference.
The warehouse excise ID should be used in EMCS for the place of dispatch/place of delivery.
Registered Consignees, Registered Consignors and Temporary Registered Consignees have a single 13 alpha numeric Excise Registration Identification which they must use to register and enrol for EMCS.
If you have registered using your warehouse excise ID instead of warehousekeeper excise ID you will need to de-enrol for the service.
To de-enrol for EMCS log on to HMRC Online Services using the link below, and then complete the following steps:
You can now re-enrol with the warehousekeeper excise ID on the 'Your HMRC Services' page.
When you have registered, enrolled and activated EMCS you will be able to:
The first person from an organisation to register with HMRC Online Services is an Administrator with full access rights to manage their Online Service Organisation account. This person can add other members of their organisation onto the service either as a fellow Administrator (peer) with the same rights to access and manage online services, or as an Assistant with a restricted subset of access rights.
You can only add 'Administrators and Assistants' by visiting the Government Gateway website and you will need your HMRC Online Services user ID and password. When you have accessed the Government Gateway you have the option to:
You can access the Government Gateway using the link below.
Government Gateway (Opens new window)
The Excise Goods (Holding, Movement and Duty Point) Regulations 2010 (Part 4) came into force on 1 April 2010 and legislated for the new class of excise trader known as a Registered Consignor with effect from 1 January 2011.
A Registered Consignor is a natural or legal person authorised by the competent authorities of the Member State of importation, who, in the course of their business and under the conditions fixed by those authorities, dispatches excise goods under an excise duty suspension arrangement, upon their release for free circulation.
On 1 January 2011 the requirements for moving excise goods from the place of release to free circulation (that is, the port of importation or place of removal from a customs suspensive regime) changed.
Only a Registered Consignor is able to start a duty suspended movement on release of excise goods to free circulation. Duty suspended movements can only start after the import declaration has been made, accepted and the goods have been released from Customs control.
To apply to be a Registered Consignor you will need to complete an application form for HMRC consideration. The Registered Consignor application form (reference EX72) can be found on the HMRC 'find a form' page using the link below, under the 'Excise forms' section.
On 1 April 2010 the REDS and Occasional Importer arrangements were replaced by the Registered Consignee and Temporary Registered Consignee (TRC) arrangements.
As with the previous REDS arrangements, both the Registered Consignee and TRC need prior approval from HMRC. Once approved, they can receive goods dispatched from another Member State under duty suspension arrangements but can not hold or dispatch duty suspended goods.
Registered Consignees and TRCs must also be able to receive notification of goods intended for them and discharge those movements online using EMCS. These traders must register and enrol for EMCS.
All the legal requirements of EMCS apply to both direct and indirect exports of duty suspended excise goods. The customs export declaration is a separate procedure and does not replace EMCS requirements.
Further details regarding direct and indirect exports can be found in the revised edition of Public Notice 197 which came into force in October 2012.
Before you remove excise goods from the excise warehouse, you must ensure that you have completed an eAD and received the Administrative Reference Code (ARC). Completing the eAD for export movements is the same as for all other excise duty suspended movements. However, certain information fields need to be completed as follows:
List of EU customs offices (Opens new window)
You can make the export declaration before, or at the time the goods arrive at the place of exit from the UK. Alternatively this may be done using LCP if you are authorised to do so.
You must make sure that the eAD and the export declaration are cross referenced. A Customs Information Paper (CIP 10/70) has been published outlining the requirement to show the ARC or Local Reference Number (LRN) if the movement is started under fallback procedures, in box 40 of the export declaration. Follow the link to Customs Information Paper 10/70 below.
HMRC Customs Information Paper (CIP 10/70)
You need to complete the three fields in Box 40 as follows:
You can amend the export declaration at any time prior to the departure message being received.
Note: for exports started under fallback procedures:
In addition and for indirect exports only, box 29 of the export declaration must be completed. Volume 3 Part 1 of the Integrated Tariff gives details of how to complete this box.
HMRC will not send a report of export message via EMCS to UK warehousekeepers as proof that the goods have left the territory of the UK or EU. HMRC expect that in the spring of 2011, IT enhancements will allow the report of export to be sent to the warehousekeeper. More information will be published when any decisions are made.
Warehousekeepers of dispatch need to obtain and keep commercial evidence that the goods have left the territory of the UK or EU. If the warehousekeeper of dispatch is not the exporter of the goods, the exporter or the person who made the export declaration must provide the warehousekeeper of dispatch with suitable commercial evidence of export. This evidence should include the export declaration Movement Reference Number (MRN).
HMRC will examine this evidence during their audits. Where the evidence is not available when requested or found to be false, the person who provided the movement guarantee will be liable to pay any duty due.
EMCS will automatically update the status of the movement five weeks after the date of dispatch and close the movement on EMCS. The warehousekeeper does not need to take any further action.
It is important to note however that this automatic closure does not constitute evidence that the goods have left the territory of the EU.
Any irregularities discovered during the movement should be detailed on the commercial evidence of export held by the dispatching warehousekeeper.
Duty is payable on deficiencies where the loss is not accidental or due to natural causes. HMRC will issue an assessment for any duty due.
HMRC may remit the duty providing all the following apply:
There are some circumstances when a direct export from the UK - which is one where goods leave the territory of the EU directly from the UK - may be moved to the place of exit in the UK without completing an eAD. You do not need to complete an eAD if all the following conditions are met:
Warehousekeepers of dispatch should obtain and keep commercial evidence that the goods have left the territory of the UK/EU. This should be the notification of departure and, at the very least, this evidence should detail the export declaration Movement Reference Number (MRN).
Further details regarding direct and indirect exports can be found in the revised edition of Public Notice 197 which came into force in October 2012.
