Customs and Excise Management Act 1979

• (2A) Where any documents or records removed under the powers conferred by subsection (2)(fc) or (j)above are lost or damaged the Commissioners shall be liable to compensate their owner for any expenses reasonably incurred by him in replacing or repairing the documents or records.

• (3) Warehousing regulations may make different provision for different cases, including different provision for different occupiers or descriptions of occupier, for warehouses or parts of warehouses of different descriptions or for goods of different classes or descriptions or of the same class or description in different circumstances.

• (4) Warehousing regulations may make provision about the removal of goods from one warehouse to another or from one part of a warehouse to another part or for treating goods remaining in a warehouse as if, for all or any prescribed purposes of the customs and excise Acts, they had been so removed; and regulations about the removal of goods may, for all or any prescribed purposes of those Acts, include provision for treating the goods as having been warehoused or removed from warehouse (where they would not otherwise be so treated).

• (5) Warehousing regulations made by virtue of paragraph (a) or (c) of subsection (2) above may also provide for the forfeiture of goods in the event of non-compliance with any condition or restriction imposed by virtue of that paragraph or in the event of the carrying out of any operation on warehoused goods which is not by virtue of the said paragraph (c) permitted to be carried out in warehouse.

• (5A) Warehousing regulations made by virtue of any of paragraphs (fa) to (fc) or (g) to (j) of subsection (2) above may also provide for the forfeiture of the goods in question in the event of any contravention of, or non-compliance with, any requirements imposed by or under the regulations with respect to any documents or records relating to prescribed goods.

• (6) If any person fails to comply with any warehousing regulation or with any condition restriction or requirement imposed under a warehousing regulation his failure to comply shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)..

• (7) In this section—

• (a) “prescribed” means prescribed by warehousing regulations;

• (b) references to goods which are required to be deposited in a warehouse are references to goods which have been entered for warehousing on importation, which have been removed from a producer’s premises for warehousing without payment of duty which are to be warehoused on drawback or which are otherwise to be treated by virtue of subsection (2)(da)(ii) above as goods which are required to be deposited in a warehouse.

Deficiency in warehoused goods

94

• (1) . . . , this section applies where goods have been warehoused and, before they are lawfully removed from warehouse in accordance with a proper clearance thereof, they are found to be missing or deficient.

• (2) ...

• (3) In any case where this section applies, unless it is shown to the satisfaction of the Commissioners that the absence of or deficiency in the goods can be accounted for by natural waste or other legitimate cause, the Commissioners may .

• (a) require the occupier of the warehouse or the proprietor of the goods to pay immediately any duty, other than excise duty, chargeable or deemed under warehousing regulations to be chargeable on the relevant goods or, in the case of goods warehoused on drawback which could not lawfully be entered for home use, an amount equal to any drawback or allowance of such duty paid in respect of the relevant goods;

• (b) assess, as being excise duty due from the occupier of the warehouse or the proprietor of the goods, the excise duty chargeable or deemed under warehousing regulations to be chargeable on the relevant goods or, in the case of goods warehoused on drawback which could not lawfully be entered for home use, an amount equal to any drawback or allowance of excise duty paid in respect of the relevant goods.

• (3A) Where the Commissioners make an assessment under subsection (3)(b) above they shall notify the person assessed or his representative accordingly.

• (4) If, on the written demand of an officer, the occupier of the warehouse or the proprietor of the goods refuses to pay any sum which he is required to pay under subsection (3)(a) above he shall in addition be liable on summary conviction to a penalty of double that sum.

• (4A) If—

• (a) the occupier of the warehouse or the proprietor of the goods refuses to pay any amount of excise duty to which he has been assessed under subsection (3)(b) above, and

• (b) the conditions set out in subsection (4B) below are fulfilled,

he shall be liable on summary conviction to a penalty of double that amount.

• (4B) The conditions are that—

• (a) the period of 30 days for accepting an offer of review under section 15C of the Finance Act 1994 or for appealing against the decision under section 16 of that Act has expired;

• (b) on any review under Chapter II of Part I of that Act the Commissioners’ decision (“the original decision”) in relation to the assessment has been confirmed (or treated as confirmed by virtue of section 15F(8) of that Act), or confirmed subject only to a reduction in the amount of duty due under the assessment; and

• (c) the final result of any appeal under section 16 of that Act, or of any further appeal, is that the original decision has been confirmed, subject only to any reduction in the amount of duty due under the assessment; and “final result” means the result of the last of any such appeals, against which no appeal may be made (whether because of expiry of time or for any other reason).

• (4C) Where the amount of excise duty due under subsection (3)(b) above is reduced in consequence of a review or appeal, the penalty to which the person assessed is liable under subsection (4A) above shall be a penalty of double the reduced amount.

• (5) This section has effect without prejudice to any penalty or forfeiture incurred under any other provision of the customs and excise Acts.

• (5A) In this section “the relevant goods” means the missing goods or the whole or any part of the deficiency, as the Commissioners see fit.

• (6) The preceding provisions of this section so far as they have effect for-

• (a) fixing the excise duty point for any goods chargeable with a duty of excise; or

• (b) determining the person on whom any liability to pay any such duty is to fall,

shall have effect subject to the provisions of any regulations under section 1 of the Finance (No. 2) Act 1992; and accordingly, the power to make regulations under that section shall include power, for the purposes of, or in connection with, the making of any provision falling within paragraph (a) or (b) above, to modify any of the preceding provisions of this section and the provisions of section 95 below.

Deficiency in goods occurring in course of removal from warehouse without payment of duty

95

• (1) Where any goods have been lawfully permitted to be taken from a warehouse without payment of duty for removal to another warehouse or to some other place, section 94 above shall, subject to subsection (2) below and to any such regulations as are mentioned in subsection (6) of that section, have effect in relation to those goods in the course of that removal as if those goods were still in warehouse.

• (1A) Subsection (1) applies in relation to goods that are alcoholic products as if references, in that subsection and in section 94, to a “warehouse” included references to premises in respect of which a person is authorised, under section 82 of the Finance (No. 2) Act 2023, to hold alcoholic products without payment of duty (and references to “warehoused” are to be construed accordingly).

• (1B) Subsection (1) applies (as modified by subsection (1A)) in relation to alcoholic products on which alcohol duty has been remitted as it applies to alcoholic products lawfully permitted to be taken from premises as mentioned in that subsection.

• (2) In its application in relation to any goods by virtue of subsection (1) , (1A) or (1B) above, section 94 above shall have effect as if the following provisions were omitted, namely—

• (a)

• (b) the references in subsections (3) , (4) and (4A) to the occupier of the warehouse.

Deficiency in certain goods moved by pipe-line

96

• (1) This section applies where goods of any of the following descriptions, that is to say—

• (a) goods which are chargeable with a duty which has not been paid;

• (b) goods on which duty has been repaid or remitted in whole or in part; and

• (c) goods on which drawback has been paid,

are moved by pipe-line, or notified to the proper officer as being goods to be moved by pipe-line, and are at any time thereafter found to be missing or deficient.

• (2) In any case where this section applies, unless it is shown to the satisfaction of the Commissioners that the absence of or deficiency in the goods can be accounted for by natural waste or other legitimate cause, the Commissioners may .

• (a) require the owner of the pipe-line or the proprietor of the goods to pay immediately any duty, other than excise duty, unpaid or repaid on the relevant goods or, as the case may be, an amount equal to any drawback of such duty paid on the relevant goods;

• (b) assess, as being excise duty due from the owner of the pipe-line or the proprietor of the goods, the excise duty unpaid or repaid on the relevant goods or, as the case may be, an amount equal to any drawback of excise duty paid on the relevant goods.

• (2A) Where the Commissioners make an assessment under subsection (2)(b) above they shall notify the person assessed or his representative accordingly.

• (3) If, on the written demand of an officer, any person refuses to pay any sum which he is required to pay under subsection (2)(a) above he shall in addition be liable on summary conviction to a penalty of double that sum.

• (3A) If—

• (a) any person refuses to pay any amount of excise duty to which he has been assessed under subsection (2)(b) above, and

• (b) the conditions set out in paragraphs (a) to (c) of section 94(4B) above (exhaustion of opportunities for review and appeal) are fulfilled,

he shall be liable on summary conviction to a penalty of double that amount.

• (3B) Where the amount of excise duty due under subsection (2)(b) above is reduced in consequence of a review or appeal, the penalty to which the person assessed is liable under subsection (3A) above shall be a penalty of double the reduced amount.

• (4) For the purposes of this section any absence or deficiency in the case of goods moved by a pipe-line used for the importation or exportation of goods shall be deemed to have taken place within the United Kingdom unless the contrary is shown.

• (5) This section has effect without prejudice to any penalty or forfeiture incurred under any other provision of the customs and excise Acts.

• (5A) In this section “the relevant goods” means the missing goods or the whole or any part of the deficiency, as the Commissioners see fit.

• (6) The preceding provisions of this section so far as they have effect for—

• (a) fixing the excise duty point for any goods chargeable with a duty of excise; or

• (b) determining the person on whom any liability to pay any such duty is to fall,

shall have effect subject to the provisions of any regulations under section 1 of the Finance (No. 2) Act 1992; and, accordingly, the power to make regulations under that section shall include power, for the purposes of, or in connection with, the making of any provision falling within paragraph (a) or (b) above, to modify any of the preceding provisions of this section.

Restriction on compensation for loss or damage to goods in, or for removal of goods from, warehouse or pipe-line

97

• (1) This section applies to—

• (a) any loss or damage caused to goods while in a warehouse or pipe-line; and

• (b) any unlawful removal of goods from a warehouse or pipe-line.

• (2) Subject to subsection (3) below, no compensation shall be payable by, and no action shall lie against, the Commissioners or any officer acting in the execution of his duty for any loss or damage to which this section applies or for any unlawful removal to which this section applies.

• (3) If any goods in a warehouse or pipe-line are destoyed, stolen or unlawfully removed by or with the assistance or connivance of an officer and that officer is convicted of the offence, then, except where the proprietor of the goods or the occupier of the warehouse or, as the case may be, the owner of the pipe-line was a party to the offence, the Commissioners shall pay compensation for any loss caused by any such destruction, theft or removal.

• (4) Where compensation is payable by virtue of subsection (3) above then, notwithstanding any provision of the Customs and Excise Acts 1979, no duty shall be payable on the goods by the proprietor of the goods or by the occupier of the warehouse or, as the case may be, the owner of the pipe-line, and any sum paid by way of duty on those goods by any of those persons before the conviction shall be repaid.

Procedure on warehouse ceasing to be approved

98

• (1) Where the Commissioners intend to revoke or not to renew their approval of a warehouse, they shall, not later than the beginning of the prescribed period ending with the date when the revocation is to take effect or the approval is due to expire, as the case may be, give notice of their intention, specifying therein the said date and, unless the notice has been withdrawn or extended, the warehouse shall cease to be approved on that date.

• (2) the notice shall be given in writing and shall be deemed to have been served on all persons interested in any goods then deposited in that warehouse, or permitted under the Customs and Excise Acts 1979 to be so deposited between the date of the giving of the notice and the date specified therein, if addressed to the occupier of, and left at, the warehouse.

• (3) If after the date on which the warehouse ceases to be approved any goods not duly cleared still remain in the former warehouse—

• (a) they may be taken by an officer to a Queen’s warehouse and, without prejudice to section 99(3) below, if they are not cleared from it within one month may be sold; or

• (b) if the Commissioners so allow, they may remain in the former warehouse and if they are not cleared from it within one month may be sold.

• (3A) Where in accordance with paragraph (b) above goods remain in the warehouse after the revocation or expiry of the Commissioners’ approval—

• (a) subsection (6) and (7) of section 99 below shall apply to them as if they were deposited in a Queen’s warehouse under the Customs and Excise Acts 1979; and

• (b) sections 93, 94, 95 and 97 above and section 100 below shall apply and any security given by bond or otherwise and any condition imposed by or under the customs and excise Acts shall continue to have effect, as if the former warehouse were still a warehouse.

• (4) In this section “the prescribed period” means the period of 3 months.

Provisions as to deposit in Queen's warehouse

99

• (1) The following provisions of this section shall have effect in relation to any goods which are deposited in a Queen’s warehouse under or by virtue of any provision of the Customs and Excise Acts 1979 or Part 1 of the Taxation (Cross-border Trade) Act 2018.

• (2) Such rent shall be payable while the goods are deposited as may be fixed by the Commissioners.

• (3) If the goods are of a combustible or inflammable nature or otherwise of such a character as to require special care or treatment—

• (a) they shall, in addition to any other charges payable thereon, be chargeble with such expenses for securing, watching and guarding them as the Commissioners see fit;

• (b) neither the Commissioners nor any officer shall be liable to make good any damage which the goods may have sustained; and

• (c) if the proprietor of the goods has not cleared them within a period of 14 days from the date of deposit, they may be sold by the Commissioners;

but, in the case of goods deposited by virtue of section 40(2) above, paragraph (c) above shall only apply if the goods are of a combustible or inflammable nature.

• (4) Save as permitted by or under the Customs and Excise Acts 1979 or Part 1 of the Taxation (Cross-border Trade) Act 2018, the goods shall not be removed from the warehouse until—

• (a) any duty chargeable thereon has been paid; and

• (b) any charges in respect thereof—

• (i) for their removal to the warehouse, and

• (ii) under subsections (2) and (3) above,

have been paid ...; and

• (c) the requirements made by or under Part 1 of the Taxation (Cross-border Trade) Act 2018 have been complied with.

• (5) The officer having the custody of the goods may refuse to allow them to be removed until it is shown to his satisfaction that any freight charges due thereon have been paid.

• (6) If the goods are sold under or by virtue of any provision of the Customs and Excise Acts 1979 or Part 1 of the Taxation (Cross-border Trade) Act 2018, the proceeds of sale shall be applied—

• (a) first, in paying any duty chargeable on the goods;

• (b) secondly, in defraying any such charges as are mentioned in subsection (4) above; and

• (c) thirdly, in defraying any charges for freight;

and if the person who was immediately before the sale the proprietor of the goods makes application in that behalf the remainder, if any, shall be paid over to him.

• (7) When the goods are authorised to be sold under or by virtue of any provision of the Customs and Excise Acts 1979 or Part 1 of the Taxation (Cross-border Trade) Act 2018 but cannot be sold—

• (a) if the goods are to be exported, for a sum sufficient to make the payment mentioned in paragraph (b) of subsection (6) above; or

• (b) in any other case, for a sum sufficient to make the payments mentioned in paragraphs (a) and (b) of that subsection,

the Commissioners may destroy the goods.

General offences relating to warehouses and warehoused goods

100

• (1) Any person who, except with the authority of the proper officer or for just and sufficient cause, opens any of the doors or locks of a warehouse or Queen’s warehouse or makes or obtains access to any such warehouse or to any goods warehoused therein shall be liable on summary conviction to a penalty of level 5 on the standard scale£20,000 and may be detained.

• (2) Where—

• (a) any goods which have been declared for a storage procedure or entered for warehousing or are otherwise required to be deposited in a warehouse are taken into the warehouse without the authority of, or otherwise than in accordance with any directions given by, the proper officer; or

• (b) save as permitted by the Customs and Excise Acts 1979 or by or under warehousing regulations, any goods which have been declared for a storage procedure or entered for warehousing or are otherwise required to be deposited in a warehouse are removed without being duly warehoused or are otherwise not duly warehoused; or

• (c) any goods which have been deposited in a warehouse or Queen’s warehouse are unlawfully removed therefrom or are unlawfully loaded into any vehicle for removal or for exportation or use as stores; or

• (d) any goods are concealed at a time before they are warehoused when they have been declared for a storage procedure or entered for warehousing or are otherwise required to be deposited in a warehouse or when they are required to be in the custody or under the control of the occupier of a warehouse; or

• (e) any goods which have been lawfully permitted to be removed from a warehouse or Queen’s warehouse without payment of duty for any purpose are not duly delivered at the destination to which they should have been taken in accordance with that permission,

those goods shall be liable to forfeiture.

• (3) If any person who took, removed, loaded or concealed any goods as mentioned in subsection (2) above did so with intent to defraud Her Majesty of any duty chargeable thereon or to evade any prohibition or restriction for the time being in force with respect thereto under or by virtue of any enactment, he shall be guilty of an offence under this subsection and may be detained.

• (4) A person guilty of an offence under subsection (3) above shall be liable—

• (a) on summary conviction, to a penalty of the prescribed sum £20,000 or of three times the value of the goods, whichever is the greater, or to imprisonment for a term not exceeding 6 months, or to both; or

• (b) on conviction on indictment, to a penalty of any amount, or to imprisonment for a term not exceeding 14 years, or to both.

• (5) In this section “warehouse”, except in the expression “Queen’s warehouse”, means a customs warehouse or an excise warehouse.

Part IX — Control of Excise Licence Trades and Revenue Traders

Excise licences—general provisions

Excise licences

101

• (1) An excise licence shall be in such form and contain such particulars as the Commissioners may direct and, subject to the provisions of any enactment relating to the licence or trade in question, may be granted by the proper officer on payment of any appropriate duty.

• (2) An excise licence for the carrying on of a trade shall be granted in respect of one set of premises only, but a licence for the same trade may be granted to the same person in respect of each of two or more sets of premises.

• (3) Where an excise licence trade is carried on at any set of premises by two or more persons in partnership, then, subject to the provisions of any enactment relating to the licence or trade in question, not more than one licence shall be required to be held by those persons in respect of those premises at any one time.

• (4) Without prejudice to any other requirement as to the production of licences contained in the Customs and Excise Acts 1979 or made by regulations under section 45 of the Taxation (Cross-border Trade) Act 2018, if any person who is the holder of an excise licence to carry on any trade or to manufacture or sell any goods fails to produce his licence for examination within one month after being so requested by an officer his failure shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)..

Payment for excise licences by cheque

102

• (1) Any government department or local authority having power to grant an excise licence may, if they think fit, grant the licence upon receipt of a cheque for the amount of any dutypayable thereon.

• (2) Where a licence is granted to any person on receipt of a cheque and the cheque is subsequently dishonoured, the licence shall be void as from the time when it was granted, and the department or authority who granted it shall send to that person, by letter sent by registered post or the recorded delivery service and addressed to him at the address given by him when applying for the licence, a notice requiring him to deliver up the licence within the period of 7 days from the date when the notice was posted.

• (3) If a person who has been required under subsection (2) above to deliver up a licence fails to comply with the requirement within the period mentioned in that subsection he shall be liable on summary conviction to a penalty of the following amount, that is to say—

• (a) where the licence is a gaming licence ..., a penalty of level 5 on the standard scale£20,000;

• (aa) where the licence is a licence under the Vehicle Excise and Registration Act 1994, a penalty of whichever is the greater of—

• (i) level 3 on the standard scale, or

• (ii) an amount equal to five times the annual rate of duty that was payable on the grant of the licence or would have been so payable if it had been taken out for a period of twelve months.

• (b) in any other case, a penalty of level 3 on the standard scale.

Renewal of excise licences

103

• (1) Subject to subsection (2) below, where a person who has taken out an excise licence issuable annually in respect of any trade takes out a fresh licence in respect of that trade for the next following licence year, then, subject to the provisions of any enactment relating to the licence or trade in question, the fresh licence shall bear the date of the day immediately following that on which the previous licence expires.

• (2) Where an application for the fresh licence is made after the day on which the previous licence expires or such later day as the Commissioners may in any case allow, the licence shall bear the date of the day when the application is made.

Transfer and removal of excise licence trades and licences

104

• (1) Subject to any provision of the Customs and Excise Acts 1979 or of any other enactment relating to the licence or trade in question, where the holder of an excise licence to carry on any trade dies, or where the holder of such a licence in respect of premises specified therein leaves those premises, the proper officer may transfer that licence in such manner as the Commissioners may direct, without any additional payment, to some other person for the remainder of the period for which the licence was granted.

• (2) Subject to any such provision as aforesaid, where any person who holds an excise licence in respect of any premises removes his trade to other premises on which it may be lawfully carried on, the proper officer may authorise in such manner as the Commissioners may direct the carrying on, without any additional payment other than any required to be paid by subsection (3) below, of that trade on those other premises for the remainder of the period for which the licence was granted.

• (3) Where, in a case falling within subsection (2) above, the amount of any duty payable on the grant of the licence was determined by reference to the annual value of the premises in respect of which it was granted and would have been greater if the licence had originally been granted in respect of the premises to which the trade is removed, such additional sum shall be payable as bears the same proportion to the difference as the remainder of the period for which the licence was granted bears to a year.

• (4) Notwithstanding anything in subsections (1) to (3) above, where by any other enactment relating to the licence or trade in question the authorisation of any court or other authority or the production of any certificate is required for such a transfer or removal of an excise licence trade as is mentioned in this section, no transfer or removal, of an excise licence to carry on that trade shall be granted unless it is shown to the satisfaction of the proper officer that the authorisation or certificate has been granted.

Certain sales permitted without excise licence

105

Offences in connection with certain excise licences

106

• (1) If any person holding an excise licence for the sale of any goods contravenes the terms of that licence, or sells otherwise than as he is authorised by the licence, or contravenes or fails to comply with any provision of the Customs and Excise Acts 1979 or any other Act applicable to the licence, then, if he does not thereby commit an offence under any other enactment, he shall be liable on summary conviction to a penalty of £50.

• (2) Subject to subsection (3) below, if in the case of any goods for the sale of which an excise licence is required, any person solicits or takes any order for any such goods otherwise than under the authority of the appropriate licence for their sale granted in respect of the premises at which the order is solicited or taken, he shall be liable on summary conviction to the same penalty as a person selling those goods without that licence

• (3) Subsection (2) above shall not apply—

• (a) in relation to a sale of goods in warehouse for which excise licence is by virtue of section 105 above not required ; or

• (b) to a bona fide traveller taking orders for goods which his employer is duly licensed to sell.

Power to require person carrying on excise licence trade to display sign

107

• (1) The Commissioners may require any person holding an excise licence to carry on any trade to affix to and maintain on the premises in respect of which the licence is granted, in such form and manner and containing such particulars as they may direct, a notification of the person to whom and the purpose for which the licence is granted.

• (2) If any person contravenes or fails to comply with any requirement made or direction given under this section his contravention or failure to comply shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties).

• (3) If any person not duly licensed to carry on an excise licence trade affixes to any premises any sign or notice purporting to show that he is so licensed his doing so shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties).

General provisions as to entries of premises, etc.

Making of entries

108

• (1) Where by or under the revenue trade provisions of the customs and excise Acts any person is required to make entry of any premises or article—

• (a) the entry shall be made in such form and manner and contain such particulars; and

• (b) the premises or article shall be, and be kept, marked in such manner,

as the Commissioners may direct.

• (2) No entry shall be valid unless the person by whom it was made—

• (a) had at the time of its making attained the age of 18 years; and

• (b) was at that time and is for the time being a true and real owner of the trade in respect of which the entry was made.

• (3) Where any person required to make entry is a body corporate—

• (a) the entry shall be signed by a director, general manager, secretary or other similar officer of the body and, except where authority for that person to sign has been given under the seal of the body, shall be made under that seal; and

• (b) both the body corporate and the person by whom the entry is signed shall be liable for all duties charged in respect of the trade to which the entry relates.

• (4) If any person making entry of any premises or article contravenes or fails to comply with any direction of the Commissioners given under this section with respect thereto, his contravention or failure to comply shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties).

New or further entries of same premises

109

• (1) The Commissioners may at any time, by notice in writing to the person by whom any existing entry was signed addressed to him at any premises entered by him, require a new entry to be made of any premises or article to which the existing entry relates, and the existing entry shall, without prejudice to any liability incurred, become void at the expiration of 14 days from the delivery of the notice.

• (2) Save as permitted by the Commissioners and subject to such conditions as they may impose, no premises or article of which entry has been made by any person shall, while that entry remains in force, be entered by any other person for any purpose of the revenue trade provisions of the customs and excise Acts, and any entry made in contravention of this subsection shall be void.

• (3) Where the person by whom entry has been made of any premises absconds or quits possession of the premises and discontinues the trade in respect of which the entry was made, and the Commissioners permit a further entry to be made of the premises by some other person, the former entry shall be deemed to have been withdrawn and shall be void.

Proof as to entries

110

For the purpose of any proceedings before any court, if any question arises as to whether or not entry under the revenue trade provisions of the customs and excise Acts has been made by any person, or of any premises or article, or for any purpose, then—

• (a) if a document purporting to be an original entry made by the person, or of the premises or article, or for the purpose, in question is produced to the court by an officer, that document shall, until the contrary is proved, be sufficient evidence that the entry was so made; and

• (b) if the officer in whose custody any such entry, if made, would be gives evidence that the original entries produced by him to the court constitute all those in his custody and that no such entry as is in question is among them, it shall be deemed, until the contrary is proved, that no such entry has been made.

Offences in connection with entries

111

• (1) If any person uses for any purpose of his trade any premises or article required by or under the revenue trade provisions of the customs and excise Acts to be entered for that purpose without entry having been duly made thereof, his use of the premises or article shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties), and anysuch article and any goods found on any such premises or in any such article shall be liable to forfeiture.

• (2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

General provision as to revenue traders

Power of entry upon premises, etc. of revenue traders

112

• (1) An officer may, subject to subsection (2) below, at any time enter upon any premises of which entry is made, or is required by or under the revenue trade provisions of the customs and excise Acts to be made, or any other premises owned or used by a revenue trader for the purposes of his trade and may inspect the premises and search for, examine and take account of any machinery vehicles, vessels, utensils, goods or materials belonging to or in any way connected with that trade.

• (2) Except in the case of such traders as are mentioned in subsection (3) below, no officer shall exercise the powers conferred on him by subsection (1) above by night unless he is accompanied by a constable.

• (3) Where any such premises as are mentioned in subsection (1) above are those of a a person who produces alcoholic products or vaping products, or an occupier of an excise warehouse, and an officer, after having demanded admission into the premises and declared his name and business at the entrance thereof, is not immediately admitted, that officer and any person acting in his aid may, subject to subsection (4) below, break open any door or window of the premises or break through any wall thereof for the purpose of obtaining admission.

• (4) No officer or person acting in his aid shall exercise the powers conferred on him by subsection (3) above by night unless he is accompanied by a constable.

• (5) Subsection (1) above applies to vehicles, ... hovercraft or structures in or from which tobacco products or vaping products are sold or dealt in or alcoholic products are sold by retail as it applies to premises.

• (6) This section applies to the occupier of a refinery as it applies to a person who produces alcoholic products, whether or not the occupier is a revenue trader.

• (7) For the purposes of subsection (1)—

• (a) it does not matter if the premises in question are owned or used partly for the purposes of the trade and partly for other purposes (including as a dwelling), but

• (b) the officer may not enter or inspect any part of the premises that is used solely as a dwelling.

• (8) Premises used to hold or store anything for the purposes of a revenue trader's trade are taken to be used by the revenue trader for the purposes of that trade, regardless of who owns or occupies the premises.

Power to search for concealed pipes, etc.

113

• (1) If an officer has reasonable grounds to suspect that any secret pipe or other means of conveyance, cock, vessel or utensil is kept or used by a revenue trader to whom this section applies, that officer may, subject to subsection (2) below, at any time, break open any part of the premises of that trader and forcibly enter thereon and so far as is reasonably necessary break up the ground in or adjoining those premises or any wall thereof to search for that pipe or other means of conveyance, cock, vessel or utensil.

• (2) No officer shall exercise the powers conferred on him by subsection (1) above by night unless he is accompanied by a constable.

• (3) If the officer finds any such pipe or other form of conveyance leading to or from the trader’s premises, he may enter any other premises from or into which it leads, and so far as is reasonably necessary break up any part of those other premises to trace its course, and may cut it away and turn any cock thereon, and examine whether it conveys or conceals any goods chargeable with a duty of excise, or any materials used in the manufacture of such goods, in such manner as to prevent a true account thereof from being taken.

• (4) Every such pipe or other means of conveyance, cock, vessel or utensil as aforesaid, and all goods chargeable with a duty of excise or materials for the manufacture of such goods found therein, shall be liable to forfeiture . . ..

• (5) If any damage is done in any such search as aforesaid and the search is unsuccessful, the Commissioners shall make good the damage.

• (6) The revenue traders to whom this section applies are persons who produce alcoholic products or vaping products.

• (7) This section also applies to the occupier of a refinery as it applies to the traders mentioned in subsection (6) above, whether or not the occupier is a revenue trader.

Power to prohibit use of certain substances in exciseable goods

114

• (1) If it appears to the satisfaction of the Commissioners that any substance , product or liquid is used, or is capable of being used, in the manufacture or preparation for sale of any goods chargeable, as goods manufactured or produced in the United Kingdom, with a duty of excise, and that that substance , product or liquid is of a noxious or detrimental nature or, being a chemical or artificial extract or product, may affect prejudicially the interests of the revenue, the Commissioners may by regulations prohibit the use of that substance , product or liquid in the manufacture or preparation for sale of any goods specified in the regulations.

• (2) If while any such regulations are in force any person knowingly uses a substance , product or liquid thereby prohibited in the manufacture or preparation for sale of any goods specified in the regulations his use of that substance , product or liquid in that manner shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties); but section 10 of that Act (exception for cases of reasonable excuse) shall not apply in relation to conduct attracting a penalty by virtue of this subsection.

• (3) Any substance , product or liquid the use of which is for the time being prohibited by any such regulations found in the possession of any person licensed for the manufacture or sale of any goods specified in the regulations, and any goods in the manufacture or preparation of which any substance, product or liquid has been used contrary to any such prohibition, shall be liable to forfeiture.

Power to keep specimen on premises of revenue traders

115

• (1) The proper officer may place and leave on the premises of a revenue trader a specimen, that is to say, a document in which may be entered any particulars relating to the trader’s trade from time to time recorded by that or any other officer.

• (2) Any such specimen shall be deposited at some place on premises entered by the trader where convenient access may be had thereto at any time by the trader and by any officer, and any officer may at any time remove the specimen and deposit a new one in its place.

• (3) Where any charge of duty made by an officer upon a trader is not recorded in a specimen, the officer shall, if so required in writing by the trader at the time when the officer takes his account for the purpose of charging duty, give to the trader a copy of the charge in writing under his hand.

• (4) If the revenue trader removes, conceals, withholds, damages or destroys a specimen, or alters, defaces, or obliterates any entry therein, his doing so shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties)..

• (5) For the purposes of subsection (4) above and without prejudice to section 10(1) of the Finance Act 1994 (exception for cases of reasonable excuse), conduct by an employee of the revenue trader or by any other person entitled to act on the trader’s behalf in connection with his trade shall be deemed to be conduct by that trader except in so far as he took all reasonable steps to prevent it.

Payment of excise duty by revenue traders

116

• (1) Every revenue trader shall pay any duty of excise payable in respect of his trade at or within such time, at such place and to such person as the Commissioners may direct whether or not payment of that duty has been secured by bond or otherwise.

• (2) If any duty payable is not paid in accordance with subsection (1) above, it shall be paid on demand made by the Commissioners either to the trader personally or by delivering the demand in writing at his place of abode or business.

• (3) If any duty is not paid on demand made under subsection (2) above the trader’s failure to pay the duty on demand shall attract a penalty under section 9 of the Finance Act 1994 (civil penalties) which shall be calculated by reference to the amount of the duty demanded and shall also attract daily penalties..

Execution and distress against revenue traders

117

• (1) Where any sum is owing by a revenue trader in respect of any . . . excise duty or of any relevant penalty, all the following things which are in the possession or custody of that trader or of any agent of his or of any other person on his behalf shall be liable to be taken in execution in default of the payment of that sum, that is to say—

• (a) all goods liable to any excise duty, whether or not that duty has been paid;

• (b) all materials for manufacturing or producing any such goods; and

• (c) all apparatus, equipment, machinery, tools, vessels and utensils for, or for preparing any such materials for, such manufacture or production, or by which the trade in respect of which the duty is imposed is carried on.

• (1A) In subsection (1) above as it applies in relation to a sum owing by a revenue trader in respect of lottery duty or of a relevant penalty—

• (a) references to goods liable to any excise duty include lottery tickets on the taking of which lottery duty will be chargeable, and

• (b) “the trade in respect of which the duty is imposed” includes any trade or business carried on by the revenue trader that consists of or includes the buying, selling, importation, exportation, dealing in or handling of tickets or chances on the taking of which lottery duty is or will be chargeable.

• (2) Subsection (1) above shall also apply in relation to things falling within paragraph (a), (b) or (c) of that subsection which, although they are not still in the possession or custody of the trader, an agent of his or other person on his behalf, were in such possession or custody—

• (a) at the time when the . . . excise duty was charged or became chargeable or at any time while it was owing; or

• (b) at the time of the commission of the offence for which the penalty was incurred.

• (3) Notwithstanding anything in subsection (1) or (2) above, but subject to subsection (4) below, where the proper officer has taken account of and charged any goods chargeable with any excise duty and those goods are in the ordinary course of trade sold for full and valuable consideration to a bona fide purchaser and delivered into his possession before the issue of any warrant or process for distress or seizure of the goods, those goods shall not be liable to be seized under this section.

• (4) Where any goods have been seized under this section, the burden of proof that the goods are by virtue of subsection (3) above not liable to be so seized shall lie upon the person claiming that they are not so liable.

• (4A) This section does not apply for the purposes of levying distress in accordance with regulations under section 51 of the Finance Act 1997 or for the purposes of any execution under section 52 of that Act by diligence.

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (7A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (8) In this section—

• . . .

• “relevant penalty” means a penalty incurred under the revenue trade provisions of the customs and excise Acts.

• (9) This section shall apply to Scotland subject to the following modifications—

• (a) in subsection (3) for the words from “issue” to the end there shall be substituted the words “granting of a warrant for the recovery of a sum owing by the revenue trader, those goods shall not be liable to be taken in execution under this section.”;

• (b) in subsection (4) for the word “seized” in both places where it occurs there shall be substituted the words “taken in execution”;

• (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (f) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (10) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Liability of ostensible owner or principal manager

118

Any person who acts ostensibly as the owner or who is a principal manager of the business of a revenue trader in respect of which entry of any premises or article has been made or who occupies or uses any entered premises or article shall, notwithstanding that he is under full age, be liable in like manner as the real and true owner of the business for all duties charged and all penalties incurred in respect of that business.

Part X — Duties and Drawbacks—General Provisions

General provisions relating to imported goods

Delivery of imported goods on giving of security for duty

119

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Regulations for determining origin of goods

120

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Power to impose restrictions where duty depends on certain matters other than use

121

Where any question as to the duties of customs or excise chargeable on any imported goods depends on any matter ... not reasonably ascertainable from an examination of the goods, and that question is not in law conclusively determined by the production of any certificate or other document, then, on the importation of those goods, the Commissioners may impose such conditions as they see fit for the prevention of abuse or the protection of the revenue (including conditions requiring security for the observance of any conditions so imposed).

Regulations where customs duty depends on use

122

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Repayment of duty where goods returned or destroyed by importer

123

• (1) Subject to such conditions as the Commissioners see fit to impose, where it is shown to the satisfaction of the Commissioners—

• (a) that goods were imported in pursuance of a contract of sale and that the description, quality, state or condition of the goods was not in accordance with the contract or that the goods were damaged in transit; and

• (b) that the importer with the consent of the seller either—

• (i) returned the goods unused to the seller and, if the export of the goods was required to be made in accordance with the applicable export provisions, the requirements were met; or

• (ii) destroyed the goods unused,

the importer shall be entitled to obtain from the Commissioners repayment of any excise duty paid on the importation of the goods.

• (2) Nothing in this section shall apply to goods imported on approval, or on sale or return, or on other similar terms.

Forfeiture for breach of certain conditions

124

• (1) Where—

• (a) any imported goods have been relieved from customs or excise duty chargeable by reference to their importation or have been charged with duty at a reduced rate; and

• (b) any condition or other obligation required to be complied with in connection with the relief or with the charge of duty at that rate is not complied with,

the goods shall be liable to forfeiture.

• (2) The provisions of this section shall apply whether or not any undertaking , security or other guarantee has been given for compliance with the condition or obligation or for the payment of the duty payable apart therefrom, and the forfeiture of any goods under this section shall not affect any liability of any person who has given any such undertaking , security or other guarantee.

Valuation of goods for purpose of ad valorem duties

125

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Charge of excise duty on manufactured or composite imported articles

126

• (1) Subject to subsections (2) to (4) below, if any imported goods contain as a part or ingredient thereof any article chargeable with excise duty, excise duty shall be chargeable on the goods in respect of each such article according to the quantity thereof appearing to the Commissioners to be used in the manufacture or preparation of the goods.

• (2) Where, in the opinion of the Treasury, it is necessary for the protection of the revenue, such imported goods shall be chargeable with the amount of excise duty with which they would be chargeable if they consisted wholly of the chargeable article or, if the goods contain more than one such article, of that one of the chargeable articles which will yield the highest amount of excise duty.

• (3) Schedule 2 to this Act shall have effect with respect to the excise duties to be charged, and the excise drawbacks to be allowed, on imported composite goods containing a dutiable part or ingredient and with respect to rebates and drawbacks of excise duties charged in accordance with that Schedule.

• (4) Subsections (1) and (2) above do not apply where other provision is made by any other enactment relating to excise duties on imported goods.

• (5) Any rebate which can be allowed by law on any article when separately charged shall be allowed in charging goods under subsection (1) or (2) above in respect of any quantity of that article used in the manufacture or preparation of the goods.

Determination of disputes as to duties on imported goods

127

General provisions relating to charge of duty on and delivery of goods

Restriction of delivery of goods

128

• (1) During any period not exceeding 3 months specified at any time by order of the Commissioners for the purposes of this section, the Commissioners may refuse to allow the removal for home use on payment of duty, or the sending out for home use after the charging of duty, of goods of any class or description chargeable with a duty of excise, notwithstanding payment of that duty, in quantities exceeding those which appear to the Commissioners to be reasonable in the circumstances.

• (2) Where the Commissioners have during any such period exercised their powers under this section with respect to goods of any class or description, then, in the case of any such goods which are removed or sent out for home use after the end of that period, the duties of excise and the rates thereof chargeable on those goods shall, notwithstanding any other provision of the customs and excise Acts relating to the determination of those duties and rates, be those in force at the date of the removal or sending out of the goods.

Power to remit or repay duty on denatured goods

129

• (1) Subject to subsection (2) below, where any goods—

• (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (b) which are chargeable with a a duty of excise the requirement to pay which has not yet taken effect,

have by reason of their state or condition ceased to be worth the full duty of excise chargeable thereon and have been denatured in such manner as the Commissioners may direct and in accordance with such conditions as they see fit to impose, the Commissioners may remit or repay the whole or part of any duty of excise chargeable or paid thereon, or waive repayment of the whole or part of any drawback paid on their warehousing, upon the delivery of the goods for use for such purposes as the Commissioners may allow.

• (1A) The reference in subsection (1) above to goods which are chargeable with a duty of excise the requirement to pay which has not yet taken effect shall be construed as a reference to any goods which are warehoused or ... to any goods at a time, before the excise duty point for those goods, when they are chargeable with such a duty.

• (2) Subsection (1) above does not apply in relation to spirits.

• (3) Where, whether under subsection (1) above or otherwise, any goods chargeable with duty have gone into home use after having been denatured by mixture with some other substance, any person who separates the goods from that other substance shall be guilty of an offence under this subsection and may be detained, and the goods shall be liable to forfeiture.

• (4) A person guilty of an offence under subsection (3) above shall be liable—

• (a) on summary conviction, to a penalty of the prescribed sum£20,000 or of three times the value of the goods, whichever is the greater, or to imprisonment for a term not exceeding 6 months, or to both; or

• (b) on conviction on indictment, to a penalty of any amount, or to imprisonment for a term not exceeding 2 years, or to both.

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Power to remit or repay duty on goods lost or destroyed, etc.

130

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Enforcement of bond in respect of goods removed without payment of duty

131

If any goods which have been lawfully permitted to be removed for any purpose without payment of excise duty are unlawfully taken from any ... vehicle or place before that purpose is accomplished, the Commissioners may if they see fit enforce any bond given in respect thereof notwithstanding that any time prescribed in the bond for accomplishing that purpose has not expired.

Drawback, allowances, duties, etc.—general

Extension of drawback

132

• (1) Without prejudice to any other provision of the Customs and Excise Acts 1979 or any other Act, where drawback is allowable on the shipment of any goods as stores, the like drawback shall, subject to such conditions and restrictions as the Commissioners see fit to impose, be allowed on the warehousing in an excise warehouse of those goods for use as stores.

• (2) Without prejudice to any other provision of the Customs and Excise Acts 1979 or any other Act, where drawback would be payable on the exportation of any goods, or on the warehousing of any goods for exportation, then, subject to such conditions and restrictions as the Commissioners see fit, the like drawback shall be payable on the shipment of any such goods as stores or, as the case may be, on their warehousing in an excise warehouse for use as stores.

General provisions as to claims for drawback

133

• (A1) This section applies in relation to any claim for drawback for the purposes of any excise duty.

• (1) Any claim for drawback shall be made in such form and manner and contain such particulars as the Commissioners may direct.

• (2) Where drawback has been claimed in the case of any goods subsections (4) to (6) below shall apply in relation to the claim.

• (3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4) No drawback shall be paid until the person entitled thereto or his agent has made a declaration in such form and manner and containing such particulars as the Commissioners may direct that the conditions on which the drawback is payable have been fulfilled.

• (5) The Commissioners may require any person who has been concerned at any stage with the goods or article—

• (a) to furnish such information as may be reasonably necessary to enable the Commissioners to determine whether duty has been duly paid and not drawn back and for enabling a calculation to be made of the amount of drawback payable; and

• (b) to produce any book of account or other document of whatever nature relating to the goods or article.

• (6) If any person fails to comply with any requirement made under subsection (5) above, he shall be liable on summary conviction to a penalty of level 3 on the standard scale.

Drawback and allowance on goods damaged or destroyed after shipment

134

• (A1) This section applies only for the purposes of excise duty.

• (1) Where it is proved to the satisfaction of the Commissioners that any goods after being duly shipped for exportation have been destroyed by accident on board the exporting ship or aircraft, any amount payable in respect of the goods by way of drawback, allowance or repayment of duty shall be payable in the same manner as if the goods had been exported to their destination.

• (2) Where it is proved to the satisfaction of the Commissioners that any goods, after being duly shipped for exportation, have been materially damaged by accident on board the exporting ship or aircraft, and the goods are with the consent of and in accordance with any conditions imposed by the Commissioners relanded or unloaded again in or brought back into the United Kingdom and either abandoned to the Commissioners or destroyed, any amount payable in respect of the goods by way of drawback, allowance or repayment of duty shall be paid as if they had been duly exported and not so relanded, unloaded or brought back.

• (3) Notwithstanding any provision of the Customs and Excise Acts 1979 or any other Act relating to the reimportation of exported goods, the person to whom any amount is payable or has been paid under subsection (2) above shall not be required to pay any duty in respect of any goods relanded, unloaded or brought back under that subsection.

Time limit on payment of drawback or allowance

135

No payment shall be made in respect of any drawback or allowance for the purposes of any excise duty unless the debenture or other document authorising payment is presented for payment within 2 years from the date of the event on the happening of which the drawback or allowance became payable.

Offences in connection with claims for drawback, etc.

136

• (1) If any person, with intent to defraud Her Majesty, obtains or attempts to obtain, or does anything whereby there might be obtained by any person, any amount by way of drawback, allowance, remission or repayment of, or any rebate from, any duty in respect of any goods which—

• (a) is not lawfully payable or allowable in respect thereof; or

• (b) is greater than the amount so payable or allowable,

he shall be guilty of an offence under this subsection.

• (1A) If any person, without such intent as is mentioned in subsection (1) above, does any of the things there mentioned, he shall be guilty of an offence under this subsection.

• (2) A person guilty of an offence under subsection (1) above shall be liable—

• (a) on summary conviction, to a penalty of the prescribed sum £20,000 or of three times the value of the goods, whichever is the greater, or to imprisonment for a term not exceeding 6 months, or to both; or

• (b) on conviction on indictment, to a penalty of any amount, or to imprisonment for a term not exceeding 14 years, or to both;

and a person guilty of an offence under subsection (1A) above shall be liable on summary conviction to a penalty of level 3 on the standard scale or three times the amount which was or might have been improperly obtained or allowed, whichever is the greater.

• (3) Any goods in respect of which an offence under subsection (1) or (1A) above is committed shall be liable to forfeiture; but in the case of a claim for drawback, the Commissioners may, if they see fit, instead of seizing the goods either refuse to allow any drawback thereon or allow only such drawback as they consider proper.

• (4) Without prejudice to the foregoing provisions of this section, if, in the case of any goods upon which a claim for drawback, allowance, remission or repayment of duty has been made, it is found that those goods do not correspond with any any declaration made thereof in connection with that claim, the goods shall be liable to forfeiture and any person by whom any such any declaration or claim was made shall be liable on summary conviction to a penalty of three times the amount claimed or level 3 on the standard scale, whichever is the greater.

• (5) Subsection (4) above applies in the case of any goods upon which a claim for drawback, allowance, remission or repayment of duty has been made where it is found that the goods, if sold for home use, would realise less than the amount claimed as it applies where the finding specified in that subsection is made except that it does not apply by virtue of this subsection to any claim under—

• (a) section 123 or 134(2) above; or

• (b) section 74 of the Finance (No. 2) Act 2023 (remission or repayment of duty on spoilt alcoholic products).

• (6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Recovery of duties and calculation of duties, drawbacks, etc.

137

• (1) Without prejudice to any other provision of the Customs and Excise Acts 1979, any amount due by way of ... excise duty may be recovered as a debt due to the Crown.

• (2) Any excise duty or drawback, allowance or rebate in relation to excise duty the rate of which is expressed by reference to a specified quantity or weight of any goods shall, subject to subsection (3) below, be chargeable or allowable on any fraction of that quantity or weight of the goods, and the amount payable or allowable on any such fraction shall be calculated proportionately.

• (3) The Commissioners may for the purposes of subsection (2) above determine the fractions to be taken into account in the case of any weight or quantity.

• (4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part XI — Detention of Persons, Forfeiture and Legal Proceedings

Detention of persons

Provisions as to detention of persons

138

• (1) Any person who has committed, or whom there are reasonable grounds to suspect of having committed, any offence for which he is liable to be detained under the customs and excise Acts may be detained by any officer or any member of Her Majesty’s armed forces or coastguard at any time within 20 years from the date of the commission of the offence.

• (2) Where it was not practicable to detain any person so liable at the time of the commission of the offence, or where any such person having been then or subsequently detained for that offence has escaped, he may be detained by any officer or any member of Her Majesty’s armed forces or coastguard at any time and may be proceeded against in like manner as if the offence had been committed at the date when he was finally detained.

• (3) Where any person who is a member of the crew of any ship in Her Majesty’s employment or service is detained by an officer for an offence under the customs and excise Acts, the commanding officer of the ship shall, if so required by the detaining officer, keep that person secured on board that ship until he can be brought before a court and shall then deliver him up to the proper officer.

• (4) Where any person has been arrested by a person who is not an officer—

• (a) by virtue of this section; or

• (b) by virtue of section 24 or 24A of the Police and Criminal Evidence Act 1984 in its application to offences under the customs and excise Acts, or

• (c) by virtue of Article 26 or 26A of the Police and Criminal Evidence (Northern Ireland) Order 1989 in its application to such offences,

the person arresting him shall give notice of the arrest to an officer at the nearest convenient office of customs and excise.

Forfeiture

Provisions as to detention, seizure and condemnation of goods, etc.

139

• (1) Any thing liable to forfeiture under the customs and excise Acts may be seized or detained by any officer or constable or any member of Her Majesty’s armed forces or coastguard.

• (1A) A person mentioned in subsection (1) who reasonably suspects that any thing may be liable to forfeiture under the customs and excise Acts may detain that thing.

• (1B) References in this section and Schedule 2A to a thing detained as liable to forfeiture under the customs and excise Acts include a thing detained under subsection (1A).

• (2) Where any thing is seized or detained as liable to forfeiture under the customs and excise Acts by a person other than an officer, that person shall, subject to subsection (3) below, deliver that thing to an officer .

• (3) Where the person seizing or detaining any thing as liable to forfeiture under the customs and excise Acts is a constable and that thing is or may be required for use in connection with any proceedings to be brought otherwise than under those Acts it may, subject to subsection (4) below, be retained in the custody of the police until either those proceedings are completed or it is decided that no such proceedings shall be brought.

• (4) The following provisions apply in relation to things retained in the custody of the police by virtue of subsection (3) above, that is to say—

• (a) notice in writing of the seizure or detention and of the intention to retain the thing in question in the custody of the police, together with full particulars as to that thing, shall be given to an officer ;

• (b) any officer shall be permitted to examine that thing and take account thereof at any time while it remains in the custody of the police;

• (c) nothing in section 31 of the Police (Northern Ireland) Act 1998 shall apply in relation to that thing.

• (5) Subject to subsections (3) and (4) above and to Schedules 2A and 3 to this Act, any thing seized or detained under the customs and excise Acts shall, pending the determination as to its forfeiture or disposal, be dealt with, and, if condemned or deemed to have been condemned or forfeited, shall be disposed of in such manner as the Commissioners may direct.

• (5A) Schedule 2A contains supplementary provisions relating to the detention of things as liable to forfeiture under the customs and excise Acts.

• (6) Schedule 3 to this Act shall have effect for the purpose of forfeitures, and of proceedings for the condemnation of any thing as being forfeited, under the customs and excise Acts.

• (7) If any person, not being an officer, by whom any thing is seized or detained or who has custody thereof after its seizure or detention, fails to comply with any requirement of this section or with any direction of the Commissioners given thereunder, he shall be liable on summary conviction to a penalty of level 2 on the standard scale.

• (8) Subsections (2) to (7) above shall apply in relation to any dutiable goods seized or detained by any person other than an officer notwithstanding that they were not so seized as liable to forfeiture under the customs and excise Acts.

Forfeiture of spirits

140

Where, by any provision of, or of any instrument made under, the Customs and Excise Acts 1979, any spirits become liable to forfeiture by reason of some offence committed by a revenue trader, then—

• (a) where that provision specifies the quantity of those spirits but does not specify the spirits so liable, the Commissioners may seize the equivalent of that quantity from any spirits in the stock of that trader; and

• (b) where that provision specifies the spirits so liable the Commissioners may, if they think fit, seize instead of the spirits so specified an equivalent quantity of any other spirits in the stock of that trader.

Forfeiture of ships, etc. used in connection with goods liable to forfeiture

141

• (1) Without prejudice to any other provision of the Customs and Excise Acts 1979, where any thing has become liable to forfeiture under the customs and excise Acts—

• (a) any ... vehicle, animal, container (including any article of passengers’ baggage) or other thing whatsoever which has been used for the carriage, handling, deposit or concealment of the thing so liable to forfeiture, either at a time when it was so liable or for the purposes of the commission of the offence for which it later became so liable; and

• (b) any other thing mixed, packed or found with the thing so liable,

shall also be liable to forfeiture.

• (2) Where any ... vehicle or animal has become liable to forfeiture under the customs and excise Acts, whether by virtue of subsection (1) above or otherwise, all tackle, apparel or furniture thereof shall also be liable to forfeiture.

• (3) Where any of the following, that is to say—

• (a) any ship not exceeding 100 tons register;

• (aa) any railway vehicle;

• (b) any aircraft; or

• (c) any hovercraft,

becomes liable to forfeiture under this section by reason of having been used in the importation, exportation or carriage of goods contrary to or for the purpose of contravening any prohibition or restriction for the time being in force with respect to those goods, or without payment having been made of, or security given for, any duty payable thereon, the owner and the vehicle operator shall each be liable on summary conviction to a penalty equal to the value of the ship, aircraft or hovercraft or level 5 on the standard scale£20,000, whichever is the less.

Special provision as to forfeiture of larger ships

142

• (1) Notwithstanding any other provision of the Customs and Excise Acts 1979, a ship of 250 or more tons register shall not be liable to forfeiture under or by virtue of any provision of the Customs and Excise Acts 1979, except under section 88 above, unless the offence in respect of or in connection with which the forfeiture is claimed—