Systematically receiving excise goods under duty suspension arrangements from other Member States
In order to systematically receive goods, which are subject to special excise duties under duty-suspension arrangements, from other EU member states, in the Republic of Cyprus, one needs to obtain a “Registered Consignee” authorization by the Department of Customs and Excise, of the Ministry of Finance.
The term “Registered Consignee” refers to the natural or legal person, who is registered and authorized by the Director of Customs and Excise, in the course of his/hers business, to receive (can neither hold nor dispatch) harmonized goods from another Member State which are transported under excise duty suspension arrangements, payable upon receipt and no later than the working day after their arrival of the goods.
Who is Eligible
The Department of Customs and Excise grants a licence for Registered Consignees to natural persons or legal entities, only in cases where the Department is satisfied that they meet the following criteria:
- registration to the Registrar of Companies and Official Receiver (in case of legal entities);
- registration to the VAT Registrar;
- registration to Customs Registrar.
Where to Apply
The application for a Registered Consignee can be submitted either through the PSC Cyprus or by contacting directly the local Department of Customs and Excise Office.
Which Certificates must be Submitted
The application should be accompanied by the following original or authorised copies of documents, with the exception of the documents in points (e) and (f) below, where copies can be accepted instead:
(a) Identity card in case of natural persons;
(b) Certificate of Incorporation issued by the Registrar of Companies and Official Receiver (in case of legal person);
(c) Certificate of Registered Office Address issued by the Registrar of Companies and Official Receiver (in case of legal person);
(d) Certificate related to the responsible personnel of the company, their status and responsibilities in the company issued by the Registrar of Companies and Official Receiver;
(e) Certificate of VAT Registration;
(f) Certificate of Customs Registration;
(g) Data regarding the accounting system of the company, the internal control measures, and the accounting control methods;
(h) Formal declaration that the activity run by the said company, in relation to the goods received, is not occasional;
(i) Other relevant licences that the applicant holds;
(j) or Any other relevant certificate, document or data that may be deemed necessary by the Director of the Customs and Excise with respect to the evaluation of the application.
Fees Applicable & How to Pay
Upon approval, the applicant needs to deposit a guarantee, in accordance with the excise duty and VAT attributable to each delivery of products.
There are no application fees.
The applicant is informed regarding the decision to grant the permit or not within three months from the date that the application form and supporting documents were duly submitted. The authorization shall not be deemed to have been granted if the Department of Customs and Excise has not replied within the period specified.
Licence Validity Period
The licence for registered consignee is valid for an unlimited time period and does not need to be renewed.
Dispute with the Competent Authority's Decision
How to File an Administrative Action
Administrative Action Against a Competent Authority’s Decision
Any person may file an Administrative Action at the Administrative court against a decision, act or omission of any competent authority or body.
Pursuant to Article 146 of the Constitution, an Administrative Action may be lodged within 75 days from the date of the decision or act or omission or from the day when such decision or act or omission was notified to the applicant.
The Administrative Court acts as a cassation Court and not as a substantive Court. In other words, the Administrative Court may:
I. Dismiss the Administrative Action
II. Annul wholly or partially the contested decision or act
III. Compel the relevant authority or body to take a certain action
After a decision is annulled, the authority and/or public body must reverse things back to the state prior to when the concerned decision and/or act was executed and reexamine.
How to Appeal
An Appeal may be filed against the Administrative Court’s first-instance decision within a period of 42 days from the date such decision was given.
At the Supreme Court (Court of Appeal Section) hearing, the contested issue of the appeal remains the legality of the decision or act already adjudicated for. However, such revision of the legality of the decision or act is solely examined on the matters and the extent that the two parties have limited the reasons in the relevant notice of appeal.
The decision adopted by the Supreme Court is considered final in relation to the matter that has been judged.
Legislation & Obligations
Which Laws and Regulations Apply
What are my Obligations
Registered Consignees are obliged to comply with the provisions of the Excise Duties Law 91(I) / 2004, Regulations and Orders, as periodically amended, as well as with the terms and conditions of the license obtained.
Indicatively, registered consignees need to conform to the following:
- provide guarantee (bank or from an approved insurance organization), prior to the dispatch of the harmonized goods, for the payment of the relevant excise duties and VAT;
- to submit in the “Excise Movement Control System”, E.M.C.S., the report of receipt without delay and in any case no later than five working days from the completion of the movement of the excise goods, except in cases where it is duly justified by the Department of Customs & Excise;
- keep records regarding the products received along with all the relevant administrative documents;
- keep accounting reports of the products received and relevant data;
- accept and facilitate the inspection by the Department of Customs and Excise Office and safeguard public earnings and obey to its recommendations;
- conform with any other conditions that may be imposed by the Director of the Department of Customs and Excise.
Notably, at any time authorized officers of the Department of Customs and Excise may visit any place subject to customs supervision, which belongs to any natural person or legal entity for inspection and control of the goods, as well as the records, books, documents or data, even those existing in electronic form.
Authorized officers, in order to verify or secure compliance with the customs legislation or the other legislation, may demand any related information and check all the goods related to the entry, exit , or movement or deposition in business areas, as well as on any records, books, documents or data, even in electronic form, of any natural or legal person.