Seizures and penalties

Regulatory civil penalties for customs breaches and excise breachesThis page explains the penalties that HM Revenue & Customs (HMRC) officers can issue to traders for regulatory contraventions.Customs civil penalties This penalty may be imposed for the removal of goods on which distress has been levied and a walking possession agreement entered into


Excise civil penaltiesExcise civil penalties (ECPs) are designed to encourage compliance with legal obligations, and may be imposed when a trader has breached statutory requirements relating to various types of excise duty and procedures.


There are four categories of ECPs:Fixed penalty - a fixed amount for breaches of certain regulations including failure to notify a liability to be approved, registered or licensed, unlawful dealing, possession and manufacture of excise goods, and failure to submit returns by the due date among other breaches.Geared Penalty - a set percentage of the duty involved subject to a minimum amount, usually imposed for failing to pay duty declared or assessed or for handling goods subject to unpaid excise duty after the point at which duty became due.


Daily penalty - a fixed amount chargeable per day for certain breaches, such as failure to produce records, failure to submit returns by the due date and failure to pay duty. This may only be imposed however if one of the two previous penalties have already been imposed for the same reach.Breach of Walking Possession - a set percentage of the duty or penalty which gave rise to a distress action (Distress is when HMRC take possession of goods or assets if a written demand for payment is not answered). This penalty may be imposed for the removal of goods on which distress has been levied and a walking possession agreement entered into.