Customs import duty
Customs duty on imports: Prevent surprises with the help of Cargo International
Do you remember? Dozens of lorries standing in line for an internal European border. It meant less profit for exporters and importers and at the end of the journey. Through free movement of goods within Europe, customs duties seem to belong to many entrepreneurs as a thing of the past. Whether you are importing or exporting goods from or to the EU, via roads, overseas or via airspace, somewhere you will encounter a customs post. But as always, customs import duty still applies.
As an ex- or importer it is wise to determine in advance, what you have to pay and what formalities apply to the shipment, otherwise customs duties can surprise you: with delays, fines and loss of profit! Do you no longer see which formalities you need to meet? Cargo International is happy to advise you as an expert in the field of export and import documentation.
Customs duty on imports: Where do you need to pay?
As the name suggests, you will pay the custom import duties at the moment you import your goods into a country. Customs import duty has the purpose to protect the internal market of a country by regulating and monitoring all imports. This of course is also a source of income for an importing country. Please note: When importing goods into the EU, you pay customs duties in the country where they pass the EU border, even if the rate is the same in the country of destination. So if your goods arrive in a French port, the customs duties will be levied in France, even if you then have them transported them further to the Netherlands.
As an extra, do not forget the customs export duties which are becoming more and more important in many countries. For goods that are being exported from the EU, you need to request an export declaration for example. Cargo International can also be of service in this area for you.
Customs import duty: what do you pay?
The amount of the customs import duty depends on the country in which the goods are being imported. The tariffs of these goods are determined by the countries themselves, and they also decide whether or not they are recorded in international treaties. Customs import duties are calculated based on the customs value of the goods, the type of goods that are being imported and the country of origin of the goods.
In order to obtain the right to bring your goods onto the free market of a country, you must be able to submit an import declaration for the customs value. Your goods must be provided with an HS–code in order to determine the type of product and you must be able to submit a certificate of origin to show from which country your products come from. Based on this, it is determined how high the customs duties are that need to be paid. Cargo International can support you with this, so that your goods can pass the customs without any problems and too much delay.
Customs import duties: how do you calculate them?
It is not always easy to calculate how much you will spend on customs duties. This requires a lot of research. For a proper calculation of the customs import duties that will be levied you have to have at your disposal; the invoice value of your shipment, the delivery conditions for the transport (Incoterms), the freight costs, the country of dispatch for air transport and the type of goods with the corresponding percentage of customs import duties.
In addition, the EU has concluded a bilateral treaty with some countries. For example with many developing countries to encourage the export of their products, so that in many cases you can take advantage of a discounts or exemptions when calculating the customs duties. If you do not exactly how it goes about it, do not hesitate to ask Cargo International for advice.