Stay abreast of customs & excise rules in your import business

 

If you are planning to import goods into any country including EU States then you need to stay abreast of customs & excise rules in your import business. You will certainly need to pay customs or excise duties, among others, on the goods that you import into your country, based on current rules.

If you are just a business traveler bringing in a couple of duty free products into your country then you might not need to pay any duties on those items. However, if you start a business that plans on importing goods into your country with the intention of selling them to your clients then you will need to pay customs and excise duties on most products, except those that have been exempted from such duties. For example if you plan to start importing goods into the UK then you will need to pay customs & excise duties along with collecting and payment of vat or value added tax too, provided you have crossed the threshold limit set by the hmrc vat department. You will also need to abide by the rules set by the hm customs and excise vat department.

The UK’s customs and excise department has over 14,000 classifications that specify the exact amount of customs duties applicable on each type of product. You should verify the classification that suits your product for precise cost calculation on your product. If the product that you plan to import is from another EU country where vat has already been paid then you can also apply for a vat refund once you import it in the UK and sell it through a vat invoice. In order to achieve this goal, you will need to get vat registered with the hmrc vat department, file for a vat refund in the country of origin of the product and then wait for the designated time before a vat refund is awarded to you.

In case you plan to import cigarettes, cigars, or other tobacco products, or certain types of alcohol into the UK then again, you will be required to pay excise duty on those products. Certain goods and services imported from EU States also attract import vat duty. You will need to hire the services of a reliable vat agent to handle your vat returns and refunds, and get all necessary clarifications on all the latest changes in vat customs and excise rules.

 

If you are a vat registered dealer then you will need to collect vat from your clients whenever you issue a vat invoice. Different countries in the EU have different vat rules that need to be followed. For example if you wish to apply for a vat reclaim for products sourced from Poland then you will need to produce a faktura vat or vat invoice in Polish before you can do so. A local vat agent will be your best ally in such a case.

If you plan to import goods or services into your country from other countries around the world or from other EU countries then you will certainly need to know all the required details on customs, excise and vat duties on import and sale of your products or services. This will help avoid double taxation and prevent you from running afoul on import rules and regulations set up by your country. You should certainly stay abreast of customs & excise rules in your import business if you want to save money legally while increasing your profits on sales at the same time.