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9. June 2021

Basic concepts in the field of import and export business

KINDERGARTEN OF FREIGHT FORWARDING (1st set)

Basic concepts in the field of import and export business

This time we have prepared the first set for you within the "Kindergarten of Freight Forwarding.” The article is about to explain the basic concepts in the report on import and export operations. The second part is about the customs system of the European Union.

The most interesting part of a series of articles is the third and the last one. The third part will discuss your options in customs procedures and specific cases with customs and tax duties calculations. 

 

 

Customs duties

Customs duties are duties to which customs goods are subject upon import into the EU.

Do you know the purpose of customs duties?
They are intended to protect the domestic economy. This kind of instrument influences purchasing decisions, making domestic products more attractive to buyers. Customs duties are an important source of funds for filling the EU budget.

  

Customs goods


Customs goods are any goods transported through customs territories. However, customs goods can be defined as Community (EU territory) and Non-Community (goods from third countries coming into the EU territory under customs control).

 

Customs warehouse


A Customs warehouse is a secure space for the storage of customs goods. The holder of a customs warehouse must have a customs warehouse permit.

Primary advantage: The customs warehouse allows the company to store non-Union goods on the premises or in other approved locations, without such goods being subject to import duties or other duties and trade policy measures, unless they prohibit entry or. exit of goods from the customs territory of the Union. You can read more about the differences between customs and non-customs warehouses in the article Warehouse vs. Customs warehouse.

All import and export-oriented companies will certainly be interested in information about the opening of a modern logistics center in the Craft Zone Hrpelje - Kozina in the summer months of 2021.


EU customs system

In the following, we present the basic customs concepts in customs procedures, customs clearance of goods, and regulate the rights and obligations of persons in the customs procedure.

 

Single Administrative Document - SAD:


A document by which the declarant declares the goods for customs clearance in the prescribed form and the prescribed manner in an importer or export transaction. The transitional period, which was based on filling in customs declarations via the fields of the SAD form, expires on 01.10.2021.

The Financial Administration of the Republic of Slovenia has determined the first area to be based on the new data model (EU CDM). Automated Import System - AIS2. The transition from the existing AIF import system, which has been in use since 2009, to the new AIS2 will take place on 01.10.2021.

 

Movement Reference Number or MRN (Movement Reference Number):


The consignment can be identified in the customs system based on the MRN number. It consists of a unique sequence of 18 characters, which are automatically determined by the customs information system.

 

Customs declarant:


The person who draws up the customs declaration and lodges it with the customs authority on his own behalf or on your behalf (importer or exporter of the goods).

 

EORI number:


The EORI number is the identification number of the economic operator used for customs purposes. It is valid throughout the EU and is a condition for carrying out customs operations. Economic entities obtain an EORI number in their country. In Slovenia, it is assigned based on a tax number.

 

Customs Tariff:


A customs tariff is a system of numerical codes used to identify goods in the customs system. Based on the TARIC System, the customs rates at which customs duties are levied are determined.

 

Customs rates:


Customs rates are the rates based on which the amount of customs duty payable on an individual good is expressed.


Customs value of goods:


The customs value of goods is the value of goods from which customs duties are processed, and VAT is charged. The customs value includes all costs incurred before the entry of goods into the EU (transport costs, intermediary costs, commissions, royalties, etc.)

 

Customs procedure:


Customs procedure means the presentation of goods, the lodging of customs declarations, the settlement of a customs debt, and the placing of goods on the market (importation when customs duties are paid or secured). The most common customs procedures are as follows:

 

Customs debt:


A customs debt may be incurred on an extended import customs procedure. The customs authorities shall release the imported goods for free circulation through the settlement of customs duties.

For more information, an expert in the field of the EU customs system is available, Mrs. Petra Korošec ([email protected]).

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