Tax administration

EUR 14 058 174 in import duties has been intermediated by 4U Logistics during the first half of 2015

When permitting the entry into free circulation of goods delivered to the European Union from third countries, import duties must be paid prior to the release of the goods by the customs authority.The amount and extent of import duties depends on the tariff classification of the goods. Import taxes are, for example, value added tax, import duty, excise duties, etc.

Legislation prescribes different legal options for the postponement, suspension or also the reduction or exemption of designated duties assigned to imports.

Delay in the payment of taxes:

  • Tax service – we offer our contractual clients an extension of up to 28 days for the deadline for payment of import duties When using the tax service, 4U Logistics guarantees and pays on behalf of the client the taxes assigned by the customs authority during importing. As a result, the customs authority is able to release the goods immediately following the submission of the custom’s declaration and the client may begin using the goods. 4U Logistics shall prepare an invoice for the client regarding the taxes assigned during import, with a deadline for payment of up to 28 calendar days.
  • Temporary storage – we will find a solution in the event that you require a few weeks of additional time before you are ready to perform customs clearance for the goods.
  • The goods were not accompanied by a certificate on preferential origin – this is mailed ex post facto and will arrive in Estonia following a delay. There is a desire to resell the goods in free circulation to a third party; however, the sales transaction will take place over the course of a couple of weeks and you are not yet ready to assume the obligation to pay import duties.

Suspension of payment of taxes

  • Permitting the release of goods into free circulation with an exemption from VAT for the purpose of its conveyance to another Member State (procedure 42) – the release of goods into free circulation and conveyance to another Member State, which is covered by Directive 2006/112.

4U Logistics OÜ, as the consignee in Estonia, takes receipt of goods imported by the client. We perform import customs clearance for the consignment and pay the import customs duty, if the tariff classification of the goods so prescribes. Payment of import value added tax is not due in Estonia; value added tax is paid in the country of destination by the buyer. 4U Logistics submits the corresponding security to the customs authority on behalf of the buyer. The consignment moves to the recipient and is permitted into free circulation. The advantage for an importer in a Member State using this procedure is the fact that in this way it is possible to avoid the complex and time consuming procedures accompanying the application for the refunding of import value added tax paid in Estonia.

Reliefs from customs duty or the reduction thereof

We consult our clients regarding possibilities for avoiding the payment of excessive import customs duties via an authorisation for the end-use of goods.

We represent our clients, certifying preferential origin in applying for the return of customs duties following the release of goods (amending of customs declarations).

We provide advice on how to benefit from the following customs procedures, with which the paying of import duties is suspended:

  • External transit
  • Customs warehousing
  • Inward processing
  • Processing under customs authority control
  • Temporary import

Important information:

ETT calc of duties