Know your customs and excise duties before you begin importing goods

You might have started a business in an EU country which involves importing goods or even services to your country yet, if you know your customs and excise duties before you start importing goods you’ll be able to save lots of money and hassle. It is rather essential that you be aware of exact duty rates including vat rates if you wish to extract the very best profits out of your sales, and purchases.

Each country vatvalidation.com/vat has its own specific customs and excise rules, and countries that have adopted vat or value added tax also have their unique vat rules that need to be followed with perfect precision. As an example if your import business is based in the UK then you’ll have to follow hm customs and excise rules while importing your goods while also following hmrc vat rules for import as well as for selling your products or services in the local market.

You may first have to verify regarding which of the over 14,000 classifications apply to your particular product that you intend to import into the UK. While customs duties pertain to virtually all imported products, excise duties in the united kingdom usually apply to most tobacco and alcohol products. Again, for instance if you intend to import a product into the UK from Sweden where local vat is already paid then you could qualify to reclaim that vat amount in Sweden. This would be possible only if you are a vat registered trader in the UK and provide enough documentary proof in Sweden to demonstrate that you have sold the item locally and also have paid vat in UK for the same.

You’ll thus need to know all customs and excise vat rules and rates in detail before you start importing and selling any goods or services imported from a member EU state or any other country. You need to engage the services of a dependable vat agent that is not only conversant with uk vat but will also be amply trained in eu vat as you will have to make an application for vat refund in the country of origin while filing vat returns on a regular basis in your own country. There are also certain custom duties and vat exemptions that will help you save on taxes but as long as you understand them.

When you get your company vat registration you will then be allotted a vat number and will also have to issue vat invoices whilst selling your goods and services. If you intend to export those items outside of your country then you’ll also have to be conversant with export laws of your own as well as the destination country. Since vat customs and excise rules and rates keep changing at regular intervals it is vital that you and your vat agent know the latest rules so that you do not get a rude shock when your goods reach your country’s dock or airport.

It is rather crucial that you cover every aspect of your business including purchase, sales, and all related duties and taxes before you actually implement your plans. This move includes scrutinizing all customs and excise duties relevant to your products so your final product costs tally exactly against your predictions as this is the only method you could start your business on firm ground.