Know your customs and excise duties before you start importing goods

You may have started a small business in an EU country which involves importing goods or even services to your country but if your know your customs and excise duties before you start importing goods you’ll be able to save lots of money and hassle. It is extremely important 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 possesses its own specific customs and excise rules, and countries that have adopted vat or value added tax also have their unique vat rules that should be followed with perfect precision. As an example if your import organization is located in the UK then you will have to follow hm customs and excise rules while importing your goods while also following hmrc vat rules for import as well as selling your goods and services in the local market.

You may first need to verify as to which of the over 14,000 classifications apply to your specific merchandise that you plan to import to the UK. While customs duties apply to almost all imported products, excise duties in the UK usually apply to most tobacco and alcohol products. Again, for example if you plan to import an item vatnumbersearch to the UK from Sweden where local vat is already paid then you could be eligible to reclaim that vat amount in Sweden. This would be possible if only you’re vat registered trader in the united kingdom and provide enough documentary proof in Sweden to show that you have sold the product locally and have paid vat in UK for the same.

You will thus need to know all customs and excise vat rules and rates in greater detail before you start importing and selling any goods or services imported originating from a member EU state or any other country. You should engage the services of a trusted vat agent that is not only conversant with uk vat but will also be well versed in eu vat since you will need to make an application for vat refund in the nation of origin while filing vat returns regularly in your own country. Additionally, there are certain custom duties and vat exemptions that will help you save on taxes but only if you understand them.

Once you get the company vat registration you will then be allotted a vat number and will need to issue vat invoices whilst selling your goods and services. If you plan to export those items outside of your country then you will also have to be conversant with export laws of your plus the destination country. Since vat customs and excise rules and rates keep changing at regular intervals it is vital you as well as your vat agent know the latest rules so that you avoid getting a rude shock when your goods reach your country’s dock or airport.

It is extremely vital that you cover every aspect of your business including purchase, sales, and all sorts of related duties and taxes before you decide to 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 since this is the only method you can start your business on firm ground.