Know your customs and excise duties before you start importing goods

You might have started a small business in a EU country that involves importing goods or even services into your country yet, if you know your customs and excise duties before you start importing goods then you can save lots of money and hassle. It is rather important that you know the exact duty rates including vat rates if you want to extract the best profits out of your sales, and purchases.

Each country www.vatvalidation.com/vat has its own specific customs and excise rules, and countries that have adopted vat or value added tax have their unique vat rules that need to be followed with perfect precision. For example if your import organization is located 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 as to which of the over 14,000 classifications pertain to your particular merchandise that you plan to import to the UK. While customs duties apply to virtually all imported products, excise duties in the united kingdom usually apply to most tobacco and alcohol products. Again, for example if you plan to import a product into the UK from Sweden where local vat has already been paid then you could be eligible to reclaim that vat amount in Sweden. This would be possible if only you are a vat registered trader in the UK and supply 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 hire the services of a trusted vat agent which is not only conversant with uk vat but 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 on a regular basis in your own country. There are also certain custom duties and vat exemptions that can 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 have to issue vat invoices whilst selling your goods and services. If you plan to export the items outside your country then you’ll also need to be conversant with export laws of your own plus the destination country. Since vat customs and excise rules and rates keep changing at regular intervals it is crucial you and your vat agent understand the latest rules so that you will avoid getting a rude shock when your goods reach your country’s dock or airport.

It is extremely crucial that you cover every aspect of one’s business including purchase, sales, and all related duties and taxes before you decide to actually implement your plans. This move includes scrutinizing all customs and excise duties related to your products or services so that your final product costs tally exactly against your predictions since this is the only way you can start your enterprise on firm ground.