Import tax cost

granadamad

Hi

Looking for some info if anyone can help or point me in the right direction..


Just say my company imports 20k worth of products..

Its sitting in the port.. what happens next..

What import duty has to be paid on this? What is the procedure for doing so and whats the rate?

Thanks in advance!

RUDOLF289

Hello Granadamad,

I provide advise in this forum on a regular basis in relation to Import/Export/Transportation/Customs.

First off, the scenario you describe suggests that you are leaving the shipping arrangements to your (overseas) supplier. Whilst on the face of it that saves you some hassle, it increases the risk of being presented with a heavy bill for "arrival" charges. If the shipment hasn't left yet, suggest you stop the process. This would be my recommendations ;

1) check with your supplier who the agent will be in Dublin that will end up receiving your shipment.
2) contact the agent, give him the details of the shipment and ask him for the charges that he will levy on the shipment. If your freight is coming from China or other ports in the Far East, ask him if his charges are inclusive of the socalled "China Import Service Fee"
3) in addition, ask your supplier for an FOB price.
4) get the details of the shipment (i.e. nr of pieces, weight, dimensions)
and approach freight forwarders in Ireland to get an equivalent quote

That would give you an opportnity to make an informed decission and make sure you know in advance what you are signing up for.

In relation to your products, you are likely to have to pay Customs Duty and VAT. If you post the details of the cargo (or send me a PM) I will have a look at the customs classification and see what percentage duty (if any) and VAT you may be liable for. In principle the agent that brings in your goods can act on your behalf and clear the goods through customs (that should be included in the fees quoted)

If I can be of any further assistance, please post again or PM me.

Cheers,
Rudolf289

granadamad

Thank you for the reply, Revenue site was down yesterday so I posted here

I will probably drop you a pm at some stage if thats ok.

Thanks

RUDOLF289

Hi Granadamad,

absoutely no problem. Forgot to mention that, if your are registered for VAT, VAT paid on imports is a deductible input on your periodic VAT return (i.e. you claim that back).

If you are importing full container loads, you can structure your imports to avoid the VAT outlay and defer it to your periodic VAT return (where you accrue a liability for the VAT and claim the deductible input at the same time) Keeps the cash a little longer in your bank account.

Cheers,
Rudolf289