Import duties and related expenses create a direct impact on the bottom line for organisations. However, complex regulations surround this area, creating an increasingly complex and risk laden environment. Risking non-compliance and/or missing the opportunity to reduce these costs could have a severe impact on any business, particularly if competitors are closely focused on this area.
In addition, similarly complex regulations exist for items falling under strategic export controls. These are items that can be characterised as military or ‘dual use’ in capability and which may require authorisations before trade in goods, technology or services can be conducted. Economic sanctions against certain countries can also restrict trade opportunities available to businesses.
What's on your mind?
- Maintaining regulatory compliance as ever-changing legislation surrounding import and/or export operations is complex and time consuming
- Not realising customs and excise duty cost savings, as potential savings need to be captured now, not in the future
- Efficiencies within an international supply chain are crucial to meeting internal and external (customer) metrics
- Mitigating security risk - robust systems need to be in place to comply with trade security including end-user requirements
- Need to reduce international trade costs is key in order to improve margins
Bringing you peace of mind
- We can help achieve your business objectives by advising on efficient trade operations and optimised supply logistics, ultimately lowering your import duty tax bill,
- We can give your business confidence in its risk management of regulatory trade compliance and security
- We offer the experience, advice and support to help enable you to take advantage of the wealth of opportunities available to make cost savings, and help enable you to comply in a cost effective way in the ever changing highly demanding regulatory environment
What's in it for you?
- Duty minimisation and optimisation
- Cash generating and cash flow enhancement
- Improved supply chain efficiencies
- Better visibility upstream and downstream of the supply chain
- Management, control and compliance with international regulations
- KPMG's Customs, Excise & International Trade team offers a range of services developed by one of the largest specialised customs groups in Europe, with an extensive network across the globe to create a truly global support network
- You can have confidence in our team consisting of former HMRC officers, attorneys and industry professionals, many whom boast 10 - 15 or more years of experience
- A mid-size manufacturer purchases goods from Asia through a distributor. Some of these goods are sold directly to customers within the EU, others are further manufactured. The manufactured goods are subsequently sold to a variety of customers world-wide
- Without reviewing the entire supply chain, companies often subject themselves to higher duty liability
- Typical opportunities include:
Potential to reduce duty spend by utilising the First Sale for Export valuation principle. This method will permit the importer to utilise the transaction value of the sale between the Asian manufacturer and the distributor
Utilisation of duty regimes, such as Inward Processing Relief (IPR), Processing Under Customs Control (PCC) or Customs warehousing, to suspend or avoid duty liability
Customs simplifications, such as CFSP or SIVA, can help to streamline and expedite clearance processes and create cash flow benefits for the importer