Clearance of imported goods is a specialized process known as customs clearance procedures for imported goods. Here, we explain definitive imports, i.e. goods that are scheduled to remain in the custom territory, and import duties are collected only on these goods while other procedures only require guarantees.

Customs Clearance Procedures

In order to clear definitive imports, the following steps have to be taken:

  1. Arranging documents and entering data
  2. Authentication and declaration of goods
  3. Customs controls
  4. Payment and issuance of clearance certificates
  5. Loading and discharge of goods
  6. Control after withdrawal of goods

  1. Arranging Documents and Entering Data

Upon arrival of the goods to custom territory, owner of the goods or his representative should prepare the documents and final control for declaration. Documents required for declaring goods are:

  1. Definitive import declaration (draft and completed form)
  2. A copy of a valid commercial card
  3. Warehouse Receipt
  4. Bill of lading
  5. Delivery order
  6. Certificate of origin
  7. Invoice or bought contract
  8. Currency provision declaration with bill of acceptance
  9. Proforma
  10. Order registration license
  11. Packing list
  12. Insurance letter
  13. Operation license (if required for manufacturing companies)
  14. Catalogs and brochures (if required)
  15. Legal permissions for clearance of goods including: health certificate, standard, atomic energy, vegetable quarantine, etc. Some of these custom permissions may be obtained from the relevant organization, after declaration and during clearance. But generally, these permissions are required while placing the order. Upon arrival of goods and at the beginning of customs controls, the organization issues the final permission after reviewing the documents and checking the products’ samples.
  16. Official power of attorney, commission card
  17. Export license (if the import is done in return for export).

Import duty is one of the most important points that is included declaration form. Actually, this value is equal to custom value multiplied by source value (mentioned rate against goods tariff). Completing the declaration form requires expertise and experience and any mistake may bring about heavy financial losses. After manual completion, it has be typed and registered in the system. During the recent years, information of each person (including the goods owner or broker) have been registered using a coding system so that everyone, by having code number, can do business and their information can be easily retrieved in the custom system.

  1. Authentication and Declaration of Goods

After delivery of documents by the goods supplier, custom controls begins officially. Authentication or technical division is in fact in charge of checking the documents to stamp the registration or cottage number. Technical division is in charge of several tasks:

  1. Qualifying ownership
  2. Qualifying the product owner
  3. Document review

Qualifying Ownership

In the first place, the custom is required to register the ownership of the person whose name is n the declaration form. Actually, the business owner is the one who the purchase document, bank draft and clearance draft are issued with his name. During custom clearance, the person’s ownership can be confirmed by bill of lading and warehouse receipt.

Qualifying the Product Owner

This is also called qualifying the condition. The conditions that are to be checked are:

  1. No customs debt
  2. Absence, invalidity, or revocation of business card
  3. Denial legal owner of the goods from interfering in his property
  4. Legal issues that prevent interference in business affairs

Document Review

In this phase, contents of declaration are checked with other documents (including information related to the product weight, packaging, country of origin, country to the contract, specifications of bank documents, and tariff of goods). Transportation and warehouse receipts are required at this stage. However, some documents may be handed in, before clearance of the goods from the custom territory, leaving a deposit or a written commitment). If there is no conflict, the registration or cottage number as well as declaration date will be inserted. After inserting the cottage number, the goods may be regarded as declared.

Determination of the Way

In this phase, using risk management system, custom control determines one of the three paths of yellow, red, and yellow. In any case, custom usually controls product documentation, value, tariff numbers, registration required permissions, and the product itself. In the qualification and path determination phase, technical experts, path expert, evaluator, and value expert are specified. Technical expert and path expert control import documents and requirements (required permissions). The evaluator checks the products physically. The value expert controls the relation between declared and custom inferred value.

You can download The Import Declaration Software Guide from ETG website.

To download the file click here.