Just read this article about the customs declaration process!

Customs declaration is one of the necessary steps in fulfilling customs entry and exit procedures. The main objects involved include: inbound and outbound transportation vehicles, goods, and two categories. Due to the different nature of imports and exports, there are also some differences in the customs declaration procedures. Below, we will provide a detailed introduction to the process of import and export customs declaration.primary coverage1、 Customs declaration process for imported goods2、 Export goods customs declaration process3、 Freight and commercial documents submitted for inspection along with the customs declaration form4、 Import (Export) Goods License5、 Inspection and Quarantine System6、 Inspection of import and export goods7、 Release of import and export goods8、 Documentary customs declaration and bill of lading customs declaration01 Import and Export Goods Declaration Process The consignee, consignor, or their agent of import and export goods shall fill out the import and export goods declaration form in the format specified by the customs within the time limit specified by the customs, accompanied by relevant freight and commercial documents, and provide documents approving the import and export of goods to declare to the customs. The customs declaration of imported goods determines the import shipping schedule, and waits for the arrival of the ship. Start the import operation. 1. Firstly, it is necessary to provide an arrival notice, original bill of lading, or electronic release letter of guarantee in exchange for the receipt; 2. Take the goods to the customs supervised warehouse; 3. Prepare the necessary documents for import customs declaration: necessary documents: one copy of list, invoice, contract, one copy of customs declaration and inspection authorization letter each. For imported goods from the European Union, the United States, South Korea, and Japan, if they are wooden packaging boxes, a heat treatment certificate or plant quarantine certificate must be provided. If they are non wooden, non wooden packaging must be provided. The various documents stipulated in the tax regulations (such as import licenses, mechanical and electrical certificates, and important industrial product certificates).4. If there is a tax reduction or exemption manual, provide a tax reduction or exemption certificate manual.5. After the import declaration, if necessary for customs price review, the customer needs to provide relevant price certificates. Documents required by customs, such as letters of credit, original factory policies, original factory invoices, bidding documents, etc.6. After the customs prints the tax invoice, the customer needs to pay the tax within 7 working days. If the deadline is exceeded, the customs will charge a late fee on a daily basis.7. After customs clearance and inspection, the goods can be picked up and returned home (warehouse). Additionally, the goods must be declared to the customs within fourteen days after arrival at the port. If the deadline is exceeded and the customs charges a delayed declaration fee (based on 0.05% of the value of the goods) on a daily basis for more than three months, the customs will sell off the unowned goods!8. After paying taxes, the goods can be picked up and released.02 Export Goods Customs Declaration Process1. First, book the cabin with the shipping company.2. Documents required for export declaration: After the goods arrive at the customs supervision area and 24 hours before loading, prepare all necessary documents for customs declaration to the customs. Essential documents: One copy of each document, including a list, invoice, contract, verification form, customs declaration authorization letter, and shipping company loading list. According to the various documents stipulated in the customs tariff. (such as customs clearance forms, export licenses, etc.). Export manual is required for customs declaration.3. Documents required for export inspection:The required documents should be prepared three days before the customs declaration date and declared to the Inspection and Quarantine Bureau. The documents provided include: a list of invoices, a contract, an inspection authorization letter, a factory inspection form, a cardboard packaging form, and other documents. If the exported goods to the United States, Australia, Canada, the European Union and other countries require fumigation or heat treatment for wooden outer packaging, the required documents include: list, invoice, contract, and inspection authorization letter. If the fumigation product is a wooden product, a factory inspection form is also required. Products that undergo fumigation or heat treatment should be transported to the designated storage yard or port area for fumigation two days before customs declaration. (Fumigation time takes 24 hours)4. The export declaration is officially declared to the customs. If taxes and fees are required for export, they should be paid in a timely manner. 5. The on-site customs review has ended. After the release of the cargo documents, the cargo owner shall transport the goods to the customs supervision area for inspection and release within the time specified by the customs. If inspection is required, the customs broker should contact the customs in a timely manner to conduct the inspection of the goods. After inspection, the designated lead seal of the shipping company should be followed. Those that do not require inspection should be released in a timely manner, and the loading list should be sent to the port area for loading according to the customs clearance time. 6. After the goods are exported, the shipping company will transmit the export manifest data to the customs. After the customs receives the data, the customs broker will promptly print the tax refund verification form at the customs after the customs data is cleared.03 Freight and commercial documents submitted for inspection along with the customs declaration formAny import and export goods that pass through customs must submit a completed customs declaration form to the customs. At the same time, relevant freight and commercial documents need to be submitted for customs review to verify whether the submitted documents are consistent. After customs inspection, the seal will be affixed as a proof of pick-up or shipment of the goods. The freight and commercial documents that are submitted for inspection along with the customs declaration include: sea import bill of lading; Shipping export loading list (stamped by customs declaration unit); Land and air waybills; The invoice for the goods (one less copy than the customs declaration, requiring the seal of the customs declaration unit, etc.); The packing list of the goods (with the same number of copies as the invoice, which needs to be stamped by the customs declaration unit) and special documents based on the specific goods. It should be noted that if the customs deems it necessary, the customs declaration unit should also submit the trade contract, order card, certificate of origin, etc. for inspection. In addition, goods that are eligible for reduction, exemption, or exemption from inspection according to regulations should be submitted with the customs declaration form for inspection after applying to the customs and completing the necessary procedures.04 Import (Export) Goods LicenseThe import and export goods license is a legal document for the country to manage the export of goods. Import and export licenses, including various certificates and documents with import or export nature as stipulated by laws and administrative regulations. It should be noted that the licenses submitted to the customs are not always fixed, and the national competent authorities may adjust and issue them at any time, so it is necessary to keep an eye on them.05 Inspection and Quarantine SystemThe State Administration for Entry Exit Inspection and Quarantine and the General Administration of Customs have implemented a new customs clearance system for inspection and quarantine goods since January 1, 2000, with a customs clearance mode of “first applying for inspection, then customs declaration”. At the same time, the entry-exit inspection and quarantine department will use new seals and certificates. The new inspection and quarantine system integrates the three inspections of the original Health Inspection Bureau, Animal and Plant Bureau, and Commodity Inspection Bureau, and comprehensively implements the work procedures of “one inspection, one sampling, one inspection and quarantine, one sanitation and pest control treatment, one fee, and one certificate issuance and release”, as well as the new international inspection and quarantine model of “one export”. Starting from January 1, 2000, the “Entry Goods Clearance Form” and “Exit Goods Clearance Form” will be used for goods subject to import and export quarantine, and the special seal for inspection and quarantine will be affixed to the clearance form. For import and export goods (including transit goods) included in the “Catalogue of Import and Export Commodities Subject to Inspection and Quarantine by Entry and Exit Inspection and Quarantine Institutions”, The customs shall inspect and release the goods based on the “Entry Goods Clearance Form” or “Exit Goods Clearance Form” issued by the entry-exit inspection and quarantine bureau of the place where the goods are declared. The original “commodity inspection, animal and plant inspection, and health inspection” shall be cancelled in the form of a release form, certificate, and stamped with a release seal on the customs declaration form for customs clearance.At the same time, the entry and exit inspection and quarantine certificate has been officially put into use, and the certificates originally issued under the name of “three inspections” have been discontinued since April 1, 2000. The customs requires the customs declaration unit to issue a “Entry Goods Clearance Form” or “Exit Goods Clearance Form”. On the one hand, it is to supervise whether the legally inspected goods have been inspected by the legal commodity inspection agency; On the other hand, it is the basis for obtaining taxes, exemptions, and reductions on import and export goods. According to the “Law of the People’s Republic of China on Import and Export Commodity Inspection” and the “List of Import and Export Commodity Types Inspected by Commodity Inspection Institutions”, all import and export commodities listed in the “List of Types” for statutory inspection shall be reported to the commodity inspection institution for inspection before customs declaration. At the time of customs declaration, for import and export goods, the customs shall inspect and accept them with the seals stamped on the “Entry Goods Clearance Form” and “Exit Goods Clearance Form” issued by the commodity inspection agency. For other import and export controlled goods stipulated by the state, the customs declaration unit must also submit a specific import and export goods approval document issued by the national competent department to the customs, which will be released after being inspected and found to be correct by the customs.06 Inspection of Import and Export GoodsInspection is an essential part of the customs clearance process. Customs inspection can be divided into three types: thorough inspection, random inspection, and appearance inspection. From the acceptance of customs self inspection to the completion of the inspection, the feedback on the inspection results will not exceed 48 hours. There are three requirements for customs inspection of goods: 1. The consignee or consignor of the goods or their agent must be present and responsible for handling the moving, unpacking, and resealing of the goods according to customs requirements. 2. When deemed necessary by the customs, they may conduct direct inspections, re inspections, or take samples of the goods, and the goods management personnel shall be present as witnesses. 3. The applicant should provide round-trip transportation and accommodation, and pay the relevant fees, while paying the prescribed fees according to customs regulations.07 Release of Import and Export GoodsWhen the customs accepts the declaration of import and export goods, checks the relevant documents and materials, inspects the actual goods, and signs and releases the shipping documents after the taxpayer pays the taxes and fees. It should be noted that no unit or individual is allowed to pick up or ship supervised goods that have not been released by customs. If import and export goods require special customs treatment due to various reasons, they can apply to the customs for guarantee release. The customs have clear regulations on the scope and method of guarantee.08 Document customs declaration and purchase order customs declarationPeople engaged in foreign trade often hear two professional terms, one is document customs declaration, and the other is bill of lading customs declaration. Many people are unfamiliar with these two customs declaration methods for the first time and are not sure what they actually mean. So, let’s take a look at the two customs declaration methods that foreign traders must know. 1. What are document customs declaration and bill of lading customs declaration? Documentary customs declaration refers to the way in which some companies with export rights can conduct documentary customs declaration, which means that enterprises provide their own export documents and handle customs declaration online or through a commissioned customs broker. It is a normal customs declaration. Another customs declaration method that is exactly opposite to document customs declaration is to pay for customs declaration. Purchase order customs declaration refers to an export order issued by a company that does not have export rights or does not want to use its own company’s header name. In fact, there is a more colloquial term for it, which is called an export verification form. Often at this time, there is a problem – exports must have export documents. So these companies without export rights will find freight forwarders, usually through customs brokers, to purchase export documents from companies with export rights, which means borrowing the name of another company for export. Of course, this method of purchasing documents for customs declaration is definitely not as good as normal and legal documents for customs declaration. If the value of exported goods is low and no tax refund is required, you can purchase documents from a foreign trade company for customs declaration. Buying a document for export is more suitable for enterprises or individuals without import and export rights.2. The biggest difference between documentary customs declaration and bill of lading customs declaration is that documentary customs declaration is a legal customs declaration method, while bill of lading customs declaration is illegal. Enterprises exporting goods in China must have import and export operation rights. In order to support domestic enterprises in exporting and earning foreign exchange, the country implements preferential policies for tax refunds for exporting enterprises. Since it is a preferential policy, it cannot be enjoyed by any company. Of course, with the gradual changes in the market, government customs are also making continuous progress. In the near future, this illegal form of paying for customs declaration will definitely withdraw from the stage of history.3. Currently, not all companies have the right to operate imports and exports. Therefore, there are still companies that choose to pay for customs clearance, and there are naturally advantages and disadvantages to paying for customs clearance.Advantages: 1. Convenient and effortless. All you need to do is provide the packing list, invoice, and SO required for sea transportation, without having to personally handle the subsequent verification and other matters after customs declaration. 2. Ensure customer information security. Affiliating to foreign trade companies is usually a fear of customers being taken away, which is also a concern for many foreign trade colleagues. You never have to worry about such a problem when paying for exports, because the companies that write off orders for wheat have never done foreign trade business, so there is no competitive relationship, and they are not afraid of customers being taken away.Disadvantages: Because the customs declaration for purchasing documents uses someone else’s documents for customs declaration and exports under someone else’s name, it is also impossible to apply for tax refunds, which means that one cannot enjoy the preferential policies of the country.4. Other details: The customs declaration documents are legal, and naturally everything can be processed according to the process. But there will be some details that need to be addressed when paying for customs clearance. For example, regarding the issue of customs clearance at the destination, we can make the information used for customs declaration different from the header of the destination customer’s customs clearance information, but the documents must be unified, that is to say, the bill of lading, packing list, and invoice must be unified. Although companies without export rights can still use their own company name, after the goods are exported, foreign customs have no contact with Chinese customs and will not cause any trouble. For example, there is no need to worry about foreign exchange issues. If you pay for export, the foreign exchange payment can be transferred to any company’s foreign exchange account, personal account, or even overseas account. Therefore, paying for exports provides convenience for more enterprises and individuals without export rights. Finally, it needs to be mentioned that if you choose to pay for customs declaration, you cannot make a tax refund. Therefore, transactions can be made with a ‘no ticket price’ when picking up goods from the factory. Buying a document for customs declaration is certainly a hassle, but if conditions permit, it is best for everyone to choose a document for customs declaration, in order to ensure safety and peace of mind.

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