Dear Customer,

In the new year, there will be notable changes in many important Customs regulations. As your International Experts, we want to help you fully prepare for the potential impacts of these changes on your business and your customers.

There will be three critical changes you get to know as of 2021:

BREXIT (January 2021): A Customs Declaration will be required for EU-BB-EU shipments. This change will affect shipments from the European Union to Great Britain and from Great Britain to the European Union.

In addition, starting January 1, 2021, the Low Value Consignment Exemption (LVCR)/Deminimis application will be removed for shipments to UK destinations and goods with a value of up to £135 will be subject to import VAT payment. Again as of this date, in the trade of goods between 0-135 £, UK import VAT will be collected at the point of sale, not the import point of the receiving country. For this type of shipment, the sender must obtain a VAT registration number by registering with the UK Revenue and Customs Authority (HMRC) in advance and specify this number in the shipping documents. In the trade of goods between these value limits, if the buyer has a VAT number with the UK Revenue and Customs (HMRC) This number can be used optionally. As a result of these procedures, the amount of import VAT collected from buyers must be paid to UK Revenue and Customs (HMRC).

Click here for information on customs duty and customs regulations to be subject to trade within the scope of Brexit scenarios, published on the website of the Ministry of Commerce on 12 November 2020;

ICS2 Import Control System (March 2021): Improving the security screening program will require shipments to be sent to EU customs authorities for review and approval of certain data elements before loading them in the export country. This change affects shipments to (or transiting through) the European Union from anywhere in the world, including shipments to Norway and Switzerland.

De Minimis Abolition of VAT (July 2021): The abolition of the 22 Euro De Minimis VAT application for imports into the EU will result in official customs procedures and import VAT for all incoming shipments to the EU. This change affects shipments to the European Union from anywhere in the world.

With these changes, Customs authorities are more effectively implementing legal requirements regarding the provision of complete and accurate customs data to optimize security and safety screening, combat fraud and piracy, prevent unfair competition, and ensure full collection of duties and taxes.

What Does It Mean to You?

To avoid delays in your shipments, there are two main areas where we need to cooperate before the end of 2020:

• Providing an accurate Goods Description on the Bill of Lading. This will allow customs to identify goods based on data available to them and conduct safety and security screening without stopping your shipment.
• Providing your Commercial Invoice data electronically. This will help us get your shipments through Customs without delay.
• ICS2 Import Control System (March 2021): Improvement of security scanning program, will require shipments to be sent to EU customs authorities for review and approval of certain data elements before loading them in the export country. This change affects shipments to (or transiting through) the European Union from anywhere in the world, including shipments to Norway and Switzerland.
• De Minimis VAT Removal (July 2021): The abolition of the 22 Euro De Minimis VAT application for imports into the EU will result in official customs clearance and import VAT for all incoming shipments to the EU. This change affects shipments to the European Union from anywhere in the world.