How can you reduce the cost of duty on imports and exports?

reduce cost of duty

If you’re importing or exporting goods, then it would be completely understandable if you were slightly daunted by the complex web of duties and taxes.

Any import or export must act in accordance with complex regulations that exist in both the country of origin and also the receiving country. These challenges often mean businesses miss opportunities where they can lower the costs associated with customs.

Why don’t people try to reduce costs of duty?

Firstly, it’s not that people don’t try to reduce the costs of duty on products.

However, the time required to understand the intricacies of the customs duties’ systems means that businesses can’t make the most of the costs reductions.

If you could spend less, then most people would immediately take up the opportunity. The greatest question is, how?

reduce cost of duty

If you could reduce the cost of duty, why wouldn’t you?

At S.A.L. Global Logistics we understand the difficulties of customs and to help you overcome this we offer Customs consultancy to help navigate duty and other costs.

What are the benefits of customs consultants?

Our customs consultants don’t just focus on ensuring you comply with the duties and taxes, but we’re also dedicated to ensuring they are as low as legally possible every time. An investigation into the duties and taxes paid by a business can reveal the potential for significant reductions in payments.

Experts at S.A.L. know that certain cargo and load combinations can substantially reduce the cost of your business.

Apart from the masses of money that can be saved on duty and taxes, having customs consultants saves you time. Our experts are there to do the hard work for you, so you can focus on what you’re the expert in.

Essentially, not only can consultants save their clients money but also time.

How extensive are the services of S.A.L. customs consultancy?

At S.A.L., consultants can provide clients with an extensive range of services all targeted to ensure the compliance of duties, but also minimising the costs. Whether its compliance audits or customs valuation, S.A.L. can advise you. Our consulting services include:

  • Customs duty analysis and reduction strategies
  • Free Trade Agreement advice
  • Tariff classification advice
  • Compliance audits
  • Import/export industry incentive schemes
  • Customs valuation

The particular point of interest with customs consultants it that they can evaluate your immediate situation and advise you on cost reduction. However, the benefit of custom consultants goes beyond the present situation and extends to past payments.

reduce cost of duty

We can review your past, present and future situations.

Can past costs of customs really be reduced?

This is one of the fundamental benefits of hiring customs consultants; we can look at your past costs and see what can be reduced.

S.A.L. can conduct a complete review of the duties that your business have paid for the past four years and identify the times you paid more than you should have.

There are some factors that could have contributed to excessive costs, whether it’s not understanding details of the costs or not making use of legislative changes. Acts like Free Trade Agreements can directly impact the costs of duty paid.

As an example, if three years ago an FTA came into effect but your business wasn’t aware of the changes, S.A.L. consultants can identify the unwarranted costs. Consequently, we can work with your business to receive the appropriate refunds, meaning more money back in your pocket.

Should customs consultants be used just once?

Of course, receiving consultation on customs regulations is the decision of your business alone. But, just like past changes can impact the cost of duty, so too can future changes.

A prime example is the changes implemented under ChAFTA (China-Australia Free Trade Agreement) that was effective from 20 December 2015. Advice on reducing costs of duties could substantially change with the introduction of ChAFTA. The Depart of Foreign Affairs and Trade says that many tariffs previously attached to goods shipped between China and Australia are eliminated under the agreement.

The regular and often complicated changes to legislation can have ongoing impacts on your business.

Therefore, it’s recommended your duties paid are regularly reviewed to ensure you are paying the least you legally owe.

Working with S.A.L., we are committed to understanding your business and how to ensure you can make savings on not just your duty costs but time as well.

The expertise of our consultants ensure you will be provided with the most recent and relevant changes to customs, and the appropriate solutions are delivered for your business.

For more questions and advice, please contact our friendly team here.