The Advantages of Having Harmonized Tariff Schedules in Place
You want to start the business of importing and exporting your merchandise? Well, that is a great idea. After exploiting all local market opportunities you will get an opportunity to reap more from the international markets. Your chances of growing your capital and increasing the profitability of your business are heightened by opting to go for cross-border businesses.
You will not do without the knowledge about rules governing the movement of good across the borders. The tariff schedules are there for among other purposes, to collect tariffs and taxes, to gather international business statistics and monitor goods that are controlled. Without the correct coding of your goods, risks are high that, other than attracting huge penalties and fines, you will cause delays in the movement of the commodities. You will attract unnecessary huge penalties and cause delays, besides causing a seizure of your goods as you also stand to miss importation privileges. Otherwise you will be amazed at how rewarding it is to comply with regulations of proper coding of your goods.
One of your legal responsibility to carryout, is to do proper classification and coding, of which you will start by learning what particulars are involved. Failure to comply with the requirement will easily lead to delays in the shipment of your goods, intensification of inspection, attraction of fines and other penalties which you had unbudgeted for.
There is a benefit which comes out of making an effort to learn the harmonization tariff schedules, and applying them appropriately in your business of importation and exportation of goods. By all standards, you will be doing your business great favor by correctly coding your goods before leaving their origins and work closely with your custom agents and authorities. There is huge amount of money paid in terms duty, resulting from failure correctly classify the products. The law requires that you as the owner, is the one to take the burden of identifying, classifying and coding your goods before they pass through the agents at the border.
By understanding how to use the harmonized tariff schedules, you will get to benefit your business with low rate offers In most cases, what determines whether the goods are legible for lower rates is the nature and use for which goods are meant and certificate from the origin. With knowledge of how the rate schedules are harmonized will save your capital a great deal.
An additional benefit involves protection of your business from the bad records of noncompliance. You will enhance the smooth and fast movement of your merchandise.
As an international trader, you can hugely protect your business against unnecessary penalties and thus protect your capital outlay, by complying with the harmonized tariff schedules.