All organizations engaged in foreign economic activity are familiar with the term “re-export”. This is a special case of export of goods previously imported from abroad, which cancels the payment of customs fees. Let's try to understand the features of this customs procedure.
The concept of re-export
Re-export of goods is the final customs regime, which implies the export of previously imported objects from our country on special grounds, namely:
- Cancellation of the obligation by the recipient to pay customs duties on both import and export. Payment of customs costs for imported goods is carried out in the usual manner, at the end of the re-export regime, its amount can be returned.
- No economic restrictions or prohibitions apply to the subject of re-export.
It should be noted that achieving the introduction of such a preferential regime is not easy due to the complexity of customs clearance. There is an alternative option for exporting it from the country, such as ordinary export. In this case, the consignee will not be able to return the previously paid import customs taxes and duties. Any goods that are not prohibited from importing into the territory of the Russian Federation, most often raw materials, such as non-ferrous metals, leather, wool, foodstuffs and others, can be used as re-export items.
Why would you need to introduce such a regime?
In the work of companies participating in international trade, circumstances arise in which a re-export regime can be applied to goods purchased from foreign sellers. These are most often the following cases:
- Purchased foreign goods are returned to the seller because they are defective or do not comply with the terms of the contract.
- In the case of tripartite transactions, when a Russian company resells foreign goods to trading partners from other countries at their request. Such a situation may arise, for example, if there is a ban on trade interaction between the two states.
The second option in most cases involves not direct, but indirect re-export. This is a situation in which imported objects will not be imported into the territory of the Russian Federation, but will be sent directly to the final buyer. In addition, re-export can be used as a customs regime, completing the actions of others: duty-free trade, temporary import or storage, processing in the customs territory or under its control, etc.
Products that can be re-exported
Under this customs regime, objects that are subject to re-export directly, as well as those previously put into circulation and under customs control, may fall. The legislation of the Russian Federation regulates that the re-export procedure involves the conformity of goods to be sent abroad with the following basic requirements:
- Not issued, awaiting completion of any customs regime.
- Issued in domestic consumption, returned to the seller due to defects or non-compliance with the parameters stated in the contract.
- Unexploited and non-repaired objects, except when it was necessary to identify defects and violations that serve as reasons for the return.
- Existence of clarifying information, serial numbers or articles and their absolute compliance with the attached customs declaration.
- The term for sending for re-export of goods put into circulation is 1 year.
Special conditions for certain types of goods
There are some types of goods that are subject to specific requirements when re-exported. This is primarily true for dual-use facilities. In order to use a special customs regime with respect to them, coordination with the authority vested with the corresponding authority is necessary. In Russia, these functions are performed by the Ministry of Economic Development and Trade, and the export control department. In addition, there is no possibility of re-exporting dual-use goods to third countries without the written consent of the exporting state.
As for the excisable objects, they have the following nuances of this customs procedure:
- If the goods are declared as intended exclusively for re-export, labeling in this case does not apply.
- If the goods have already been imported with the attributes of excise control, all stamps must be damaged in a special way before being exported to exclude the possibility of their secondary use.
- Unmarked, shipped upon import into the territory of customs warehouses can be placed under the re-export regime.
Placement of goods released for domestic consumption under re-export mode
The customs procedure for re-export allows a particular object to this regime only with the appropriate permission from an authorized customs body that accepted the declaration upon import. In order to obtain such permission, the person planning to ship goods abroad in this way should provide the following package of documents:
- Confirming the import into the territory of the Russian Federation and, if necessary, their release into external consumption.
- Justifying circumstances of the import of goods into the territory of the Russian Federation.
- Evidence of non-compliance with the terms of the foreign trade agreement.
- Containing information about the use of the goods after its release into external consumption.
- An application for permission with the contact details of the applicant.
The customs authority that accepted the application considers it together with the attached documents and makes a decision on the application of the re-export regime for the goods of the applicant.
The procedure for re-exporting goods intended exclusively for these purposes
Objects imported into the territory of our country can be declared by the customs authorities as intended directly for re-export. By their own decision, a consignment preparing for export can be transferred for temporary storage to the consignee. In this case, according to the law, sending abroad must be made no later than six months from the date of import.
The current customs procedure for re-export requires the presence of a list of accompanying documents for such goods:
- Permission to admit to this regime specifying the terms of export from the territory of the Russian Federation.
- The contract on the basis of which the goods must leave the country: import, export, tripartite.
- Supporting documentation.
- Warranty obligation of the recipient on the territory of the Russian Federation on its export within six months.
The same rules, excluding the last paragraph, apply to objects transferred for re-export from other customs regimes.
Customs Refund
Re-export is a special customs regime that cancels any customs taxes and duties for the consignee. However, when it is carried out, all fees are charged in a general manner: separately for import, export or movement of goods to the customs warehouse.
When the shipment of the party under the re-export regime from the territory of the Russian Federation has occurred, the previously paid amounts of deposits can be returned to the payer by written permission of representatives of the customs authorities. When moving goods from processing regimes in the customs territory or temporary import, the return of previously paid funds is possible if the following requirements are met:
- Re-export is carried out no later than two years after the object is imported into the territory of the Russian Federation.
- Goods to be exported during their stay on the territory of the Russian Federation were not a tool for profit.
Re-export in Russia provides that return deposits cannot be taxed with interest or indexed.