By Cadys Wang    Photo：CANVA

What does import customs clearance mean?

Import customs clearance involves declaring information about goods to the customs when they enter a country, and paying duties, import taxes, and other fees as required by the country's laws and regulations.

The taxes and fees that must be paid for imported goods differ based on the type and intended use of the goods. This process is designed to ensure that imported goods adhere to national laws, hygiene standards, and other relevant requirements, and to accurately determine and collect the applicable taxes and fees.

Process of Import Customs Clearance to Taiwan

Upon arrival of the goods at the port, the importer or their representative (e.g. customs broker) will need to prepare customs declaration documents and submit them to Taiwan customs using the electronic customs system. The declaration form should include detailed information such as the name, quantity, unit price, total price, origin, and tariff number of the goods. Customs will then review the submitted documents, verify the declaration information, and may calculate the duties and other taxes based on the type and value of the goods.

Common import taxes and fees in Taiwan include:

Import Duty: A tax imposed on imported goods, calculated based on the tariff rates specified in the "Customs Import Tariff.”

Business Tax: A tax of 5% is imposed on the sale of imported goods in Taiwan.

Commodity Tax: A tax imposed on specific goods, such as alcoholic beverages, tobacco, automobiles, household appliances, etc., with varying tax rates based on the type of goods.

Imported tobacco and alcoholic beverages are subject to a tobacco and alcohol tax, which is enforced to regulate the consumption of these items.

In the context of import duties, it is imperative to consider the tariff quota tax. This tax pertains to the import volume within a predefined quota, permitting a reduced tariff rate for this quantity. Any amount surpassing the established quota is subject to a higher tariff. Additionally, there exist distinct taxes, such as Environmental protection tax (applicable to polluting goods) and luxury tax (pertaining to high-value items). The assessment of these taxes aligns with the specific regulations set forth by the governing body, taking into account the product category and value.

It's important to keep in mind that certain goods may require specific inspections or certifications within Taiwan, such as food safety inspections and electrical product certifications, to ensure compliance with Taiwan’s relevant laws and standards.

This process typically necessitates the support of professional customs brokers, especially for importers who may not be familiar with import procedures. Opting for a reputable international logistics freight forwarder and utilizing customs clearance services can greatly facilitate the import process.

Engaging a freight forwarder for imports can significantly improve the efficiency of customs clearance while minimizing risks. Should you require assistance with importing goods to various parts of the world, please don't hesitate to reach out to our TGL professional international logistics team.

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