Customs clearance

What does customs clearance mean in the Netherlands?

With a final import, goods become part of EU goods traffic after release. The declaration goes through DMS and is assessed for risks by Customs. After submission, a selection decision follows: green means immediate release, yellow a document check and red a physical check. You pay import duties and VAT based on the customs value and applicable rate. With a valid VAT reverse charge regulation, you can possibly reverse the import VAT to your sales tax return. Different regimes than customs clearance apply for transit, temporary importation or storage. If you are in doubt about the correct regime, document your situation in advance to avoid unnecessary duties and delays.

Required documents and data

Smooth customs clearance begins with complete and consistent documentation. Consider the commercial invoice with terms of trade, packing list, shipping documents such as AWB or B/L, proof of origin where necessary and any permits or certificates. Make sure HS codes, quantities, gross and net weights and Incoterms match in all documents. Missing or conflicting data almost always leads to questions, audits and additional costs.

Process steps and lead time

The process is broadly as follows: Beforehand, you collect data and determine the correct tariff classification and origin. Then the declaration is submitted in DMS with attachments and references to the shipment. Customs performs a risk analysis and communicates the selection result. If it is green, the shipment is released and you can deliver. If yellow or red, you supply additional information or wait for inspection. The turnaround time varies from a few hours to 1 to 2 working days, depending on how busy it is, the completeness of your file and any inspections. Good preparation and clear communication with your logistics service provider will reduce waiting time at the terminal and prevent standing charges.

Sample calculation of import duties and VAT

The calculation below shows how duties and VAT are arrived at based on customs value and tariff.

If you have a valid reverse charge mechanism, then you do not pay the import VAT to Customs, but instead reverse charge it to your VAT return.

Representation and responsibilities

You can declare yourself or work with a representative. When clearing through direct representation, the representative files the declaration in your name and you remain liable for duties and VAT. At indirect representation the representative acts in his own name on your behalf and shares liability. It is important that powers, warranties and instructions are governed by contract. Find out what conditions and powers apply at the requirements for customs representation. This ensures that your returns are substantively correct and run smoothly operationally.

Special situations: formalities and arrangements

Not every shipment requires direct customs clearance. Sometimes transit through NCTS, temporary importation or storage in a customs warehouse More efficient to control cash flow and duties. In a bonded warehouse, you don't pay until exit to free circulation. If your shipment comes in multimodal or with additional requirements, also coordinate security and transport formalities. An overview of procedures can be found at customs formalities for transportation of goods. ECC helps you choose the right route, including necessary permits and compliance agreements.

Contact us for advice on your customs clearance process or request a quote directly. We arrange it completely, from file check to release.