Customs and its mission
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- Morgan Welch
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1 Customs and its mission We used to define Customs as: A governmental Authority which is responsible for applying customs laws and collecting import and export duties and taxes. Now,the mission of Customs is: Facilitation for the movement of global trade and encouraging industry, Protecting national, economic and security interests, in addition to Collecting taxes and duties
2 The Customs organizational Structure It is divided into ; Sectors Central Directorates General Directorates
3 Ex, Commissioner
4 Where Do you Work What is your job? The Customs Administration Officer Researcher Estimator We also have the customs clearer or broker They work according to ; Customs Law and Exemptions Customs Tariff Customs Procedures
5 The customs Tariff We classify goods according to the Customs tariff which is divided to; 6 General interpretative rules (GIR) 21 Sections 99 chapters Explanatory Notes From Tariff Nomenclature we determine ; The H.S code (Heading and sub-heading ) The description and the rate
6 Abbreviations H.S ECA C/D POE PSI B/L L/C D/C Harmonized System Egyptian Customs Authority Customs Declaration Port of Exportation Pre-shipment Inspection Bill of Lading Letter of credit Documentary Credit
7 Procedures Consignment Consignor Port of Loading Consignee Port of unloading (discharge) The importer or his representative goes to the shipping agency to receive the goods delivery order in return of the Bill of lading He needs to submit certain Documents to Customs: Commercial invoice (pro-invoice) Packing list Certificate of origin
8 continue The lodgment of customs declaration in one of the MCCs or Logistics area. He submits his file in Data entry office or through the Customs website Documents then are revised in window one The Risk Management to define the channel (Green or Red) If green documents are transferred to the concerned committee to review documents,determine the GOIEC aspects then they define the HS code the duties are calculated and paid THEN he goes to window 2 to deliver the payment receipt and receive the release form. Goods are released If red
9 14 New systems have been applied to reduce release time Pre-arrival processing At the MCC Before the ship arrival Lodgment of declaration Valuation & Calculation of duties Payment & Receipt of release order Contact Team at port of entry 5 4 The ship arrived Release of goods Goods verification &GOIEC
10 Topics for Discussion Valuation What does a Customs estimator do? He verifies goods concerning kind, value and origin He works according to customs tariff What are the supporting documents for Valuation? Pro invoice Commercial invoice Price list Packing /Weight list Certificate of analysis Certificate of origin Catalogues and engineering drawings L/C others
11 Methods of Valuation Methods of Valuation; Transaction Value Identical goods Value Similar Goods Value Deductive Value Computed Value Fallback method
12 Agreements International Agreements Kyoto GATT Simplification of Customs Procedures Istanbul Convention on temporary Admission Agreements Bilateral Agreements Multilateral Agreements
13 Agreements GATT General Agreement On Trade and Tariff ATA PTA IPR COMESA FoS Convention on Temporary Admission Preferential Trade Area Intellectual property Rights Common Market for East and South Africa Framework of standards
14 Special Customs Regimes 1- Transit Direct Transit In which goods are transferred to another means of transportation Indirect Transit Transshipment Inward Transit In which goods are transported in bond from an office of entry to inland customs office. Outward Transit
15 Special Customs Regimes 2-Temporary Admission Admission free of customs duties and taxes for inward processing,manufacturing or repair on the condition that they are reexported 3-Temporary Release The release of goods and deferred payment of duties and taxes 4-Drawback A refund of duties paid when imported goods are re-exported from the country 5-Bonded Warehouses Public Warehouses Private warehouses
16 Special Customs Regimes Free zone It is part of the territory of the state where goods are generally regarded as outside the customs territory and therefore not subject to import duties and taxes. Free zones are two kinds: Industrial ;where processing and manufacturing are allowed. Commercial; where all operations necessary for preservation of goods and improvements of packaging or marketable quality are allowed. It has to follow regulations in case of fraud,contraband,public security,morality and health.
17 Abbreviations International Organizations WCO WTO ISO IATA IMO UNESCO World Customs Organization World Trade Organization International Standardization organization International Air Transport Association International Maritime Organization United Nations Educational, scientific and Cultural organization
18 Commercial and Economic Abbreviations EFTA ICC IMF European Free Trade Area International Chamber of Commerce International monetary Fund USAID United States Agency for International Development UNCTAD United Nations Conference on Trade and Development
19 Other Abbreviations EDI AMS ADP Electronic data interchange Account Management Service Automated Data Processing
20 At The Airport Description of the airport; Arrival Hall Departure Hall Airlines offices Information office Counter for check in customs Passport control Duty free shops Tourist office Immigration office
21 A tourist has just arrived and speaks to Customs officer C : Hello, Welcome in Egypt T :Thank you C :May I help you? T : Yes, please C :Your passport please T :Here you are C :How long will you stay in Egypt? T :For a week C :Do you have anything to declare? T :Oh, I have nothing but this handbag C :What is there in it? T :Personal articles
22 continue C T : May I have a look :Sure,here you are C : That is ok. I wish you a happy stay in our country. C :Thank you
23 O C O An old Lady and Customs officer :Please I m in a hurry I can t wait any longer,my leg hurts :Sorry Madam It s the procedures, That s all right. What do you have? :Nothing just personal things and some presents C : Please open this bag It s yours isn t it. O : Yes, it is but why? C : please hurry to save time O Oh I can t find the key
24 C : oh, I m sorry I ll break the lock O : Don t please I ll open it C : oh that s why you are in a hurry all these bottles of whiskey You have to open all your bags now
25 INCOTERMS In The port of Exportation تسليم مصنع EXW Ex. works تسليم لحامله FCA Free Carrier FAS Free Alongside ship تسليم بجوار الباخره تسليم على ظهر الباخرة FOB Free on Board
26 INCOTERMS In the port of Importation C تسليم شامل النولون C&F Cost and Freight فقط CIF Cost, Insurance and Freight تسليم شامل النولون و التأمين تسليم شامل النقل CPT Carriage Paid to الداخلى CIP Carriage and Insurance paid to تسليم شامل النقل الداخلى و التأمين
27 تسليم عند الحدود DAF Incoterms At the port of Importation D Delivered at Frontiers تسليم خارج الباخرة DES Delivered Ex ship )من ظهر السفينة فى ميناء الوصول( تسليم خارج الرصيف DEQ Delivered Ex Quay على رصيف ميناء الوصول خالصة الرسوم تسليم مدفوع الرسوم DDP Delivered Duty Paid DDU Delivered Duty unpaid تسليم غير مدفوع الرسوم
28 Topics for Discussion Taxes Taxes are imposed by the government to cover the cost of services y provided for the community. They are two kinds: Direct Taxes Indirect Taxes Sales Tax: They are charged on locally goods,foreign goods and Services.
29 What are the payments related to Importation? Carriage Freight Insurance Brokerage Commission Kinds of Taxes Export Tax Import tax Value added tax Compensatory tax
30 There are Different Kinds of ships; Cargo Liner Vessel The Bulk Carrier Passengers liner Coasters
31 دراسه و تحليل بعض المستندات الجمركية Invoice no Date Port of loading Port of unloading Description and quantity Unit price/ Total Terms of payment Delivery origin Packing ما هى البيانات المطلوب استخراجها من الفاتورة
32 Document نماذج لبعض المستندات الجمركية
33 Kinds of Packages Cartons Sack Box Drum Bale Barrel
34 WCO website
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