Mistakes to Avoid in Customs Form

Mistakes to Avoid in Customs Form

In the import-export business, filling out international customs forms is a hard task, but a vital part of international shipping. All border authorities take Customs Form seriously. Every bit of a filled-out form is scanned and scrutinized carefully.

Many exporters and importers make mistakes while filling out customs forms. Those who are new to the international shipping business often commit such mistakes due to a lack of understanding of human errors. When customs officials identify any mistakes, the shipments come under more scrutiny. Errors on customs declaration forms can have severe consequences. The risk of shipping delays is one of them.

One must either learn to avoid making mistakes or fill out customs forms neatly and perfectly. There is a better option, though. For example, EximAnything offers SMART-inclusive services that include filling out customs forms or navigating a client to correctly fill out the form.

Why Is Customs Form Filling Required?

A customs form must contain all the relevant information about the exporter or importer, the declaration of value of the shipment, the number, size, and volume of the shipment. It must be declared that all the information filled in the form is according to the import and export laws of both the sending and receiving countries. Filling out the form incorrectly can invite fines according to the rules applicable in the country.

Why Is It Necessary To Declare The Value Of The Merchandise In Customs Form?

Every country has its own laws that include the laws applicable to levy of taxes and duties on items entering their borders. Declaration of value in a customs form allows the customs authorities assess the taxes and duties on the goods efficiently. Forms also serve security purposes, allowing border officials to ensure nothing dangerous or illegal enters their country.

Declaration Of Incorrect Value

The misrepresentation of the value of the goods on the customs form is illegal and is a serious problem. It means “a false declaration” by the vendor that is punishable by way of penalties, shipment hold up, and other fines as stated in the law of the land. This will invite a higher fee for customs duty and penalties.

HS Code Error (Customs Form)

The Harmonized System (HS) is an international code system applicable to all shipments. There are more than 5,000 HS codes in use. There is a possibility of human error while filling in the correct code. Merchandise that crosses borders must carry the proper Harmonized System (HS) code. These codes are regulated by the World Customs Organization and help border authorities determine if tariffs apply to imported goods. The US also uses HTS (harmonized Tariff Code). Any error in the HS or HTS code will delay the merchandise. Any delay as a result of incorrect information filled in customs forms means the shipment may need to be stored in a warehouse. Storage of merchandise costs money.

AES Information

The Automated Export System (AES) is an important part of Electronic Export Information (EEI). The data included includes data such as quantity and units of measure for your goods. The best thing to avoid making such mistakes is to hire the services of an experienced agency like EXIM Anything.

Improper Hazardous Material Labelling

Goods like hazardous materials and food items require special labelling systems. Hazardous materials labelling must be filled out correctly. People who fill out labels for hazardous goods should be trained on how to do it because improper labelling leads to disastrous consequences. It is important to avail the services of a company like EXIM to do such jobs to avoid mistakes and delays, or even confiscation of shipments.

Barcode System

The customs form must also contain the correct bar code. A bar code is read by a bar code scanner. It contains relevant information, which is important for logistics and customs purposes. Considering that the authorities and other service providers are busy with many shipments, the bar code system makes sorting of goods easy and quick.

Import and Export Regulations
Each country has its own set of rules and laws regarding imported goods, such as the requirement of an Automated Manifest System (AMS), origin certificates, or even fumigation of wood products. These laws must be strictly adhered to.

Duty-free or low-cost imports

Some goods qualify for preferential tariffs as a result of a free trade agreement between the two countries for the purpose. Labeling goods wrongly with a preferential tariff is an illegal act. This is a fraud and invite penalties as per the law.

Request A Quote

    We're Industry Experts!

    If you are looking to expand your business’s global reach, Eximanything will be an excellent partner in navigating you through the Export-Import Process.

    5 lacs+Visitors
    1k+Cups of coffee