The Importance of Harmonized Tariff Schedule Codes
You want to start the business of importing and exporting your merchandise? Well, that is a great idea. As an international trader, you will get exposure to a large market, since you will be dealing with both the local and the external markets. Also, as an international trader, you are going to look for other market opportunities out there for your goods and at the same time create and grow the demand for the same.
You will not do without the knowledge about rules governing the movement of good across the borders. As you will come to understand, the harmonized tariff schedules are meant for the good of the government keeping data and proper service delivery by the government as well as safeguard your business from undue inconveniences. Without the correct coding of your goods, risks are high that, other than attracting huge penalties and fines, you will cause delays in the movement of the commodities. You will attract unnecessary huge penalties and cause delays, besides causing a seizure of your goods as you also stand to miss importation privileges. On the other under, once you knows what it means to comply with Harmonization Tariff Schedule regulations, you will benefit in a number of ways.
To begin with, one fact for your understanding is that, you have a responsibility to undertake as required by law. There are huge amounts of losses you are likely to suffer by mere noncompliance with the harmonization tariff schedule regulations.
Also, you will save sums and sums of money. Understanding and complying with the harmonized tariff schedules, you will prevent unnecessary expenses, both in the long-term and in the short-term. Strict adherence to the harmonization of tariff schedules will see your business of the hooks of governing authorities and that will be a big plus to your compliance records as well as to the performance of the business in the long run. Worth noting is the fact that, it is your responsibility as the owner of the merchandise to do proper classification.
You will benefit from the special provisions which allow for lower rates. In most cases, what determines whether the goods are legible for lower rates is the nature and use for which goods are meant and certificate from the origin. With knowledge of how the rate schedules are harmonized will save your capital a great deal.
In addition you will be in a position of protecting records for compliance, besides safeguarding against outgoing of capital in the form of taxes and duties. You will enhance the smooth and fast movement of your merchandise.
To have an idea on the regulations governing classification of goods for export and import purposes, will be big plus to your business, since you will avoid huge capital going to taxes and duties.