Case Study

Understanding ‘local’ customs duty

Understanding ‘local’ customs duty

Background This US company had a large transaction with a customer in France. Their business model was structured such that the French company was responsible for importing the goods and paying the VAT, whilst the US company paid any Customs Duty. The goods being imported into Europe are high tech and difficulty was faced in classifying such goods. In all UK imports a zero rate of Customs Duty had been applied to these goods. However, th

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