Navigating duties and taxes on international shipments
The terms “tariff” and “duty” are frequently used interchangeably, as both represent types of indirect taxation. When discussing state policies or economies, the term “tariff” is generally applied. Tariffs safeguard local markets while generating fiscal revenue. When talking about specific fees or amounts, the term “duty” is typically preferred, and commodity-classification codes are applied to determine the exact amount of duty required.
A duty is a regulatory tax levied by governments on imported and exported goods. The calculation of these duties is dependent on the declared value of the commodities within the shipment. Duties are applied by customs authorities at the time of initial entry and vary depending on the classification code, total value, country of manufacture, and associated freight charges for the commodities involved.
Each nation sets its own standards regarding whether a shipped item is considered a document (non-dutiable) or a commodity (dutiable). In most cases, paperwork that lacks any commercial value is exempt from these fees. However, documents carrying commercial value are subject to duties.
WORTH NOTING
Settling customs duties and import taxes typically falls upon the recipient. To accelerate final drop-off, DHL will reach out to the consignee on behalf of border officials to coordinate the transaction, which can be completed effortlessly through a secure link sent to them by DHL.