What are customs debts under the Customs Management Act (CMA) 2011?


17-December-2012

The assessment of duties, taxes or levies on imported and exported goods are based on the following dutiable or taxable element:

• Tariff classification in accordance with the customs tariff for the time being in force in Seychelles;

• Customs value or quantity where the duties, taxes or levies applicable are ad valorem or specific or a combination thereof; and
• Country of origin or consignment

The amount so determined, which is calculated with reference to the rate of exchange in force on the date the Bill of Entry or Export is presented to customs, constitutes a customs debt.

As per the CMA, 2011 customs debt means the obligation of a person to pay the amount of import or export duties, taxes or levies where applicable.

The declarant is legally responsible to determine and declare the duty or the taxable liability to customs upon importation and exportation of goods.

In what circumstances are customs debts incurred on importation?
Customs debts on importation are incurred in the following circumstances:

• Where goods released for home use are liable to import duties, taxes or levies;

• Where goods are placed under the temporary admission procedures with partial relief from import duties, taxes or levies;

• On the date of acceptance of a customs declaration;

• When the unlawful entry into Seychelles of goods is liable to import duties, taxes or levies;

• When there is unlawful entry of goods into a trade zone or warehouse;

• When goods are removed without the authorisation of customs supervision or control.

When customs debt has been identified from the time of temporary storage or from the customs procedures under which the goods have been placed, the debtor (declarant) will be required to fulfill the obligations arising from the goods liable to import duties, taxes or levies and to comply with the conditions applied to such goods under the procedure or home use.
 
A customs debt on importation will also be incurred through:
• Non fulfillment of one of the obligations arising in respect of goods liable to import duties, taxes or levies for the temporary storage or use of the customs procedures under which they are placed; or

• Non-compliance with a condition governing the placing of the goods under the procedure or the granting of reduced zero rate of import duties, taxes or levies by virtue of the end-use of the goods.

The customs debt will be incurred when non-fulfillment of the customs debt ceases to be met or when the goods were placed under customs procedure where the conditions or the granting of a reduced or zero rate of import duties or levies of the end use of the goods are not fulfilled.

The debtor will be required to fulfill the obligations arising in respect of goods liable to import duties, taxes or levies from the temporary storage or from the customs procedure under which they have been placed or to comply with conditions governing the goods under the procedure or home use.

For more information
You can contact Seychelles Revenue Commission on 4293737 or e-mail us at This email address is being protected from spambots. You need JavaScript enabled to view it. for more information about the CMA 2011.

 The Act is available on the Seychelles Revenue Commission website (www.src.gov.sc).

 Note that the Customs Management Act (CMA) 2011 is being implemented since July 1, 2012.

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