There are several types of customs payments that play a huge role in shaping the country's economy. All imports and exports go through this state body, which means that it is subject to certain payments. Today we will consider the customs VAT.
What it is?
Almost all trade operations require customs payments to certain government agencies. This is done so that goods are allowed into the territory of our country or released from the country.
In the following way, it can be said that both individuals and individuals are required to make customs payments when exporting or importing certain goods. This is prescribed in Article 4 of the Customs Code. In our country, such payments are formed and the budget is replenished.
The duties levied by the state authority being studied are not only customs VAT, but also other fees and duties. All of them are considered non-tariff instruments of state regulation of foreign trade.
A complete list of all customs payments can be found in the Customs Code, Articles 70 and 3. In addition, there is an Agreement on the procedure for the payment and calculation of customs payments in the participating countries. It includes:
- Export customs duties.
- Import duties.
- Indirect taxes.
- Customs duties.
- Anti-dumping, special and countervailing duties. They are established on the basis of international treaties between the member countries of the Customs Union (CU). As well as the laws of these countries.
Indirect taxes include customs VAT (value added tax), excise taxes that are levied on the import of goods into the territory of the Customs Union.
What about payments?
Having understood the concept of “customs VAT”, it is important to study other types of such payments. Let's list:
- Penalties.
- Funds for the sale of confiscated goods.
- Interest that arises if a person is granted an installment plan or a deferment of payment of customs duties.
- Advance payments against the following payments.
- Money that importers pay to customs authorities for issuing excise stamps.
- Securing the payment of customs taxes or duties.
Payment Functions
Before disassembling the customs VAT upon import, you need to decide what functions all similar payments have. It:
- Fiscal. With the help of payments, the revenue part of the state budget is replenished.
- Regulatory. Relevant services prevent unwanted exports of goods whose prices are higher in the world than in the country.
- Protective. The state is trying to support the domestic producer and protect it from foreign competitors.
- Trade and political. The government is trying to protect certain sectors of the national economy from competition with foreign manufacturers through the created price barrier.
As you can see, import customs VAT was introduced just in order to help domestic producers develop and grow.
Signs of Payment
To understand what customs payments, in particular VAT, are, you need to figure out their signs as well. More details about them below.
All payments related to customs must be paid. If we talk about the procedure and form of calculating payments, then this moment is regulated by the Customs legislation, the Tax Code of our country, as well as the Customs Union. It is important to remember that the special subject of such payments is the customs authority, which at a certain time and in a certain place is responsible for customs operations. Any customs payments go to the budget of our country.
Indirect taxes
Of all customs indirect taxes, value added tax can be distinguished. We’ll talk about it in more detail, but first let us define this type of tax.
So, indirect taxes are called taxes on services and goods, which are set in the form of premiums on tariffs or prices. What does it mean? Enterprises that provide services or produce some goods, sell their products at a tariff (price), taking into account the premium. They contribute to the state budget a certain amount of profit. We can say that producers seem to collect taxes from the population, while buyers pay these taxes.
Another name for indirect taxes is unconditional. All because they do not depend on the income of the taxpayer and are taken regardless of profit or results of activity.
If indirect taxes are increased, then such a measure can lead to the fact that the population will reduce the consumption of products or services.
Why are we talking about indirect taxes? Yes, because the VAT of the Customs Union also applies to them.
So, taxes of this type have their disadvantages and advantages. Let's look at them.
Tax advantages
The VAT of the Customs Union and any other indirect taxes have several advantages over other payments:
- These are the most favorable taxes for the country, because there is no direct correlation between taxes and the results of the enterprise or organization.
- Indirect taxes are not accompanied by arrears, because they are included in the cost of goods and services. It turns out that if a person bought something, then they already paid the tax.
It seems that we heard only the good, are there really no minuses? Now consider them.
Cons of tax
The customs duties of VAT have disadvantages, among which:
- The state spends a lot of money on tax control.
- Inverse proportionality of solvency.
- The fiscal nature of indirect tax contradicts the interests of economic development.
As you can see, customs VAT payments are not so good, if you look.
What is VAT
VAT is called indirect tax, a form of withdrawal of a part of value added to the state budget. It is created at any stage of the production process of goods, services and work and is budgeted upon sale.
If we compare the customs payments of VAT, sales tax and sales tax, then the first benefits are much greater. For example, it covers turnover at each stage. When the tax base is expanding, budget revenue rates can also increase, and such a tax is much more effective than the other two listed.
The tax brings less burden to each producer, because only an increase in value is taxed. It turns out that the severity is distributed along the entire commodity circulation chain, that is, all participants in market relations are in an equal position with respect to each other.
The taxation form is quite simple, because there is a single collection mechanism for all taxpayers in the country. This is very convenient for the state, because it will not work to evade such a tax, which means that everyone will pay it.
Who pays VAT
Customs fees - taxes pay:
- Persons who transport goods across the customs border of the relevant service.
- Organization.
Persons who are required to pay VAT in connection with the movement of goods across the border are indicated in the Russian legislation and the legislation of the Customs Union.
Organizations are legal entities that are formed in accordance with our laws. This also includes legal entities of foreign origin, companies or other corporate entities that have civil legal capacity and are created in accordance with the laws of a foreign state. By the way, international branches, organizations and their representative offices in our country also belong to organizations.
VAT performs not only a regulatory function, but also a fiscal one. This is due to the fact that the tax significantly replenishes the budget through a stable tax base and ease of collection.
The customs VAT rate is established by law. All goods that are imported into the country are taxed at the same rates that are used domestically.
Interestingly, some indirect taxes are divided into groups: some are levied on consumer goods, others on second-order necessities, and others on luxury goods. But VAT levies all these items. Scientists sometimes call VAT a universal excise tax. Because it widely covers all consumer work, goods and services.
Another difference between VAT and excise duties is the second in certain areas of public life.
Essence
It just so happened that in the tax system of our country the main role is assigned to indirect taxes. VAT is a federal tax due to which the budget receives at least 35% of all revenues. In addition, VAT also affects pricing and consumption patterns.
In our country, the tax was introduced in 1992. He replaced the sales and turnover tax. To date, the taxation procedure is spelled out in the Tax Code of the Russian Federation chapter 21.
Added value is created by living labor, which means that VAT is everywhere where there is living labor. It is noteworthy that living labor is present at every stage of the creation of goods and it does not matter what it is about: the collection of raw materials or trade.
An object
Before talking about the return of customs VAT upon import, you need to understand what is considered an object of taxation. There are only four types of operations with which you have to pay:
- Realization of works, goods or services. Transfer of property rights in Russia.
- Transfer of goods, services or works for personal needs in our country.
- Construction and installation work for personal needs.
- Importation of goods into Russian territory.
The farther the goods move inland, the more the producer incurs costs, which means that the value of VAT is growing. That is, all organizations and enterprises are tax collectors, but the ordinary customer or buyer pays for it.
How is charged and paid
As soon as goods are imported into the territory of our country, tax authorities and customs authorities begin to control the payment of VAT. This happens because the accrual and, accordingly, the payment procedure is regulated not only by the Customs Code, but also by the Tax Code.
The taxpayer has two ways. The first is to issue a customs VAT refund upon import. The second - to take into account the cost of purchased goods. So that there is no doubt that the tax has been paid, the customs authority must issue the payer the appropriate declaration. In which payment is confirmed.
Calculation of customs VAT
To calculate the tax correctly, you need to look into the Tax Code of our country, namely, in article 164. Everything is painted there regarding those goods that move across the border of customs.
In which cases the tax rate is 0%:
- If the goods were imported in customs export mode. An important condition is the provision of the necessary documents to the tax service.
- If the supplies are removed from Russian territory in the customs regime of the movement of supplies. We are talking about fuels and lubricants, fuel, which is necessary for the full functioning of marine, air and mixed type ships.
In what cases is the VAT calculation of customs payments made at a rate of 10%? Such tax is levied on:
- Groceries, the list is set in the Tax Code of our country. It, for example, includes vegetable oil, vegetables, sugar, salt and so on.
- Baby products, a list of which is also indicated in the Tax Code.
- Periodicals. This does not include publications of an erotic or advertising nature, but only those related to education, culture and science, books.
- Medical goods of foreign and domestic production according to the list of product codes established by the Government of our country.
Any other products are taxed at 20%. It turns out that for all goods, except for groups exempted from tax, customs duties of VAT with a rate of 10 to 20% can be applied.
Formulas for calculating
To correctly calculate the amount of tax, you must use special formulas.
In relation to goods that are subject to customs excises and duties, the following formula should be applied: Snds = (St + Ps + Ac) x N. C - VAT amount, St - customs value of imported products, Ps-amount of import customs duty, Ac - excise amount , N - VAT rate as a percentage.
If the goods are subject to customs duties, but not subject to excise taxes, the calculation formula will be different: Snds = (St + Ac) x N. All designations remain unchanged.
The amount of VAT is paid at the place of registration of the taxpayer in the tax service. So it is written in Article 174 of the Tax Code and so it must be implemented. By the way, the same rule also works in a situation when goods are exported outside the customs territory of the Russian Federation.
When goods are imported into Russia, VAT must be paid no later than fifteen days after the goods are presented to the customs authority. It is important!
Payment of tax, as well as refund of customs VAT, is made in the customs authority in which the customs clearance was carried out. If we are talking about goods that are sent in international mail, the tax is already paid by the state-owned communications company. The latter is a kind of intermediary, because it transfers the money subsequently to the customs authorities.
It is important that the payer can independently choose the currency for making payments. But you need to choose from those that are quoted by the Russian bank. If the payer chooses a foreign currency, then the conversion will be carried out at the rate that was adopted in Russia and which is valid on the day the customs declaration of VAT is accepted. The amount payable is usually rounded to the second decimal place.
You can pay VAT both by bank transfer and in cash at the cash desk of the relevant authority. Any bank transfers to the account of the customs authority must be executed as payment orders or other payment documents.
When you don’t have to pay
Sometimes there are cases when you do not need to pay VAT at customs clearance. In what situations is the payer exempt from tax? First of all, it is worth saying that this moment is spelled out in the Tax Code of our country. There you can see not only a list of non-taxable goods, but also those goods that are not taxed if the transactions are carried out in our country.
So, VAT is not paid if the customs territory of the Russian Federation is crossed by goods that are transferred as excise-free assistance or assistance. The exemption is applied according to the Instruction on the procedure for customs clearance of goods.
It is important to understand that humanitarian assistance or assistance refers to gratuitous assistance that is provided to provide social or medical assistance to low-income groups of the population, or to those who have suffered from natural disasters or other emergencies. This also includes the costs of transportation, storage and maintenance of this assistance.
The recipients of such assistance can be the subjects of our country, the state itself, government bodies, individuals and legal entities, local governments.
Donor organizations may be foreign states, their municipal and federal entities, foreign and international institutions, or non-profit organizations that provide humanitarian assistance.
Attention! Humanitarian assistance does not include goods subject to excise duties, as well as meat and meat products. The latter is due to the fact that meat is intended only for industrial processing into semi-finished products and so on. You can not consider humanitarian aid and minced fish or meat, mechanically deboned meat, clothes, shoes that were already in use. The exception is shoes, clothes and bedding, which are sent to institutions and organizations of social protection, education, health care.
Taxation procedure
When exporting goods from Russian territory, the following taxation procedure applies:
- Export of goods in the customs export regime is not taxed.
- Re-export of goods outside Russia provides for the return of all tax amounts that were paid upon entry into the Russian Federation. This is done in the manner prescribed by the customs legislation of our country.
- The placement of goods under the customs regime of a customs, free warehouse or free customs zone for subsequent export of products is not taxed.
- The export of goods transported across the Russian border in the customs regime of the movement of supplies is not taxed.
- Export of goods from the customs territory of our country in accordance with other regimes that provide for exemption from VAT or its return.
As for the import of livestock, technological equipment, agricultural machinery under leasing, the tax is paid at intervals. The latter can last as long as the lessee does not register the goods. .
Tax deductions
, .
? , . :
- , , . , .
- , .
, — . . , .
, . . , , .
, . , .
If all this is done, then the deduction of the amount of tax is made in full. If we talk about operations with 0% VAT, then the deduction there will be paid only after the payer provides the required documents. The list is in article 165 of the Tax Code of our country.
Conclusion
As you can see, the question requires a very thoughtful study. If you think that after reading the article you began to understand all the nuances of charging VAT, then we hasten to disappoint you - this is not so.
You can’t learn such a difficult topic in fifteen minutes, it will take much more time, perhaps more than one day. Only a thorough study of the subject can guarantee you an understanding of the issue.
Yes, customs taxes and fees are quite impressive, but nevertheless, exporters and importers do not have to choose. As for the value-added tax, one cannot blame the government, because this is almost the only tax that all Russians pay.
You think that the state budget is spent incorrectly, maybe so, but remember what is the territory of our country. How can one compare the sizes of France and the whole of Russia and the standard of living in these countries. The state needs to provide free education, medicine, roads and so on, but where to get the funds from? With the population of the country and this is natural. Therefore, before comparing European countries and ours, remember not only their standard of living, but also their love of taxes. Europeans are accustomed that they pay for everything, and for a Russian such a system is new. So make the right conclusions.