Full Service Customs Clearance
SwiftFile provides businesses with a trusted outsourced solution for all their customs filing needs.
Virtual customs department
Customs exposure has increased considerably for many Irish and UK businesses over the past 3 years. Customs audits are ramping up, and this could lead to serious issues for non-compliant companies.
As customs specialists, SwiftFile provides clients with a virtual customs department to draw upon. We file import declarations for clients on goods arriving from all over the world. We submit Irish and UK customs declarations, offering an end-to-end customs service on IRE-UK trade.
Our mission is to help businesses get full comfort on their customs compliance obligations
SwiftFile was established by Brian McNamara, an experienced KPMG-trained Chartered Account. It was set up to address a knowledge gap on customs matters within industry. We provide our clients with a fully outsourced customs department, filing all customs declarations on their behalf.
We work closely with our clients’ freight companies to ensure their goods keep moving. We also save money for our customs partners by enabling them to properly take advantage of special procedures, duty reliefs and preferential import duty rates.
Customs risk does not end at the port
Importers are responsible for the accuracy of customs declarations filed in their name. Any import VAT postponed must be properly accounted for in a company’s VAT return. Our full-service partnership approach to customs clearance makes it far easier for our clients to stay on top of their customs clearance & reporting obligations.
Accuracy
Even if a third party files a declaration on behalf of an importer, the importer remains 100% liable for the accuracy of the declaration. As customs specialists, our clients choose SwiftFIle for our customs expertise and experience.
Accessibility
Managing a customs audit is very difficult if a company can’t get copies of its import declarations. Companies can find it difficult to get their customs information from some third parties. With SwiftFile as a customs partner, our clients know that all of their customs documents are retained in one place and easily retrievable.
Visibilty
Our unique monthly Customs Activity Report means that clients have a complete picture of their customs numbers, and the impact they are having on the business.
SwiftFile allow us to have full visibility of our customs data through their timely reporting
Client testimonials
4 Common misconceptions that can increase customs risk
In the two years since Brexit, the customs exposure of many businesses has increased significantly. We are still seeing confusion in industry on what exactly are the requirements and obligations of a company trading in a customs environment. This lack of understanding of the rules can increase the risk of non-compliance. We highlight below 4 common misconceptions on customs, and advise on steps that should be taken by CFOs to mitigate customs risk.
1. That outsourcing declaration filing to a 3rd party reduces the importer’s customs obligations
The vast majority of traders outsource the filing of their customs declarations to a freight company or clearance agent. Despite this, the importer remains completely liable for the accuracy of the customs declarations filed in their names. Any errors or omissions contained in the declarations are the responsibility of the trader, as are fines and penalties that might be incurred.
Recommendation: While it is perfectly reasonable for a company to outsource the filing of their customs declarations, the importer must take ownership of the customs declarations filed in their name. “Our freight company takes care of them” should not be viewed as a valid response. Finance departments need to get comfort on the accuracy of their customs data, and regular spot checks should be carried out on declarations filed.
3. That customs risk ends at the port
Just because a shipment passes through the port, it does not necessarily mean the customs data in the declaration filed is correct. The right combination of characters entered into the import system will get a shipment green routed. Customs only check a small percentage of the shipments coming in, but the obligation is on the importer to file an accurate customs declaration.
It is also the obligation of a trader to retain copies of all backup customs documents for a period of 4 years after the date of import. The Revenue Commissioners have been relatively lenient in terms of auditing companies with an increased level of customs exposure. This is likely to change soon. Import duties are an EU tax, and the Revenue Commissioners need to ensure compliance.
Recommendation: Businesses trading in a customs environment need to be customs audit ready. Finance depts should get a clear picture of which outside agents file declarations on their behalf, and how they can access copies of their customs declarations.
2. That goods being sent for repair are not subject to import duty
Once goods cross a customs frontier, import duty is payable on the value of those goods. This is the case, even if the movement does not relate to a buy/sell arrangement such as goods going to the UK for repair. In the absence of a trader using a Customs Special Procedure such as Outward Processing, EU import duty is due on the full value of goods coming back from the UK following repair.
Recommendation: in order to remain customs compliant, the full value of goods for repair should be shown on the invoice or packing list (not the cost of repair or some reduced valuation). Outward Processing (OP) should be used of by businesses to gain relief from import duties on returning repairs. Customs authorities recognise that sometimes goods need to cross borders for repair. Inward and Outward Processing are in place to allow businesses to gain relief from import duties on such movements.
A full OP authorisation should be applied for by businesses with a regular volume of non-EU repair activity, or Simplified OP can be used to gain relief if the repair activity of a trader is only occasional.
4. There is no customs risk for exporting companies
It is true that customs risk for importers is higher than for exporters. But exporters are still responsible for the accuracy of declarations filed in their name. Customs risk increases for export companies providing Statements on Origin (SoO) on their invoices. An SoO may be provided by an Irish exporter to allow a UK customer claim preferential import duty rates on EU origin goods.
Recommendation: Providing an SoO shifts the customs risk from the UK importer to the Irish exporter. So they shouldn’t be given out lightly. When providing an SoO, an exporter should have confidence their EU origin goods comply with all customs rules of origin, and have the documentation in place to prove it. This documentation should be retained for a period of 4 years to facilitate inspection by the Revenue Commissioners.
With fines, penalties and the payment of back duties, non-compliance can be costly for a business. Simply managing a customs audit can be a challenge if a company is not adequately prepared. CFOs should get comfort on their customs obligations now, to minimise the likelihood of compliance issues in the future.