The delivery of an international purchase should be greeted with joy, with no surprise costs. With one of our newest features, you may now avoid costly surprises for customers and yourself.

Offering duties prepaid benefits retailers by reducing package refusals and chargebacks and increasing customer lifetime value. It delivers absolute pricing clarity on orders, no unexpected costs on delivery, and a better overall experience for your clients. In short, everyone benefits.

Understanding the complex rules around duties and taxes may be difficult for organizations involved in worldwide commerce. It is especially true for small enterprises, having fewer internal resources to monitor new regulations and assure compliance. When realizing that 98 percent of the more than 400,000 U.S. firms that trade internationally are small or medium-sized enterprises (SMEs), it’s easy to notice how many business owners and managers may benefit from some assistance.

As a result, Custom Crating and Logistics provides tools and services to help clients manage cross-border sales and delivery. We provide insight into a wide range of trading scenarios, including this one: What happens to items that originate in the United States, are exported elsewhere, and then returned to the United States? Are these items subject to duty upon arrival in the United States? 

American-Made Products:

The rules regarding duties on returned goods differ depending on where the goods are manufactured. Products manufactured in the United States and then returned at any point after initial export is likely to be duty-free. Even if duties are not required, you must take specific steps to ensure compliance when accepting returned US-made goods.

First, your organization must be able to give proof of US origin by submitting a country of origin marking or a manufacturer’s certificate of origin. Second, you must demonstrate that the value of the commodities has not grown and that the items’ condition has not improved while they were outside the United States. The bottom line is that, while most American-made items are duty-free, those that have been fixed or upgraded may be liable to pay. According to the U.S. Customs and Border Protection (CBP), “upon clearing returning U.S. products via CBP, the importer should complete the CBP Form 311 Declaration for Free Entry of American Goods Returned.”

Goods having a country of origin other than the United States:

Sometimes, your organization may be bringing back items not produced in the United States. These items may also be eligible for duty-free treatment in certain conditions, with some additional restrictions. Foreign-origin items exported from and returned to the United States are duty-free if the value has not grown or the situation has improved and restored within three years after export. 

So, if your firm imported a product from another nation and then sold it to a consumer in another country if that buyer returned the item, it can enter the U.S. duty-free.

By adopting DDP shipping conditions, you may avoid unpleasant surprises for your consumers:

DDP (delivered duty paid) in international shipping indicates that the merchant/sender is responsible for footing tariffs, customs clearance, and relevant taxes. The merchant collects appropriate tariffs and import taxes in advance by billing the consumer at the time of purchase, so there are no surprises later.

DDU or DAP (delivered duty unpaid or delivered at the place, respectively) signifies that the receiver/customer is responsible for any tariffs or import fees related to their foreign delivery. Customs often contact the customer after their cargo arrives and require them to clear any costs for customs to release the item to them.

Using Custom Crating and Logistics Duties & Import Taxes, you can now navigate the world of international customs compliance while providing a wonderful experience to your worldwide clients. Contact us to: 

  • Provide absolute cost transparency to your overseas consumers
  • Reduce the likelihood of returned merchandise and chargebacks.
  • To assist in managing regional tax standards, automate estimates across areas and items.

Our professional team is here to assist you if your business encounters any issues related to duties and taxes.

Not sure which solution fits your business needs?

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