Export | Denmark clear concerns
2024/11/6 16:49:49 COMROM: BROWSE:
Denmark is an emerging e-commerce market in Northern Europe, and as an economically developed and innovative industrial powerhouse, its digital infrastructure is well developed and its e-commerce user base is expanding, providing a new destination full of opportunities for international sellers. Denmark is a member of the European Union, and the measures and steps taken in trade control are largely the same as those taken by other member States of the European Union. So what do cross-border merchants need to pay special attention to when selling e-commerce products to Denmark?
Danish consumers who buy goods online from countries outside the EU for a total price of more than €150 (about DKK 1,150) are required to pay customs duties. The amount of tariffs varies depending on the type of goods, with tariffs ranging from 5 percent to 14 percent for industrial goods. For certain goods, such as spirits, coffee and sweets, consumers also need to pay special tariffs. To know the duty rate of a certain type of goods, it is necessary to determine its commodity code. The applicable duties for specific products imported from selected countries of origin can be found on the European Community Consolidated Customs, i.e. TARIC website (ec.europa.eu/taxation_customs/dds2/taric/taric_consultation.jsp? Lang=en)
There is a general 25% VAT on all goods (and most services) sold in Denmark, whether imported or locally produced. VAT is based on the total amount of goods payable, freight, customs duties and any other taxes. Consumers can pay VAT when the goods arrive in Denmark, or they can pay VAT at the online store where the goods were purchased. Consumers can pay VAT directly on their online shop if they have joined the IOSS scheme for items up to €150.
What exactly does IOSS mean? The EU's VAT One-stop Shop came into effect on 1 July 2021, meaning you can now pool your EU VAT accounts in One place. This is a voluntary scheme designed to simplify the process for sellers to report and pay VAT on sales to individuals within the EU, as VAT must be paid in the consuming country (i.e. the country where the product or service is used). The Import One-Stop Shop, or IOSS, is a "one-stop import service" for companies that remotely sell goods originating in the European Union to individual consumers in the European Union, with the actual value of the goods not exceeding 150 euros. Distance selling is when goods are sold by one company and then sent across national borders to individual consumers, with the seller involved in the transportation. Companies registered outside the EU must register through an intermediary if they wish to join the scheme, and the intermediary must be registered in an EU country. If a company outside the EU sells goods remotely to private consumers within the EU through an e-commerce platform, the platform is considered to be a company selling goods and the platform can be registered in the VAT one-stop service scheme to settle VAT through the import scheme. It is important to note that if the goods come from a warehouse in the EU and are delivered to individual consumers in the EU by way of distance sales or domestic sales, and the company selling the goods through the platform is not established in the EU, the platform can register and settle VAT through the EU scheme. In this case, the limit of €150 does not apply. Customs Declaration Document (SAD) A Single Administrative Document (SAD) is an official written declaration to EU customs that aims to reduce administrative burdens and improve the standardization and uniformity of trade data collection. Goods entering the territory of the EU are subject to customs control from the moment of entry until the completion of customs formalities. Once the goods are handed over to the customs officer, a brief declaration must be submitted, although the customs authorities may allow a certain period of time for the submission of the declaration, but this period must not exceed the first working day after the goods are submitted to Customs. A declarant is a person or entity who brings the goods into the customs territory of the European Community or who assumes responsibility for the transport of the goods after their entry. A brief declaration may be made using a form provided by the customs authority, which may also allow the use of any commercial or official document containing specific information necessary to identify the goods. Economic Operator Registration and Identification (EORI) Since 1 July 2009, all companies established outside the EU must have an EORI number if they wish to file a customs declaration or an entry and exit summary declaration. All companies outside the EU should use this code for customs clearance. A formal application for an EORI number must be made to the customs authorities of the particular Member State to which the company first exports. The customs authorities of the Member States may require additional documents to be submitted at the same time as the formal application for an EORI number. Once a company obtains an EORI number, it can use it to export to any of the 27 member states of the European Union. There is no uniform format for EORI numbers. Once an operator has an EORI number, they can apply for designation as an Authorized Operator (AEO). Products are sold in Denmark and their marking and labelling requirements vary from product to product. Refer to laws and regulations of the European Union (trade. Ec. Europa. Eu/access - to - markets/en/content/labelling - and - packaging). In general, consumer products must be labeled in Danish or a Danish language. In practice, other languages generally refer to Norwegian and sometimes Swedish. Certain products must be clearly marked with the country of origin. In some cases, importers may mark the goods after they have arrived in Denmark. Labels and logos must accurately describe the contents of the package, and weights and measures must be expressed in metric. Restricted or contraband
The European Union Customs Tariff (TARIC) is designed to show the various rules applicable to specific products imported into the EU customs territory, and further confirmation of whether a certain commodity is prohibited or restricted needs to be queried in the TARIC database. The following are the contraband classification codes: - CITES: Convention on International Trade in Endangered Species of Wild Fauna and Flora - PROHI: Prohibited Imports - RSTR: Restricted imports These are some of the highlights of the Danish regulations on the entry of goods. For member States of the EU Customs Union, specific information relating to customs and taxation is available in the European Commission database. Before exporting to Denmark, you need to ensure that you fully understand and comply with EU and Danish customs regulations and requirements.
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