October only saw a couple of classification developments, those being:
One of the inherent risks of the Combined Nomenclature is that customs authorities in different Member States of the European Union will classify products in different ways. This means that some importers have potentially either overpaid or underpaid customs duties.
Although this is becoming more of a rarity (for example with the introduction of the European Binding Tariff Information (BTI) database which allows both importers and authorities to see if a BTI ruling has been issued in another Member State) there are still occasions when national customs authorities come to different conclusions about the correct classification of a product. When this happens, it becomes necessary to refer back to the European Commission Classification Committee as in the case below.
The product in question
The product in question is a glass television stand with a metal base. The four CN codes that these stands have been classified under are:
- 9403.20.80.90 (Furniture of metal) 0% duty
- 9403.60.10.00 Furniture of wood used in the dining room and the living room) 0% duty
- 9403.60.90.00 (Other wooden furniture) 0% duty and;
- 9403.89.00.90 (Furniture of other materials (glass)) 5.6% duty
If you have been classifying the said product under the code that attracts 5.6% duty and it subsequently turns out that this code is the incorrect one to use, you will be able to enter a repayment claim for a maximum period of three years from the time of the confirmed receipt of the claim.
Commission Regulation No. 872/2009 focuses on the correct classification of Thong Sandals. The customs classification of footwear is one of the most difficult and debated areas of classification and the European Commission decided that in this case, a clarifying regulation was required. Thong Sandals from now on should be classified under CN Code 6404.19.90 which attracts a standard duty rate of 17%.
If you have any questions or issues with regard to the developments this month then contact our team of classification specialists on (01905) 619229 or alternatively drop us an email at: email@example.com and we will be happy to assist you.