CUSTOMS

Definition and types of customs

Customs duties are a form of public revenue that is collected during the
crossing of goods across the state and the customs border. Customs duties
are obligations of importers - exporters that, at the moment when goods are
crossing national borders, pay the required sum of money to the government.
Tariffs are a type of indirect tax that is charged when goods are crossing the
customs line. Objectives of customs is not to increase state revenue, but to
protect domestic production, especially those who are just beginning to
develop.
Objectives instituted customs are different, but the most important are the
following:
A) Fiscal
that through customs collect funds for needs of the state.
B) Economic
- They are the most numerous. First of all, used to protect the domestic
economy or specific sectors of external competition.
C) Social
- Used to protect the living standards of certain social groups
Customs can be divided and be grouped according to various criteria:
According to the direction of movement of goods, customs duty are
divided into:
1) Import
2) Export
3) Transit
Import customs are those customs duties charge on importation of goods in
most countries today those can only apply. Import customs charge to goods
which are definitively imported under the customs areas. Foreign goods will
be increased by amount of paid customs equalization competition also serves
domestic and foreign goods.

Export customs are those customs duties charge on export of goods from
their country. They prevent massive export of domestic goods to foreign
markets and are introduced from fiscal or social-political reasons.
Transit or transport customs are to be paid during the transport of goods
from one country to another and not imported are already going through a
third country, those certainly does not contribute to the development of the
international exchange. Their introduction to restrict international traffic.
The purpose of the introduction customs on share :
1. Fiscal customs are those that are introduced in order to collect the funds
needed to cover state expenditures. Usually being introduced to those goods
which are not produced in the country or are not produced in sufficient
quantities, which are generally raw materials imported by industrialized
countries for domestic industry. In the group of fiscal customs duties include
those that are paid on the import of cigarettes, alcoholic drinks, coffee, tea,
various spices, etc.
2. Economic customs are those that are taken to protect domestic production
from foreign competition, which is why called protective. The economic
objective of these duties is to increase the price of imported goods,and
thereby increasing competitive ability of domestic products in relation to
imported goods. These duties should be to overcharged or even prevent the
import of cheap foreign goods producers in the domestic market. Amount of
customs duty paid on imported goods depends on the difference in price
between domestic foreign products of the same type, if the differences are
larger and have higher customs. Protective customs duties objective is
achieved by preventing the import of foreign robe.Medjutim, if these
customs are paid make the country an unexpectedly large income, then it
does not achieve the purpose for which they were introduced. A number of
countries used a used today customs for protective purposes, to enable the
development of local young inexperienced industries from foreign
competition.

3. Social customs are introduced to some products with a lower tariff rate,
keeping in mind achieving a social goal such as drugs, medical devices, food
products, etc.
4. Anti-dumping customs are introduced on cheap imported goods to protect
domestic producers from floods and the invasion of foreign goods which are
sold at extremely low prices. They aim to equalize the price of foreign goods
imported in a particular market that is lower than the normal price, provided
that it can be detrimental to the economy of specific countries.
According to the method meting out the customs duties are divided into:
1) Value or ad valorem and
2) Specific or quantitative
Value or ad valorem customs are those in which the determination of the
height of customs duties reletive value of the goods subject to customs
clearance. The basis for collection of customs duty the invoiced value of
goods. They have the advantage to automatically increase with inflation as
well as performed customs clearance of products of different quality same
rate. Lack of ad valorem customs is that there is a possibility of fraud by
falsifying invoices, If is displayed false low price to avoid paying customs
offenses. Invoiced price ie. value of imported products is accepted as the
basis for the customs clearance unless the government has reason to believe
that these prices are not realistic.
Specific or quantitative customs are those in which at determining the
amount of customs duties relative some units. It is in periods of inflation and
in real terms decline will significantly restrict the import of products with
lower prices while at the same time will have little effect on the import of
expensive products in the same group.
To the amount customs loads are devided to:
1) Differential and
2) Preferential
Differential customs are those in which the customs clearance when
applying the highest tariff rate, and the reason for its use is the most
common economic political nature.

Preferential customs are those in which the customs clearance when you
apply a lower duty rate than usual, and thus prefers to import, puts you in a
privileged position for those states to which this economic policy is directed.
It does not apply depending on the kind and origin of the product, because it
is a privileged position for customs clearance by economic, but more
political.
According economic and political impact are divided into:
1) Prohibitive
Prohibitive customs are extremely high so that they prevent the import of
certain goods in certain markets.
2) Retaliatory
Retaliatory customs are applied as countermeasure a state in the introduction
of prohibitive tariffs other countries.
3) Preferential
Preferential customs are those customs which are used for lowering the
existing tariff rates for the corresponding percentage and thus improves the
exchange of goods.
4) Differential
Differential customs are those customs which goods originating in one
country leads to an unfavorable position in relation to goods from other
countries by increasing the amount customs for those goods.
5) Countervailing
Countervailing customs are applied when the subsidies given to the country
of origin of the product causing or threatens to cause serious injury to the
domestic production or significantly slow down the establishment and
development of new domestic production.
Duty-free goods
Many countries allow a traveller to bring goods into the country duty-free.
These goods may be bought at ports and airports or sometimes within one
country without attracting the usual government taxes and then brought into
another country duty-free. Some countries impose allowances which limit
the number or value of duty-free items that one person can bring into the
country. These restrictions often apply to tobacco, wine, spirits, cosmetics,
gifts and souvenirs. Often foreign diplomats and UN officials are entitled to

duty-free goods. Duty-free goods are imported and stocked in what is called
a bonded warehouse.
The conclusion
The basis of the customs system of Serbia consists of the Customs Tariff Act
and the Customs Act. Customs tariffs represent a systematic list of
commodities grouped with respect to payment of duty. Lower tariffs are
used for goods originating from countries with which Serbia has signed a
contract with the most favored nation clause. On goods from other countries
using the rate increased by 70%. Our customs law is harmonized with the
dominant solutions in EU countries. With regard to the basic preference
States Serbia to become a full member of the EU, she faced the extensive
task of harmonizing its legislation with the legislature of the European
zajednice.Jedna area that requires full harmonization of the regulations and
customs system. Customs revenues belong exclusively to the budget
Republike.Predlog customs laws, their structure has two parts. In the first
part seureuju issues related to the rights and obligations of participants in
the customs procedure, and in the second part of the jurisdiction and
organization of the Customs Administration.
Proceeding from the above, and using European standards (EU Blueprints)
and best practice tariff laws of the member states of the European Union,
made a proposal to the Customs Act, which contains the basic institutions
and Principe where the Customs Law of the European Union, which is in
line with the views of the World trade Organization and the World Customs
Organization, as well as a basic set courses from the General Agreement on
Tariffs and Trade (GATT), especially when it comes to the customs value of
goods origin, customs procedures, intellectual property rights protection.
This Act contains institutes, authorities and responsibilities of the Customs
Service, which had not been used in the implementation of customs
procedures and organization of the customs service, which are a prerequisite
for the implementation of the basic goals of the service as follows:
quick and easy transit of passengers, goods and vehicles cross border
crossings;
consistent and strict application of the regulations to which the
implementation is the responsibility of the Customs Service;
efficient collection of budget revenues; and
combating smuggling and violations of regulations

This law is the function of monitoring the contemporary flow of goods and
capital, an open market economy and the increasing liberalization of trade in
goods and services on the one side and on the other side provides protection
to domestic production of its technical and technological development and
progress and equality of all participants in the the traffic of goods.
The modernity of this law is reflected in the fact simplification of customs
procedures, its quicker and efficiently perform, (possibility of filing of
customs documents electronically), all of which should contribute to
speeding up customs procedures and reduce costs in foreign trade.
This law also gives the great powers of the customs authorities in the
implementation of customs legislation and the right to adequate protection of
other participants in the customs procedure. They are especially great
powers of customs workers in the control of goods during and after their
transition through the customs line, which is accompanied by prescribing
criminal offenses as smuggling and customs violations and corresponding
high fines for violators depending on the amount of deprived duties or value
of the goods as objects violations, with a view to preventing the illegal trade
and the underground economy on the domestic market. Balancing the
importance of duty for our country is significant and the last few years is
around 10%. Such a high share of customs duties in total revenues is typical
for developing countries, while this share in developed countries is much
less.
Serbian customs

References

Jadranka Djurovi Todorovi, Miodrag Jovanovi, Borko Krsti

Monetarni I fiskalni menadment
Slubeni glasnik RS br. 73/2003
Ustavni osnov za donoenje ovog zakona je lan 90. taka 4. Ustava
Republike Srbije
http://www.carina.rs