Duty Drawback is a rule applicable to all businesses since 1980 across the United States. It is extremely essential for those businesses engaged in exports and imports to hire a good brokerage company to be able to receive its specialized services in regards to duty drawback refunds.
In its simplest state, duty drawback refunds mean that a business will be able to lawfully recover 99% of taxes and duties collected by the US government upon exportation of the same previously imported goods. The client, contracted with the broker, will get back the refunded amount within three years of goods and shipment based from a US territory. All relevant claims have to be made on behalf of the client by an expert brokerage company observing every legal formality and process.
In international trade and foreign business, every business owner needs to have complete knowledge of duty drawback rules. Otherwise, it might lead to a loss of lot of revenues that is otherwise owed to the company. Finding a well experienced brokerage company is extremely essential in this regard.
All duties and other kinds of taxes that a business pays while loading and unloading of any shipment straightaway go to the government’s treasury. The duty refund consultant then claims the amount and hand over a sum of money to the government. The US law defines interchangeable exports of wine for drawback claim eligible if of the same color and not more than 50% of the total value of imports.
Identifying the Duty Drawback Claims
1. All the products made and manufactured in the United States with imported stuffs for the purpose of exporting are liable for a Duty Drawback claim of maximum 99%.
2. All imported goods used along with other materials for manufacturing other goods for export accidentally gets lost or destructed is liable for drawback up to 99% of the total value of the goods.
3. Every time a consignee doesn’t accept a shipment, then obviously an export-import business can claim drawback up to 99%.
All business owners must contact a well-reputed brokerage company to deal with these issues in a more meticulous manner. One can simply surf the Internet to get details and track records of brokerage consultants worldwide.
Choosing a Brokerage Consultant - Important Factors
Consultancy Fees: It should be reasonable and competitive.
Area of Expertise: A brokerage company needs to have several years of experiences in duty drawback claims and processes.
Proven Track Record: Not all consultants can file duty drawback claims. A consultant should have proven track record before handling such cases.
Liasoning with the Government: A brokerage firm should have good contacts with the government departments so that the duty process claim could be hastened up.
Instant File Claim: A duty refund broker should be prompt to file claim and get the same credited to his client’s bank account at the earliest.
The duty drawback provision is legally inscribed in Section 313 (a) of the Tariff Act, 1930 of the United States. The process is fully transparent and legal. We, from CITTA Brokerage Company, are always ready to serve our clients.