Customs
Breaking! Agents unaware as Customs reviews duty on used vehicles from 35 to 20 percent
Breaking! Agents unaware as Customs reviews duty on used vehicles from 35 to 20 percent
The Nigeria Customs Service (NCS) has reviewed the duty rate applicable on Common External Tariff (CET) trade portal on vehicles under HS Code 8703 to 20% Duty rate.
Freight forwarders expressed shock that the service dis not seem it for to communicate such change to the users of the service.
According to them, the command officers were not aware of such development until freight agents called their attention to it.
In a statement by the National Vice President of the Association of Nigeria Licensed Customs Agents (ANLCA), Dr. Kayode Collins Farinto to the members, he said, “The proper HS Code for used vehicles before now is 8733320 @ 35%, meanwhile this negates the CET tariffs where it was agreed that all member states should allow vehicle @ 20% untill we reported to the ECOWAS.
“I have noticed that some agents have been capturing vehicles under Hs code 87033319 (which is reserved for other Fully Built units FBU, for assemblers) since morning.
“NCS must make a categorical statement between now and Monday to inform people to continue to capture on 87033320 which has been reduced to 20% rate of duty.
“In view of this development, we urge our members not to force themselves to capture on 35% rate of duty for vehicles get it at the back of your mind that henceforth, vehicles will be on 20%
The National Secretary of ANLCA, Babatunde Mukaila Azeez told the members to be calm saying the change was not an error but the extant regime.
For failure to communicate the change to importers and and agents, he submitted that the communication gap between the service and the trading community is still at its lowest ebb.
“Dear Professional Colleagues! It has been observed that Nigeria Customs service (NCS) has reviewed the duty rate applicable on Common External Tariff (CET) trade portal on vehicles under HSCode 8703 to 20% Duty rate.
“Members are enjoined to remain calm as this is not an error but the extant regime.
“This has gone a long way to buttress ANLCA position that information and communication gap between NCS and General trading community is still at the lowest ebb.
“We shall continue to abreast members of this development real time.”
Onome.Monije, Public Relations Officer of ANLCA, Tincan Island chapter also called on stakeholders and freight Forwarders to be calm saying the association is on top of the situation.
She however called on the management of the NCS to as a matter of importance bridge the gap of communication between it and the stakeholders
For the reduction in the tariff, Monije said it was a welcome development but added that the service ought to have informed the agents not that the agents would wake up to discover such important development in the customs regime..
