Fiscal customs clearance

Fiscal customs clearance contains regulations on value-added tax that make it easier for German importers to import goods from third countries into Germany via another member state of the European Union (EU). The importer actually has to pay not only customs duties but also VAT when importing goods from third countries, for example when importing Chinese products intended for the German market into the EU via the port of Rotterdam. However, if the goods are transported onward to Germany without delay, the importer can, however, appoint a fiscal representative by means of a power of attorney to handle the imports on his behalf for VAT purposes. In the importing country – that is, in the example above, the Netherlands – only customs duties are paid, while the VAT payment is later paid via the company’s VAT registration. This possibility of deferring the payment of VAT means a liquidity advantage for the importer
Forwarding agents, tax advisors, auditors or lawyers can be considered as fiscal representatives. They take care of all VAT obligations for the importer that he would otherwise have to deal with himself. The condition for the appointment of a fiscal representative is, however, that the importer is neither resident nor has any other taxable turnover in the EU country via which he transports the goods to Germany.