Customs Duty

Keep track of Customs Duty payments with expert guidance

Twill will help you understand customs duty and avoid any unnecessary fees when shipping locally or internationally. Wherever you're shipping your goods, you can rely on our customs duty know-how to ensure you're always covered.

Local knowledge

We are experienced with customs duty and tax within local markets around the world.

No nasty surprises

Twill ensures your business isn't hit with any surprising customs clearance costs.

Complete transparency

We'll always be clear on what customs duty you're required to pay, wherever you ship.

Customs Duty And Taxes

Understanding Customs Duty and Taxes with Twill

What is customs duty?

Customs duty is the charges imposed on goods when they cross international borders between different customs unions. Customs duties depend on the country you’re importing to and can have a large impact on your overall customs clearance costs, so it's important to understand how they're calculated and who's responsible for paying them.

How can Twill help you with customs duty?

Here at Twill we can facilitate the process of customs clearance by ensuring you're paying the correct customs duties and taxes. We will also provide complete transparency surrounding the customs clearance costs and answer any questions you have surrounding duties and taxes for local and international markets.

Types of customs duty

The types of customs duty your shipment is subject to depend on your goods, such as where they were made, what they're made of and how much they're worth. There are numerous types of customs duty, including but not limited to:

Basic Customs Duty (BCD) - the basic customs duty charge levied on imports or exports.
Countervailing Duty (CVD) - tariffs on imports that have received countervailable subsidies in the exporting country.
Anti-dumping duty - charge imposed on imports priced below their normal value.
Excise duty - a charge levied on certain goods at manufacture instead of a sale, for example alcohol and tobacco products.

How is customs duty calculated?

Customs officials will use information from your documentation to calculate customs duties. There is no single 'global' calculation for customs duty. How it is calculated depends on a variety of elements, including:

Product value
Country of manufacture
Description and end-use of product
The product's Harmonised System (HS) Code
Country-specific regulations
Trade agreements (if applicable)

Twill's intuitive digital platform will help ensure this is calculated correctly.

Customs duty payments

With complex regulations surrounding the different types of customs duty, when it's applicable and who's responsible for paying it, understanding your customs duty payments can become confusing.

Nonetheless, it's important for anyone managing a shipment to understand how customs duty payments work to ensure you are being charged correctly. When you ship with Twill, we'll simplify the process and handle the customs duty payments for you.

Do I need to pay customs duty?

Basic Customs Duty (BCD) is applicable on most imported goods. However, this can depend on the country you're importing to and the type of goods. If you do need to pay any type of customs duty, you will be notified. When you ship with Twill, we can manage your shipment and ensure you stay informed about the specific customs duties applicable to your shipment.

Who pays customs duty?

The customs duty payment is typically the responsibility of the importer or exporter. However, there are instances where it may be paid by another party. For example, the manufacturer of applicable goods can sometimes be responsible for paying excise duty. If you are responsible for paying customs duty, you will be notified during the customs clearance process. At Twill, we can manage this process for you and ensure you are being charged the correct customs duty.

Can you claim customs duty back?

In some cases, it might be possible for you to claim customs duty back, for example, if you've overpaid import duty or VAT. Our logistics platform can help you monitor your customs duty payments and pay the correct amount. If for any reason you are over-charged, we can assist you in claiming customs duty back.

What's the difference between customs duty and tax?

Customs duty is a type of tax placed on goods entering or leaving a country, whereas customs tax is charges placed on almost all purchases.

Customs duties apply specifically to imports, whereas taxes apply to everything, including imports. The purpose of customs duty is to safeguard local economies, while the purpose of customs tax is to generate revenue for the government.

Customs Duty Around the World

Many countries have their own customs duty regulations, so it’s important to understand charges around the globe. Our digital platform can help you with handling worldwide customs duties.

EU Customs Duty

There is no customs duty when transporting goods from one EU country to another. If you're transporting goods to/from an EU country to/from a non-EU country, you're liable to pay customs duty.

Customs Duty in India

Basic Customs Duty (BCD) is assessed on all goods imported to India. The customs duty payment in India is calculated according to the HS code and can range from 0-100% of the value of the goods.

Customs Duty in Bangladesh

Customs duty in Bangladesh imposes charges between 5-25% of the goods' value.

UK Customs Duty 4

UK customs duty is levied on all goods sent from outside the UK if they are excise goods or worth more than £135. There is no customs duty charge for non-excise goods worth £135 or less or for goods qualifying for the use of Free Trade Agreements. The customs duty charge for goods worth over £135 depends on the type of goods and where they come from.

Customs Duty in Australia

On most products imported into Australia, customs duty is 5% of the value of the goods converted to Australian dollars.

Customs Duty in Singapore

Customs duty and excise duty are imposed on dutiable goods imported to, or manufactured in, Singapore. There are 4 categories of dutiable goods: intoxicating liquors, tobacco products, motor vehicles and petroleum products/biodiesel blends.

Customs Duty in the Philippines

Customs duty in the Philippines is calculated based on the complete shipping value, which includes the cost of your imported goods, the freight and insurance. The average duty rate is 10.5% of the value of the goods. Imports are also subject to sales tax.

Customs Duty in the USA

Customs duty and import taxes in the USA depend on the country the goods are imported from. Customs duty rates are between 0 and 37.5% and the typical rate is 5.63%.

Our Custom Clearance Services at Twill also include

If you are not familiar yet with our Custom Clearance benefits, here's an overview :

Import Customs Clearance

Discover how Twill can assist you with clearing in-bound goods through borders around the world.

Export Customs Clearance

Find out how Twill can help you gain permission to export goods across international borders.

Customs Clearance Documents

Learn what customs clearance documentation you need to ensure a smooth and efficient process.

Customs Broker

Discover how you can benefit from the expert guidance of acustoms broker.

What are Customs Charges?

Learn all about customs charges, when they might be applicable and how you can reduce them.

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