New certificate requirement for steel importers – GRA
All importers of steel and steel products will now be required to submit Mill Test Certificates from the manufacturer of the products along with their customs declarations.
The Guyana Revenue Authority (GRA) made the announcement in a statement on Wednesday, outlining that this is one of the many measures to protect the State’s revenue.
In a recent review on the classification declared by importers on steel and steel products imported into Guyana, the GRA recognised that the Harmonised System (HS) classification cannot be correctly determined without the Mill Test Certi
The GRA advised importers that if the required Mill Test Certificate is not submitted with the customs declaration, then the importer will be requested to deposit at the rate determined by GRA pending submission of the certificate
ficate.
According to the Tax Authority, the Mill Test Certificate shows the proportion of the elements contained in the steel imported, thus the need for the certificate to accompany each shipment of steel in accordance with the provisions of Section 233 (1) of the Customs Act, Chapter 82:01.
The GRA emphasised that the Mill Test Certificate must relate to the specific consignment in the declaration (invoices, bills of lading, quantities, specifications, etc) and can be facilitated by the supplier who would be able to obtain the certificate from the manufacturer.
The body underscored that this new requirement is in keeping with the Common External Tariff (CET) which also makes provisions for products of ‘non-alloy’ steel that attract a 10 per cent customs duty.
The GRA explained that usually, most declarations submitted by importers label the product being imported as ‘alloy’ steel which attracts five per cent customs duty.
However, the Mill Test Certificate accompanying a shipment would assist in clearing up any anomalies as the certified classification will be verified by GRA’s Entry Processing Unit, with guidance from GRA’s Harmonised System Classification Committee (HSCC).
The classification determined by the HSCC will be used to process and clear the consignments.
Furthermore, the GRA advised importers that if the required Mill Test Certificate is not submitted with the customs declaration, then the importer will be requested to deposit at the rate determined by GRA pending submission of the certificate.
Should the HSCC determine a different classification afterward upon examination of further documentation presented, a notice of demand will be issued to the importer under Section 17 (2) of the Customs Act, Chapter 82:01 for payment of the additional taxes.
The Revenue Authority also noted that importers have the option of presenting their case to the Customs Tariff Tribunal for a determination should they challenge the classification after depositing the duties requested by the GRA.
The GRA noted that in order to reduce the delay in processing time and clearance of the goods, importers can apply to the HSCC in advance for classification decisions on their imports to confirm whether they have used the correct Classifications.
The HSCC can be contacted at GRA through its Secretary, Reshma Budhram or at [email protected].
