The administration is divided into different branches and today I am going to talk to you about one that has borders, ports and airports as its scope. This is the customs administration.
If you have a business or need to start a business and import or export, this article will be very useful for you. I will explain general aspects of customs administration.
Can you imagine how many illegal goods can enter the country and harm the population? Well, Customs Management helps to control this.
To guide you on this topic, I present the following points.
- What is Customs Administration?
- Goals of the customs administration.
- Duties of the Customs Administrator.
- processes in customs management.
- Importance of Customs Administration.
What is Customs Administration?
Customs is the key to the development of any nation, especially in foreign trade.
Customs Administration or Customs Administration is the process by which the entry and exit of goods are planned, organized and controlled to provide security to the population.
When I say security, I mean preventing the sale of illegal goods that can endanger the integrity of the population.
This activity is carried out by the state.
To do this, it specifies specific locations where all customs clearance is carried out.
Generally it is at coasts, ports, airports and borders; that is, in places where products can enter and exit,
Effective customs management improves trade relations, regulates the movement of goods and is one of the most important sources of taxation.
Customs administration consists of importing and exporting items and tracking the status of these products so that they are in good sanitary condition.
The challenge of this management is to optimize the entire import and export process at customs.
To do this, an attractive collection plan must be implemented, based on the laws of the country and promoting healthy and safe trade.
Goals of the customs administration
- Ensure compliance with the laws that govern customs and provide security for the country from illegal trade.
- Facilitate trade by using technology in each of the customs processes.
- Create, update and disseminate the rules of customs procedure. In this way, they facilitate compliance for companies involved in foreign trade.
- Generate relevant information for decision-making in domestic and foreign trade.
- Strengthen national security through transparent management that prevents illicit trade in goods.
- Improve the effectiveness of the exam. To do this, you need to simplify, automate and modernize processes.
Duties of the Customs Administrator
Customs cannot achieve its goals if it does not manage processes effectively.
For this reason it is necessary to have one person responsible for the core elements.
The customs officer customs broker is the person responsible for the planning, organization, management and control of customs processes.
For this purpose, it uses technological and technical resources and has a work team trained to carry out the functions:
- Carry out the planning of the tax collection system according to the reality of the environment.
- Protect the environment by avoiding trading in toxic substances.
- Control the entry and exit of goods and capital nationally and internationally.
- Prevent trafficking in illegal substances.
- Conduct foreign trade statistics.
- Avoid money laundering and tax fraud by complying with laws and restrictions.
- Drafting, implementation and advice on legislation, control, verification, customs, procedures and in general everything related to foreign trade.
processes in customs management
Customs management develops several processes, but today I will describe the basic ones.
It is the process of verifying compliance with the rules and procedures that govern the import and export of goods.
For example, it should be clear:
- Origin and destination of the goods.
- The description of the goods, including weight and volume.
- The means of transport to your destination.
- Price paid (invoices).
Foreign trade taxes are levied here.
Taxes are the revenue that comes from importing or exporting goods at customs. These revenues are part of the state’s economic policy.
With this in mind, taxes are calculated in two ways:
- By percentage of transaction value.
- By allocated amount, for example 10 euros per 100 kg.
Then the taxes are determined by the state or by a municipality with this function. For example, the customs union in the European Community.
These taxes are controlled by the Tax Management, which is closely linked to Customs.
To learn more about taxes, I recommend reading my article Tax Administration: Tax Laws and Taxes.
Ban and Restriction:
Trading restrictions or conditions apply here.
This type of procedure allows restricting the import or export of goods into the country.
The technical or administrative regulations can be established by the State or by special bodies.
These decisions to completely ban trade in certain goods enable the achievement of collective goals.
These are all activities carried out to ensure customs compliance.
The income received is monitored.
Importance of Customs Administration
Customs allow the country’s economy to consolidate as it promotes good trade relations.
Good customs administration will be a source of income for the taxes collected.
In this sense, the customs administration facilitates and speeds up the import and export operations of the country.
Likewise, situation analyzes make it possible to eliminate bureaucratic procedures and simplify paperwork.
Good management will not only collect taxes, but also guarantee responsibility and national security.
Can you imagine the amount of illegal and dangerous materials on the street? How would you feel if you let any kind of goods into the country?
Hence the importance of professionals trained in customs administration and safeguarding the interests of the state.
Because of this, customs authorities will be a source of guarantee that no goods will enter the country that could endanger its overall well-being.
Customs administration is the discipline whose function is to manage all the processes that are carried out in customs.
In this sense, it plans, organizes, controls and audits resources to improve the country’s trade and economy.
It also helps keep the population safe by regulating the types of goods entering the country.
Although it is a government responsibility, companies wishing to import or export need to be aware of the customs administration process.
Finally, if you want to know more about other types of management, you can read Identifying the different types of management. Here you will find interesting information about it.
You can also consult the post: International Business Administration. More details.
And if you want to learn more about the aspects that are developed in an organization, I recommend reading my article Business Administration: Everything You Need to Know.
I hope this information was useful to you.
Thank you for reading us.
Until next time!