STATE REVENUE COMMITTEE OF THE

MINISTRY OF FINANCE OF THE REPUBLIC OF KAZAKHSTAN

PRESS RELEASE

Goods classification in Customs Code EAEU

According to the provisions of paragraph 2 of Article 40 of the Code of the Republic of Kazakhstan "On Customs Regulation in the Republic of Kazakhstan" (further – CC RK), the declarant and other persons independently classify goods in accordance with the Commodity nomenclature of foreign economic activity of the Eurasian Economic Union (CN FEA EAEU) upon the customs declaration and in other cases when, in accordance with international treaties and acts in the field of customs regulation, the customs authority is declared a product code in accordance with CN FEA EAEU.

At the same time checking the correctness of the classification of goods carried out by customs authorities.

In case of detection of an incorrect classification of goods upon their customs declaration as before and after their release the customs authority independently classifies goods an make a decision in accordance with the procedure established by the Order of the Ministry of Finance of the Republic of Kazakhstan dated February 16, 2018 No.210 (subparagraph 1) of paragraph 3 Article 40 CC RK.

The customs authorities upon application may classify goods before their customs declaration by accepting preliminary decisions on classification of goods in accordance with CN FEA EAEU (further - PCD), and decisions on classification of goods across the customs border of EAEU in unassembled or disassembled form, including in unassembled or unfinished form (further referred to as CDUF) (paragraph 1 of Article 41 of the CC RK).

The state revenue territorial authorities accepted 1080 PCD for 4 months of 2019. Acceptation of classified decisions is more demanded service.

Mainly PCD are accepted regarding medicines, various types of equipment including medical equipment.

For the same period were accepted 18 CDUF, which means the activity of business in the construction of greenhouses, plants and their reconstruction.

In addition, the peculiarities of declaring goods delivered in an unassembled, unfinished form allow businesses to save financial resources through such a declaration procedure.

In order to ensure uniform application of the CN FEA EAEU, the customs authorities of the EAEU member states may make decisions and provide clarifications on the classification of certain types of goods in accordance with the legislation on customs regulation of the EAEU member states.

At the same time, a separate type of goods is understood as a set of goods that have common classification criteria, which allow to assign products with specific names, specific brands, models, articles, modifications and other similar individual characteristics to a single code in accordance with the CN FEA.

So, for the period January-April 2019 the SRC accepted and sent to territorial authorities - explanations on 9 types of goods (mainly explanations on the classification of drugs).

At the same time, there are cases where the classification of the same goods may not be uniform in the territory of the Union, i.e. customs authorities of the Member States of the Union may refer the same goods to different classification codes of the CN FEA EAEU.

This state of affairs is unacceptable, as it puts participants in FEA in unequal conditions, distorts customs trade statistics, worsens the comparability of statistical data, entails the incorrect application of customs duties and / or bans and restrictions.

In order to ensure uniform application of the CN FEA EAEU and exclude controversial cases of goods classification, the Commission is empowered to make decisions and clarifications on the classification of certain types of goods based on proposals from customs authorities, as well as on its own initiative in identifying various classification of goods in preliminary decisions made by customs authorities on classification of goods / or in decisions or clarifications on the classification of certain types of goods.

Currently, the Commission accepted 15 decisions since the beginning of the year on the classification of goods in CN FEA EAEU, and since 2010 about 134 decisions on the classification of goods in CN FEA EAEU.

The main purpose of such decisions of the Commission is to adopt uniform approaches when classifying the same goods throughout the Union.

The decisions made by the Eurasian Economic Commission on the classification of goods in accordance with the CN FEA EAEU can be viewed at the following link:

http://www.eurasiancommission.org/ru/act/tam_sotr/departament/KlassPoTNVED_TS/Pages/solutions.aspx

   Press-office

State Revenue Committee

Ministry of Finance of the RK

(Zhenis avenue, 11)