​The Ministry of Finance abolishes permits for customs brokerage

10/25/17

On October 25, following the initiative of the Ministry of Finance, the Government decided to amend the Customs Code to deregulate some of business activities which have been controlled by fiscal authorities so far.

What is the problem?

According to the Customs Code of Ukraine, customs brokerage is subject to control and permits by fiscal authorities.The permit for customs brokerage activities is issued by the State Fiscal Service together with the State Border Service Administration.

Order of the Ministry of Finance No. 693 dated August 4, 2015, sets a procedure for submitting and examining applications for customs brokerage activity. According to this procedure, the only reason to deny the permit is the submission of incomplete and/or incorrect data presented in the application.

Thus, this procedure for granting customs brokerage permits is pretty formal and results in the waste of time by business and authorities.

The solution

The Ministry of Finance has prepared a draft law on amendments to the Customs Code abolishing the permits for customs brokerage activity.

The draft law takes into account the norms of the EU Customs Code regulating the activities of customs brokers in the European Union.

The draft law stipulates that customs brokerage shall be excluded from the list of economic activities controlled by fiscal authorities and requiring a permit.

What’s the benefit?

The decision of the Government makes it easier to start and to pursue a customs brokerage business in Ukraine.

The draft law improves the business climate in Ukraine enabling companies to select their customs brokerage providers without being confined to the previously licensed customs brokers.

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