Freight Shipping between Thailand and Poland | Rates – Transit times – Duties and Taxes

How to calculate duties & taxes when importing from Thailand to Poland?

Understanding how to estimate duties and taxes when importing goods from Thailand to Poland is a key part of planning your international shipping. There are several components involved in this calculation: the country of origin, the HS code, the Customs Value, the Applicable Tariff Rate, and other potential taxes and fees specific to the products you're importing.

The journey to an accurate estimation begins with identifying the country where your goods have been crafted or produced. This is more than just where the product was bought - it's about the country where the product was substantially transformed or where its essential character was defined. In this case, that would be Thailand. Be assured, understanding the details of these fundamentals will streamline your import process and potentially save you from unexpected expenses. With careful planning and knowledge, your international shipping experience can be both prosperous and hassle-free.

Step 1 - Identify the Country of Origin

Identifying your product's country of origin is the essential first step before you even touch the HS code. Why, you ask?

1. Compliance: Meeting import regulations is less of a headache if we know where the goods started their journey.
2. Accuracy: It ensures correct customs valuation and prevents nasty surprises in the form of unexpected duties.
3. Trade Agreements: Thailand has a free trade agreement with the EU, including Poland—determining the origin can dramatically reduce the duty payable.
4. Restrictions: Some products from specific origins face import restrictions. Get ahead by knowing what applies to your goods.
5. Transparency: It builds trust with customs authorities, smoothing the way for future transactions.

Specifically for Thailand-Poland trading, understanding the ‘Free Trade Agreement’ can liberty your business from heavy taxes. But don't forget to scrutinize the 'Sanitary and Phytosanitary Measures' and 'Technical Barriers to Trade', two accords that could impact your product's admissibility.

Your action takeaway? Always nail down the country of origin - it can save you both time and cash!

Step 2 - Find the HS Code of your product

The Harmonized System (HS) Code is a standardized system of names and numbers to classify traded goods globally. This system is recognized and used by more than 200 countries, including those involved in approximately 98% of total world trade. The HS Code is significant to you as it will determine the rate of duty, the controls on your goods, and whether you require licenses to import or export. It's utilized by customs authorities worldwide to identify products for the application of duties and taxes.

Your supplier is undeniably the key to helping you sort out the HS code. Suppliers will be familiar with the commodities they are dealing in and should know which codes apply. However, not everyone has this luxury.

In case you're finding it hard to procure the HS code from your supplier or any other source, here's a straightforward process to find it.

1. First, you can head over to the Harmonized Tariff Schedule and use their HS lookup tool.
2. Next, input the name of your product in the search bar provided.
3. The HS code related to your product will be located in the column titled 'Heading/Subheading'.

Notably, accuracy is paramount when selecting your HS code. Incorrect use of HS codes can lead to delays in shipment, customs clearance problems, and potentially an unexpected fine. This is due to potential inaccuracies in calculating duties and taxes or misclassifying goods which is a serious infraction in most jurisdictions.

Here's an infographic showing you how to read an HS code.

Step 3 - Calculate the Customs Value

You're importing from Thailand to Poland and have items packed, shipping sorted, but what about the customs value? It's not just the price you paid for the goods. This value encompasses total Cost, Insurance, and Freight (CIF) value. Think of it this way: you bought a crate of custom machinery valued at $5,000. If international shipping sets you back another $1,000, and you've taken out an insurance policy for $200, these three amounts cumulatively determine your customs value, i.e., $6,200 in this case. This value is the heart of your customs clearance process, instrumental in computing import duties and taxes in Poland. Hence, it's crucial to get this figure accurate.

Step 4 - Figure out the applicable Import Tariff

An import tariff is fundamentally a tax imposed on imported goods when they cross international borders. This key aspect of international trade policy applies particularly when products are imported into the European Union, including Poland.

Poland, being part of the EU, uses an interesting system called the TARIC (Integrated Tariff of the European Communities) to determine import tariffs. You can consult the TARIC System - European Customs for this information.

1. Enter the HS code you identified earlier as well as your country of origin.
2. Check the duties and taxes that apply to your product.

To give you a better idea, let's imagine you're importing shoes from Thailand, with an HS code of 6403 (Footwear with outer soles of rubber, plastics, etc). As per the TARIC tool, the applicable tariff rate might be, for instance, 17%. If your Cost, Insurance, Freight (CIF) value amounted to, say, $30,000, the import duties would be calculated as (17/100) $30,000 = $5100.00.

Remember, these numbers are for illustrative purposes only, and you should always use your specific business scenarios to get the accurate details.

Here's a demonstration:

Start by adding your HS Code in the "Goods Code", along with the origin country. After that, click on "Retrieve Measures" to access the duties and taxes of your product.

Here's what it looks like:

Step 5 - Consider other Import Duties and Taxes

When importing goods from Thailand into Poland, aside from the standard tariff rate, there are other import duties to take into account. It's like when you go shopping, the price tag is just the beginning; you also need to consider the sales tax, right?

One of these additional charges could be the excise duty. For instance, if you're importing something 'excise-able' (think vodka or petrol), you'll have to shoulder excise duty, which is added on top of the standard tariff. Picture it like an extra cost you pay for something luxury or harmful.

Just as a hypothetical illustration, if you’re importing goods valued at $10,000 and an excise duty of 10% is levied, you’d need to pay an additional $1,000.

The anti-dumping tax is another potential cost. This tax is like a safeguard, which gets triggered if your product is sold in Poland at a price significantly lower than its price in Thailand. It’s there to protect local industries from unfair competition.

Lastly, don't forget about the VAT rate. If you're importing goods worth $20,000 into Poland, the standard VAT of 23% would mean an additional cost of $4,600.

Remember, these illustrations are hypothetical and actual rates might differ. It's crucial to check the current rates before making any financial decisions related to your import. By staying informed and prepared, you can navigate these financial hurdles like a pro and make importing goods into Poland a smooth process.

Step 6 - Calculate the Customs Duties

Navigating the sea of customs calculations can be daunting, but understanding the formula in place is crucial. The customs duties you'll pay when shipping goods from Thailand to Poland are calculated based on the ‘customs value’ of your goods. This is the commodity's price, plus transport, insurance costs, and any other expenses up to Poland's border.

Say, for instance, your commodity's customs value is $1000, and the standard customs duty rate is 10%. Your customs duty payable would be $100 (10% of $1000). But what if VAT (Value Added Tax) comes into the picture? Let's presume Poland's VAT rate is 20%. You'd calculate VAT on the sum of your customs value and the customs duty, which would be ($1000+$100) = $220. So, with VAT, your sum grows to $1320.

Now, suppose an anti-dumping tax of 15% is applied, and an Excise Duty of 5%. They're calculated on the sum of the customs value, customs duty, and VAT. So, this would add $330 for anti-dumping tax and $110 for Excise Duty to your costs.

In each of these scenarios, the combination of fees can differ. But no sweat - DocShipper can handle your customs clearance processes worldwide, ensuring that you pay exactly what's needed and nothing more. We offer a free quote within 24 hours to streamline your shipping. So why worry when DocShipper can handle your customs duties and more, taking the load off your shoulders?

Bill of Lading

When shipping goods from Thailand to Poland, a Bill of Lading is a critical document. It signifies ownership transition, making it as important as the keys to your new car. With it, you officially own the goods once they reach Poland, so treat it with care. On the other hand, electronic or 'telex' release is your digital ally. It bypasses the need for paper, lightning fast and perfectly safe and secure. Think of it as your shipment travelling on an e-scooter, bypassing all traffic. If air cargo is your thing, remember the AWB (Air Waybill), the Bill of Lading's airborne cousin. Managing your shipping documents well can make your freight journey between Thailand and Poland smoother than a well-orchestrated symphony!

Packing List

The Packing List is your golden ticket when shipping goods from Thailand to Poland. Picture this: your shipment is a movie star and the Packing List is the script, detailing the elements of the scene - weight of goods, dimensions, type of packaging, etc. Errors here are like fluffed lines, potentially signaling cut to your shipment’s journey. Be the diligent director by ensuring the Packing List's accuracy. For both sea and air freight, it's a non-negotiable requirement. The customs officials, our audience here, won't entertain a show without a script. Your goods might be sent back or delayed, both costly missteps. So, whether shipping artisan Thai silk or sophisticated electronics, pen your Packing List with utmost care. In the end, successful shipping is all about the details.

Commercial Invoice

Whether you’re an exporter, importer, or freight forwarder, the Commercial Invoice is fundamental for customs clearance between Thailand and Poland. Jam-packed with critical details ranging from buyer and seller information to item descriptions, pricing, and HS codes, it's not just a formality but a customs-clearance hero!

The catch? Alignment. Make sure every detail on your Invoice echoes with the Packing List, Bill of Lading, or Airway Bill. For instance, if your Invoice quotes 50 desktop computers, your Bill of Lading shouldn’t be screaming 45. This alignment can dramatically speed up clearance and prevent unpleasant customs scrutiny.

In terms of specifics, wrongly classified HS codes can result in mispayments and time-consuming audits. When shipping ceramic goods (ceramic tiles, HS code 690890), remember that a commercial invoice missing the accurate HS Code will stall your shipments at customs. Stay aligned, stay precise, and smooth sail through customs!

Certificate of Origin

Navigating customs clearance between Thailand and Poland? Your goods' Certificate of Origin (CO) plays a vital role. Acting like a product's 'birth certificate', a CO states the country where your goods were manufactured or produced – invaluable in this global economy. Here's where it gets good: a CO can unlock preferential duty rates, helping you save money. Let's say you're shipping Thai silk. The CO authenticates that this silk was made in Thailand, potentially qualifying for customs perks. Getting your CO right means smoother, cost-effective shipping. Therefore, always pinpoint your goods' country of manufacture, for the chances at lower customs duties and a smoother sailing through customs. Remember, details matter in international freight.

Certificate of Conformity (CE standard)

For your business, shipping goods from Thailand to Poland, you'll need a Certificate of Conformity (CoC) adhering to the CE standard. This isn't just about quality assurance, but a declaration that your product meets EU safety, health, and environmental protection standards. In the US, there's an analogous certificate, FCC, for certain electronic products.

But remember, CE is critical for your exports to Poland, an active participant in the European market. Spend time understanding CE regulations applicable for your goods. Non-compliance will not only block your exports but may also invite penalties. So ensure beforehand, get your products analyzed, and earn your CoC. Expert assistance in this process can help avoid unnecessary roadblocks and smoothly sail your goods to Poland!