The answer to the questions of what is import, what is importing and how is it done; It is called “the purchase of a product produced abroad by a person or institution in the country”. Another name is outsourcing. Import can be defined as the opposite of export. With import and export, which is one of the most important transactions of foreign trade data, countries create a trade balance with each other. In order to be able to make a foreign purchase, first of all, there must be a product to be purchased from abroad. In the second stage, the person who will carry out the import process must reside in the Republic of Turkey. The resident must be a legal or natural person with a tax number. The easiest way to prove that the buyer is a real person is T.C. is the identification number. If you are going to import for the first time, you need to register with the Customs Administration.
The documents required as of 2020 in order to register with the Customs Administration are;
- Signature Circulars
- Operating certificate
- Trade Registry Gazette
- Tax liability letter
- Power of attorney
- A copy of the ID of the authorities is required.
After registering with the customs office, you can start the import process by doing market research and finding the product you want to buy. In the rest of our article, you can find answers to many how-to questions.
How to Become an Importer?
After answering the questions of what is import and how to import, the answer to the question of how to become an importer should be known. The condition of having a tax net number is not required in the importation of books and other publications based on special agreements, and of goods permitted for retail sale by the Undersecretariat in international fairs and exhibitions opened in our country. Persons who want to make imports are required to obtain the documents they need to obtain in accordance with the net provisions of the relevant legislation and apply to the customs administrations. Transactions to be made by banks or private financial institutions regarding the payment of the prices of the goods to be imported are subject to the provisions of the foreign exchange legislation. Following the arrival of the goods to be imported, Customs Tax and Mass Housing Fund, if any, should be paid at the rates specified in the lists attached to the Import Regime Decision.
What is the Import Procedure in General?
After finding the answers to questions such as what is import, how is it done, how to become an importer, you need to know the general import procedure in order to be able to import. A brief summary information should be given for the goods brought into the Customs Territory of Turkey, with the exception of the goods transported by vehicles that pass through the territorial waters or airspace of the Turkish Customs Territory without stopping within the customs territory. The goods arriving in the Customs Territory of Turkey must be presented to the customs by the person who is brought or, depending on the situation, by the person who undertakes the transportation responsibility after the arrival of the goods. The person presenting the goods to the customs is associated with the summary information previously submitted. Within the scope of the summary declaration, the goods must be approved by the customs. Then, the process is completed within 45 days after the summary declaration is given. After the approval is given, a declaration of entry for free circulation must be added after the customs duties of the goods are given and after obtaining the permission in accordance with the foreign trade legislation.
What are Import Taxes? How is it calculated?
Taxes, which are part of the how-to process, must be paid in order to reach the desired product to be purchased from the foreign country. There are various taxes for products coming to customs during the import process of Turkey. First of all, there is the customs tax.
The answer to the question of what is customs duty is determined by the Turkish Import Regime Decision published by the General Directorate of Imports.
Another tax that is among the import taxes applied in Turkey is the mass housing fund. It is valid for the list numbered III and the list numbered IV in the annex of the Turkish Import Regime Decision. Another tax that exists in Turkey is VAT (Value Added Tax). There is an additional financial obligation among the taxes that can be applied to the product to be imported.
Payment Methods on Import
There are different payment methods in Turkey. How to make import payment, what is it? There are 6 payment methods: open account, cash payment, consignment delivery, payment against goods, payment against documents, payment by letter of credit.
Consignment Delivery: It is preferred because it does not pose any risk for the importer, but it is a method that is generally not accepted by the seller.
Open account: Although it is preferred by the importer as it does not carry it, exporters generally do not prefer this method.
Import Against Documents
It is a method that is generally used when the buyer and seller have known each other for a certain period of time and a certain trust has been established.
Letter of Credit Payment
How to make a letter of credit payment? It is preferred because it provides confidence for both parties in foreign trade. However, bank charges may be high for small amount of imports, so it is not used very often.
Import Against Goods
How is Cashback done? It is not risky for the importer, so it is the most preferred method. It is an advantageous method as the importer will clear the goods from customs and have the opportunity to control them without paying. If it is an exporter, there is a risk that the importer will not pay the cost of the goods. Importers can guarantee the payment with the policies issued by the exporter’s bank to add the bill of exchange.
Advance Payment Import
How to make advance payment? In this method, it is a method that is considered very risky for the person who wants to make an export, since it requires payment before the delivery. Advance payment is a form of payment in which the cost of goods is paid before the shipment of the goods subject to import, and the exporter sends the goods for which the price is collected to the importer afterwards.
Import with Letter of Credit
What is letter of credit payment? How is it done? It is a guarantee that the price will be paid upon the submission of the documents by the importer’s bank upon request, showing that the goods specified in the terms of the letter of credit have been loaded or that the service has been fulfilled, within the specified period.
Acceptance and Availability
How to accept and aval? In cases where you want to pay the price of the goods you are going to import on a deferred basis, if your seller wants to be guaranteed payment at the end of the stipulated maturity, you can use the acceptance and aval system.
Documents Used in Import Processes
What are the documents required to perform the transactions, how are these documents made? There are various documents required for import transactions. There are two types of documents required for foreign purchases made in Turkey. These documents are divided into commercial and official documents. Commercial documents, on the other hand, are divided into 5 as invoices (proforma / commercial / freight, etc.), packing list, parcel list, manufacturer analysis document and other (appraisal report, specification, etc.). Official documents are in themselves; circulation certificates (A. TR (EUR – 1)), certificate of origin, control certificate, certificate of conformity, health certificate, veterinary certificate, halal certificate, radiation certificate, boycott certificate, ancestral carnet, transport documents, bill of lading. So what are the details of these documents and how are they done?
Commercial documents are divided into 5 categories: Invoices (proforma / commercial / freight, etc.), packing list, parcel list, manufacturer analysis document and other (appraisal report, specification, etc.).
Official documents include circulation certificates (A. TR ( EUR – 1), certificate of origin, control certificate, certificate of conformity, health certificate, veterinary certificate, halal certificate, radiation certificate, boycott certificate, ancestral carnet, transport documents, bill of lading.
What is the Difference Between Import and Export?
Official differences between imports and exports vary between countries. Differences between import and export in Turkey; Foreign buying and selling are diametrically opposite transactions. The taxes charged between transactions are different from each other. Importer to the person or company making the import; The person or firm that exports is called an exporter. The main difference is that imports are called foreign purchases and exports are called foreign sales. Import is the import of a good into the country by paying foreign exchange, while exporting can be explained as the sale of a good abroad for a fee. The point represented by import and export is as follows; When imports are high, it is an indicator of strong domestic demand. Export is an indicator of foreign trade surplus. At the same time, the documents of the products are different from each other.
What is Azo Inquiry? How is it done?
What is azo query and how is it done? It is among the most frequently asked questions. Queries can be made regarding the azo status and the output serial number. It can be accessed via the new fast cargo declarations link, the process of which has been completed in line with these inquiries. The query is made over the internet through business tracking codes, foreign purchase and sales figures.
What is the Free Circulation Regime?
What is the free circulation regime of the products imported in Turkey and how is it done? Entry into free circulation of goods coming into the Customs Territory of Turkey; The implementation of the Turkish Trade Policy measures is possible after the completion of the other procedures foreseen for the import of the goods and the collection of the taxes that must be paid by law.
How to Learn the Taxes of the Goods to be Imported?
Another of the most frequently asked questions is what are the taxes of the goods to be imported, how are the taxes and documents of the products made? First of all, in order to start the transactions regarding the goods to be imported in Turkey, it is necessary to know the customs tariff statistics position (GTIP) of the said goods or goods. Then, you can get information about taxes by accessing the Turkish customs tariff schedule online. Taxes to be paid in import processes are not included in any legislation collectively. For this reason, you need to have information about different types of taxes in order to learn the taxes of the goods or goods to be imported.
You can also learn about the taxes that must be paid for the goods or categories that your belongings are included in from the tax tables published on the Internet. The taxes of the goods to be imported and the applicable legislation vary according to the type and quality of the goods. However, as a general framework, you can find general information about the import of the goods in question and the answer to the question of how to do it on the legislation and taxes page of the Ministry of Economy of Turkey.
What are the items that are prohibited to be imported?
What are the products that are illegal to import within the borders of Turkey? The products that are prohibited to be imported differ between countries. The authority to determine the prohibited goods to be imported into the Customs Territory of Turkey primarily belongs to the General Directorate of Imports of Turkey.
In these directions, the main import is prohibited goods;
- Specific waste for environmental protection
- Marijuana and prepared opium
- Silkworm seed
- Game tools and machines
- Any product with a factory or trademark or trade name in violation of the law
- Import of some scraps is prohibited in the Republic of Turkey.
What are the Goods Subject to Import Permit?
What are the products that are imported into the country with permission other than the prohibited products?It is different in each country, just like prohibited products, for products whose purchase is permitted. What are the imported goods? These items are determined by the General Directorate of Imports of Turkey. Products subject to import permit in our country;
- Solid fuels, waste batteries, metal imported scraps
- Used or refurbished items
- Toys, personal products, medical devices, agricultural products
- Substances authorized by the Ministry of Health, whose import is subject to special permission
- Animals and products under veterinary control
- Products deemed harmful to the ozone layer
- Some tobacco, types of tobacco, alcohol, alcoholic beverages
- Some explosives, firearms, knives
- Radioactive substances
- High-intensity sweeteners
- Road vehicles
What is Return to Origin?
In order to find the answers to questions such as what is the country of origin and how it is done, first of all, it should be learned what the word origin means. Mahrec means place of origin. In customs procedures, it is called the place where the goods come from. In this direction, in which cases and how to make a Mahrec return; If the goods have been presented to the customs and no regime declaration has been made yet, if the warehouse declaration has been registered in accordance with the provisions of the warehouse regime, if the declaration of entry for free circulation of the goods has been registered, in case the goods are in free circulation, the goods to be imported are returned to the point of origin and returned to the origin.