Egypt: The new Customs law no. 207 of 2020
The New Egyptian Customs Law has been issued to promote foreign investment and facilitate the international trade between Egypt and other countries, through facilitating and unifying customs release operations and processes, streamlining customs procedures, as well as improving the customs tax refund process, which shall contribute to increasing the exports of Egyptian goods to international markets.
Key highlights of the law are as follows
- Implementation of the single window system to facilitate the customs procedures.
- Implementation of the pre-query system to address technical queries from businesses.
- Subjecting the goods purchased though the E-commerce channels to the rules and requirements of E-commerce law.
- Waiver of customs debts in certain cases specified by the law.
- Introducing the risk management system in the implementation of the customs procedures.
- Integrating the provisions of the Customs Exemptions law into the new customs law.
- Managing the temporary admission regime and tax refund through the Customs Authority only.
- In the temporary admission regime, goods must be re-exported within a year and a half from the date of release, with the possibility of extending them for another period not exceeding one year.
- New fees to be paid for the services provided by the customs authority, not exceeding EGP 10,000.
- Acceptance of temporary release for machinery, equipment and devices to be operated or rented inside the country and subject to a customs duty of 2% for each month or part thereof and up to a maximum of 20% per annual.
- Toughening of the penalties for customs violations or customs smuggling.
Additionally, the new Customs Law has clarified the penalties on violators and smugglers, and introduces a revised post clearance audit process aimed at controlling the the import and export activity in an efficient manner, promoting faster release of goods at the borders, and protecting the country.
