"Xiaoxiao Daily Q&A

Fan from Baixiao website: What is the current inspection rate for DDP shipments in Brazil?

Founder of Anjun Logistics, Fang Ke: For DDP shipments, after the company has prepaid the taxes, the post office must verify whether the taxes have been paid and report to the tax authorities after verification. However, among a batch of goods, some may have paid taxes while others have not, so daily screening is required, which imposes a heavy workload on the post office.

Currently, the inspection rate for DDP shipments in Brazil is almost 100%. The Federal Revenue Service supervises all departments at the ports, and other departments report to it. Brazil's customs is also under the jurisdiction of the Federal Revenue Service. In the inspection process, the Federal Revenue Service is responsible for issuing orders, while on-site operations are carried out by staff commissioned by the post office. Whether the company has paid taxes needs to be checked every day, and it may be checked more than once. If violations are found, a box may need to be opened for inspection. Therefore, even if violations were not detected during customs clearance, they may be discovered during the operations of postal workers, and the violations will be reported to customs and the tax authorities, which will then re-implement control measures.

However, the Federal Revenue Service has provided a transitional period, not taking a one-size-fits-all approach. There may still be some leeway, and the inspection rate has not reached 100%. But I estimate that this transitional period may last until February next year. When Brazilian ports are fully prepared and the Federal Revenue Service's system is fully implemented, the transitional period will end, and the inspection rate for DDP and DDU shipments will certainly be 100%.

The random inspection mainly checks whether the company has formally declared. For example, if a phone is purchased, but the package contains a phone case, there is definitely a problem, and the goods will be confiscated. When confiscated, the consignee may be reassessed or fined. That is, the consignee is required to assess the value of the goods, and after assessment, tax is levied based on this value, and a fine is imposed at 1.5 times the value. After the fine is imposed, the consignee will be sent the bill. If the consignee accepts it, they can pay and release the goods. If not accepted, the goods will be detained, or returned. However, with the introduction of new policies, returns are generally not accepted, and the goods are confiscated directly.

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