Laws and regulations
The inward processing procedure is regulated by the Customs Law of the Republic of Serbia and its implementing regulations (Regulation on Customs Approved Treatment of Goods, the Rulebook on Form, Content, Manner of Submitting and Completing Declaration and Other Forms Used in the Customs Procedure).
Inward processing procedure within the customs territory involves one or more processing operations applied to customs goods that are not subject to the payment of customs duties or trade policy measures, and that are intended for re-export as compensating products (suspension system), and also to customs goods released into free circulation on payment of customs duties, for which customs debt may be reimbursed if the goods are exported from the customs territory as compensating products (drawback system).
Processing of goods means their treatment, including their installation, assembly and incorporation into other goods, repairs of goods, including their restoration and bringing into proper order, as well as use of specific goods not contained in compensating products, but enabling or facilitating production of compensating products, even if they are partially or fully used in the production process.
Authorization and documents used during inward processing
The customs authority issues approval for inward processing procedure based on the written application by the person carrying out or organising such inward processing. This person is to provide guarantees for proper implementation of this procedure, and the customs authority must have the possibility of surveillance and control of the procedure approved.
The declaration for the procedure of inward processing for the goods to undergo such procedure is submitted to the customs authority. The form and content, manner of submitting and filling in of the declaration and of other forms used in the customs procedure are prescribed in the Rulebook on Form, Content, Manner of Submitting and Completing Declaration and Other Forms Used in the Customs Procedure.
Period for export or re-export of obtained goods
Compensating products must be either exported or placed under other approved customs procedure within the time period specified by the customs authority. This period may be extended subject to timely and justified request of the approval holder.
Systems/methods used for calculation of import duties
If the customs debt incurs for the goods for which the inward processing procedure was approved, the amount of such debt is determined in the same manner as the amount of import duties for such goods would be determined on the day of accepting the declaration for placing the goods under inward processing procedure. In this case the holder of approval is obliged to pay compensatory interest on the amount of determined customs debt for the period from the day of acceptance of declaration for inward processing until the day of release of compensating goods into free circulation.
The customs authority may approve processing with the use of equivalent goods (equivalent goods are domestic goods used instead of imported goods in the production of compensating products), as well as export of products obtained from equivalent goods prior to the importation of goods, whereby equivalent goods must be of the same quality and characteristics as imported goods. For customs purposes imported goods will be deemed to be equivalent goods, and equivalent goods will be deemed to be imported goods.
Customs Administration of the Republic of Serbia:
Bulevar Zorana Đinđića 155a, 11070 Novi Beograd, Serbia
Phone: +381 11 2015 800, +381 11 311 7272