Importer of Record and Consignee?
A consignee is an entity that takes ownership of goods once the customs clear them.
In most cases, the consignee is the one liable for paying import duties and taxes.
The consignee can be the under user or any other firm.
An importer of record is an entity liable for ensuring that the goods being imported align with the international or local import legislation.
The importer of record ensures that all the import preparations are complete.
They also submit all the import documentation.
For some people, they tend to confuse between an import of record and a consignee.
The confusion arises as both entities deal with the import of goods.
Besides, the main difference is that the importer of record is an accredited official allowed by the government to act as an importer.
A consignee cannot take up such a role.
Also, the importer of record services are well accustomed to the customs laws. Something that most consignee lack.
If you do not wish to have any confusion about who owns the goods when you conduct a transaction with a supplier or distributor, then make use of an importer of record.
This is because they will temporarily own the goods until the goods are imported.
What Are the Responsibilities of Being an Importer of Record?
An importer of record is responsible for:
Ensuring that the goods obey the import regulation set in the country.
Payment of duties, taxes, and any other fee required while importing goods.
Filling the right permits, documents, and licensing of the goods.
Product classification.
Border and customs protection.
Aid with accessing custom bond paperwork for imports.
Ensuring that they have a power of Attorney at hand in case the importer cannot be there during the delivery time.
Can A Foreign Company Be an Importer of Record?
Yes, a foreign company can be an importer of record.
However, customs and border protection requires the foreign company to have an agent in the state where the goods are being imported.
For you to be recognized as a foreign company importer of record, you need to have an importer number issued by the country you are importing the goods to.
Also, you need to have custom goods for your cargo.
Ensure that you have a copy of the importer’s article of incorporation.
Also, you need a document that allows you to have the power of attorney that will come in handy during the customs clearance.
Make certain that the document is signed by two of your firm’s officers.
Include the formal ID documents for the two officers.
What Does Importer of Record Mean in Shipping?
In shipping, the importer of record is the party liable for ensuring that all goods being imported follow the legal and customs rules.
How Do You Become an Importer of Record?
If you wish to become an importer of record, here are some of the qualifications you ought to meet. Note that the list is not limited to:
You ought to own the goods being imported or have a financial interest in them.
A copy of a contract between the consignee and the importer.
An original copy of the arrival notice.
A confirmation of the sale, this ought to have the purchaser’s signature.
An original endorsed bill of landing.
A copy of the CBP form 301 bond.
A proof that the importer is endorsed to conduct business in their state.
Submit any contract the importer might have between them and the manufacturer.
Have verification of the point of contact and the firm that takes the goods’ command upon cargo release.
