Last Wednesday, the EU Commission announced a comprehensive reform that is considered to be the most ambitious since the customs union was founded in 1968. The aim is to simplify customs procedures and complete the transition to the digital age.
The reform includes the introduction of a customs data platform managed by a new authority. This platform will replace all existing IT systems in the EU by 2038 and facilitate the flow of information between member states. This should make customs matters in the EU easier, safer and, above all, digital. The implementation of this project is expected to lead to an annual cost reduction of around two billion euros.
Last Wednesday, the EU Commission announced a comprehensive reform that is considered to be the most ambitious since the customs union was founded in 1968. The aim is to simplify customs procedures and complete the transition to the digital age.
The new EU system will be mandatory for online retailers as early as 2028. Another change has already caused a stir. The previous duty-free limit of 150 euros is to fall, which means that purchases in online shops in third countries tend to be expensive. So far, import sales tax has been levied on these shipments, but no customs duty. With this measure, the Commission wants to preempt fraudsters who often exploit this value limit. In 65% of the packages and parcels, the value of the goods is deliberately given too low. The EU Commission expects additional income of around one billion euros, which will benefit the EU budget directly.
It is still unclear by how much online trading will become more expensive. In the future, the shopping platforms should be able to include customs duties in their services and disclose the costs to their customers when they make a purchase.
The EU Parliament and the Council of the 27 member states must now discuss the plans for the biggest reform in 55 years.