Are you taking advantage of the First Sale Rule and accurately classifying your imports?
As a retailer, you know the value your customers place on finding the best value for their money. How do you provide the lowest possible prices for your customers while still turning a healthy profit?
Your supply chain offers a couple of significant cost-savings opportunities to help you lower the cost of the products you import so you can pass those savings on to customers.
The First Sale Rule
The First Sale Rule helps importers realize lower duty costs on products imported into the United States. Importers are typically required to pay duty on the value of any goods purchased from another vendor, but with the First Sale Rule, importers can make their Customs declarations using the price the original vendor paid – which is always lower than the resale price. Take advantage of First Sale to lower your duties paid.
Tariff and HS classification
Every import has an accompanying classification number; ensuring these numbers are correct is critical to maintaining an efficient and cost-effective supply chain. If you classify your goods incorrectly, you could end up paying higher – in some cases much higher – duties on your imports. In addition, classification mistakes can mean shipping delays and customs penalties, which no retailer can afford.
Livingston understands the documentation requirements of First Sale and the ins and outs of tariff classification. We can help you ensure you pay the correct amount of duty on your imports, and ensure those imports get to you in a timely manner.
Download our resource, “Maximize your duty savings by taking advantage of First Sale and classification” to learn more!