EU ICS2 and GB S&S Covered: ENS in 90 Seconds
International trading rules and regulations can be very stressful for importers and exporters, particularly when it comes to customs declarations, i.e., CN22 and CN23. These forms are required when shipments are crossing borders to ensure they align with customs rules and pay the accurate amount of taxes and duties. Manual customs declarations consume a lot of time and pose a number of error risks, which may lead to shipment delays or penalties.
This becomes especially problematic as the volume of international trade rises. Several studies demonstrate how, over time, international trade has gradually increased.
For instance, a survey conducted by the OECD shows that,
“Imports and exports have increased by 1.3% and 1.6%, respectively, in quarter 4 of 2023 compared to the previous quarter.”
This growing volume of international trade further aggravates the difficulties of manual customs declarations and causes more bottlenecks. This can only be overcome by replacing the conventional system with a modern, artificial intelligent customs declaration system.
Before we get started with customs automation, we need to understand what CN22 and CN23 customs declarations are and how they differ from one another.
CN22 and CN23 are required customs forms for international shipping. These documents include the following information about the shipment:
Customs authorities use these forms to keep track of all the goods entering and exiting the country to ensure environmental protection, border security, and proper taxation. Furthermore, these forms also ensure that customs duties and taxes are paid for the goods you are shipping.
In case of wrong or missing information on CN22 and CN23 forms, you may end up with fines, penalties or even shipment seizure.
It can be overwhelming to decide between CN22 and CN23, particularly for a novice trader. However, the difference between both is very simple; it depends on the weight and value of the parcel.
Here’s how you can decide which form to choose for your shipment:
It is required if your parcel is under 2 kg and is worth up to ÂŁ270.
It is required if your parcel weighs more than 2 kg and is worth more than ÂŁ270.
You need to use CN22 and CN23 customs declarations each time you ship a parcel outside the European Union border to a country not subject to free trade agreements. When sending and receiving goods within EU states, CN22 and CN23 customs forms are not required.
However, you need these forms in the following cases:
When shipping goods to an EU nation’s overseas region, such as Melilla and Ceuta, that is a member of the EU but not the Customs Union.
Â
When shipping goods to EU countries’ overseas regions, such as the Canary Islands, that are members of the Customs Union and EU but have different VAT regulations.
It is essential to fill out the following mandatory fields in the customs forms:
Name and address of the sender
Type and accurate description of goods
Weight, value, and quantity of each good
Total weight, value, and quantity
Country of origin
VAT registered number of EORI
HS tariff number
Sender’s signature
Name and address of the recipient
Completing CN22 and CN23 manually is very tedious and might be mistake-prone, resulting in fines, delays, or even seized shipments. To tackle these issues, iCustoms has developed AI-driven Customs Declaration Software (CDS) that automates these processes.
Want to learn more about Customs Declaration Software? Click here!
Here’s how iCustoms’ CDS automates CN22 and CN23 declarations
Our CDS captures real-time data and relevant information, such as product descriptions, sender and recipient names and addresses, weights, and quantities, and directly routes it to customs documents. It enhances productivity and reduces manual work, particularly when you have bulk shipments.
The CDS automatically calculates if a CN22 or CN23 form is needed based on the pre-populated shipment weight and value from your integrated platform.
The relevant fields on the related CN22 or CN23 form inside your CDS are automatically filled in with the pre-populated data from your integrated systems. This comprises:
Information about the sender and recipient (names, phone numbers, addresses)
Descriptions of the goods
Total numbers of goods being transported
Weight of the shipment
Value of the shipment
As per the WCO,
“More than 98% of the goods are classified according to the harmonised system in international trade.”
iCustoms’ sophisticated tool, i.e., iClassification, automatically provides the correct HS code for the goods, eliminating the hassle of manually finding the accurate code.
Even though automation handles the majority of the work, iCustoms involves a human-in-the-loop factor to carefully check the pre-filled data before electronically submitting the CN22 or CN23. This ensures accuracy and removes any discrepancies.
Enhanced efficiency: Integrate CDS with your current shipping software to automate data entry. In the customs forms, data such as values, item descriptions, and sender/receiver addresses can be automatically filled in.
Â
Decreased errors: By utilising automation, you may do away with human data entering mistakes. This guarantees precise and consistent data for your customs declarations.
Â
Faster processing: Customs officials frequently process electronically submitted declarations through CDS more quickly than they do paper forms.
Â
Compliance assurance: By ensuring that your declarations adhere to the most recent rules, CDS can significantly lower the possibility of encountering customs-related problems.
Simplify customs, maximise efficiency. Start now!
Simplify your international shipping by automating CN22 and CN23 declarations with CDS, and reduce the chance of mistakes and delays. You can concentrate on expanding your business while letting our CDS handle quick and legal customs clearance for your global shipments.
By integrating iCustoms’ CDS CN22 and CN23 customs declarations, you can seamlessly manage multiple shipments, saving you resources and time. Contact us right away to learn more about how our CDS aligns with your particular shipping needs.
All the goods shipping outside the UK from Scotland, England, and Wales require a CN22 customs declaration form.
CN22A is required if you’re shipping goods via International Tracking and Signature services, while CN22B is required if you are sending items with International Economy and International Standard service.
If you don’t declare at UK customs, you may be subject to fines, penalties, goods holding, or even imprisonment in case you get caught smuggling goods.
Congratulations! This indicates that you have a well-established trade compliance procedure. Ongoing vigilance and expertise are necessary to achieve and maintain 100% compliance. Despite having comprehensive trade compliance knowledge, navigating the intricacies of import/export regulations can be difficult. Thus, consider getting assistance from industry leaders like iCustoms to serve as your reliable partner throughout the procedure.
Oh, that is alarming! Your answers show that you have some serious mishaps in your trade compliance policies. Reach out to iCustoms to cope with all the issues, whether it be unclear records, missing documents, or lack of established protocols, saving you from fines and penalties during an audit.
You’re halfway there! This figure demonstrates that you have the basic trade compliance procedures in place, but it still needs to be improved. iCustoms can assist you with clear agreements, easy documentation, HS code verification, or any other issue you may face.
Solid progress has been made! It is evident from your response that you have a stable grasp of important areas of compliance. However, there could be some other areas requiring additional attention, which may be internal audit procedures, anti-dumping duties, or others.