Can I change a customs declaration?

A recent case before the District Court of North Holland dealt with an interesting issue concerning the revision of customs declarations. Between August 2011 and November 2012, X submitted seventeen import declarations for aluminum wheels, applying preferential tariff measures based on Malaysian origin. It did so on behalf of two other companies. However, following an investigation by the European Anti-Fraud Office, X received payment requests for these declarations.

The ruling

X objected to these payment demands and, after they were rejected by the inspector, she lodged an appeal. Ultimately, the payment demands were upheld by the Supreme Court in a ruling dated April 29, 2022. In addition, it was established that the inspector had never issued a written decision on X's request for a review of the tax returns.

The dispute revolved around the request for review that X subsequently submitted. She argued that the tax returns had been submitted in her own name and on her own account by mistake. X claimed that at the time she had a valid power of attorney for direct representation of her clients. The tax returns should have been filed in the name and on behalf of these clients. This was rejected by the inspector because X did not have written authorization from her clients at the time of filing. The court ruled that X did not meet this authorization requirement and declared the appeal unfounded (see judgment of the District Court of North Holland of March 27, 2024, case number HAA 23/3913).

What does this mean in practice?

Our comments on this case are twofold. On the one hand, we emphasize the importance of careful handling of customs declarations. Customs processes millions of declarations every year and errors are inevitable. Fortunately, the legislation offers possibilities for revising declarations, but these are not unlimited. It is essential to understand which changes are and are not permitted. For example, changing the details of the person making the declaration is a sensitive issue, partly because of the financial risks from the perspective of the authorities.

On the other hand, we would like to point out the value of case law in understanding such complex issues. Recently, both the Court of Justice and the Supreme Court have issued important rulings that provide guidance on the interpretation of legislation relating to customs declarations. By studying these rulings, importers and exporters can better understand and defend their position.

An example of this is the Pfeifer & Langen judgment, in which the Court of Justice ruled that customs authorities may grant a request for review to confirm indirect representation, provided that the representative had a valid power of attorney at the time of declaration. This ruling illustrates the importance of careful evidence (i.e., a valid power of attorney).

Finally, we emphasize the importance of transparent communication between the customs agent and the represented importer or exporter. The declarant's intentions must be weighed, and these can be partly inferred from the instructions given by the client to the customs agent.

In our practice, we strive to help our clients navigate complex legal issues such as changing the declarant in customs declarations. Our motto remains “prevention is better than cure.” That is why we help companies, such as importers and exporters, identify and implement the appropriate control measures. In the unlikely event that things do not go as desired, our in-depth understanding of the legislation and current case law enables us to offer expert advice and support to protect our clients' interests.

Contact us today for more information on how we can help you with your customs matters. Our experienced team is ready to assist you and guide you through the process so that you can operate with confidence in a complex legal environment.