Azerbaijan introduces new customs rules making some online buying prohibitively expensive
From now on, if residents of Azerbaijan order more than $300 worth of goods from abroad within one month, they will have to pay customs duties that may be more than half the cost of the goods in question.
Previously, the limit was $1,000.
On August 21, rules prohibiting the duty-free import of single goods worth more than $800 came into force in Azerbaijan.
In addition, Azerbaijani citizens – members of diplomatic missions, and those sent abroad for various reasons – are allowed to import across the border upon return to the country property acquired abroad, the value of which does not exceed 40 thousand manat [23,530 US dollars] and one car with a volume engine no more than 3,000 cubic centimeters.
The tightening of the rules, especially regarding online orders of goods abroad, was perceived by users of social media with unrestrained indignation.
Some even calculated how much it would cost for a product ordered on the Web, and the cost of which exceeds the established limit.
If an ordinary resident of Azerbaijan orders a smartphone for $400, the following happens:
The delivery service requires $56 for delivery. The customs service adds this figure to the cost of the goods, and the cost of the phone is no longer $400, but $456. This figure exceeds the $300 limit by $156, on which fees are calculated.
Duty 1. VAT at the rate of 18%
Duty 2. Customs duty for import to the amount of 15%
Duty 3. Customs duty of 15 manats [$8.82]
Duty 4. Payment of electronic customs service in the amount of 30 manats [$17.65]
Duty 5. VAT in the amount of 18% from payment of the electronic customs service
Payment for storage of goods: 15 manats [$8.82] + 1 euro for each additional day.
In addition to this list, when you wish to pick up your goods, you will be sent to brokerage companies, which are located right in the basement of the customs service, where they will ask you 50 manats [$29.41] for filling out other required documents.
In total, for exceeding the limit by $156, you will pay AZN 190 [$111.76], AZN 20 [$11.76] for storage of goods, AZN 50 [$29.41] for brokerage services.
In total, the fee is approximately $153, in other words, the amount turned out to be identical to the one that exceeded the limit. As a result, the smartphone for $400 will cost the customer $609.