Classify your goods
Every product has a commodity code. The first six digits are the international HS code; the EU extends it to the 8-digit Combined Nomenclature and the 10-digit TARIC code. The code sets the duty rate and any extra measures, such as anti-dumping duties or licences. Search the TARIC database published by the European Commission, or ask a customs broker to confirm the classification.
Work out the customs value
Duty is normally calculated on the customs value: the price paid for the goods plus transport and insurance up to the EU border. In practice this is close to a CIF value at the port or airport of entry.
Calculate duty and import VAT
Import duty = customs value × the TARIC duty rate. Import VAT in Italy is generally 22% (reduced rates apply to some goods), calculated on the customs value plus duty and other costs up to the destination in the EU. VAT-registered businesses can usually recover import VAT through their VAT return.
| Example | Amount |
|---|---|
| Goods value | €10,000 |
| Freight and insurance to the EU border | €1,200 |
| Customs value | €11,200 |
| Duty at 4% (example rate) | €448 |
| VAT base (customs value + duty) | €11,648 |
| Import VAT at 22% | €2,562.56 |
What you need before the goods arrive
- An EORI number for your business (in Italy it is linked to your VAT number).
- Commercial invoice and packing list from the supplier.
- Transport document: bill of lading, air waybill, CMR or rail consignment note.
- Proof of origin when claiming a preferential duty rate under a trade agreement.
- Any certificates or licences your product needs (for example CE marking, food or plant health documents).
Working with a customs broker
A customs broker (in Italy, a licensed “doganalista”) lodges the import declaration on your behalf, checks the classification and arranges payment of duty and VAT. Your forwarder can usually arrange one; agree in advance who pays duties under your Incoterm.
Frequently asked questions
How do I find the duty rate for my product?
Find the product’s commodity code and look it up in the EU TARIC database for the country of origin. A customs broker can confirm the classification.
Is import VAT a cost for my company?
For VAT-registered businesses import VAT is generally recoverable, but it affects cash flow until it is reclaimed. Ask your accountant.
Do I pay duty on goods from the UK?
Goods that meet the rules of origin of the EU–UK Trade and Cooperation Agreement can enter duty-free with a valid statement on origin. Customs declarations and VAT still apply.