Reimport and reexport are procedures in international trade whereby exported goods are returned to the country of origin and subsequently re-exported. Reasons for such returns may include the buyer's refusal to accept the goods, customs or administrative barriers, logistical restrictions, or failure to comply with storage requirements during delivery, among others. Reimport and reexport procedures also apply to goods from Poland exported outside the European Union. For a brief overview of the specifics of exporting, reimporting, and re-exporting goods, please see our article.

Commercial contracts (agreements) for the supply of certain goods for export may fail to be fulfilled: the recipient in a third country refuses to accept the shipment for a variety of reasons. As a result, the goods are returned to the country of origin (export). This raises customs and tax issues regarding both the receipt of these goods and their subsequent shipment.

Let's examine the process of such export, reimport, and re-export step by step.

Export.

When exporting goods, an exporter from Poland or another EU country submits a customs declaration in the AES (Automatic Export System, AES). The goods leave the EU customs territory, and the generated documents (including the IE-599/CC599C message and MRN confirmation) confirm the completion of the export. The transaction is recorded in the VAT return as an export, taxed at a 0% rate.

Return of goods or re-import.

The problem arises when a buyer outside the EU refuses to accept the shipment or fails to collect it. In this case, the goods are returned to the EU and placed in a temporary warehouse. Customs legislation provides special solutions for such situations. The most common procedure is the return of goods (re-import) procedure under the Uniform Commercial Code (Article 203 of the Uniform Commercial Code (UKC)).

This procedure allows the exporter to import their goods back into the EU under a special "return home" procedure without paying customs duties, provided several conditions are met:

• the goods have actually left the customs territory of the EU,
• the goods are returned in an unaltered condition (they have not undergone any additional processing other than normal use or transportation),
• the return occurs within a specified period, within 3 years of export.

When returning goods, the exporter does not adjust the previously applied 0% VAT rate. If the goods have actually left the EU customs territory and the exporter has received an IE-599/CC599C message, the export is considered a completed event and is taxed at a 0% rate.

The return of the goods is a new economic event classified as a re-import. No accounting adjustments are made for the original export. However, import VAT must be paid.

Re-export.

If, after re-importing (returning goods home), a business decides to ship the goods outside the EU again, to the same or another customer, the export process begins anew. The following processes are completed sequentially:

• importing the goods into the EU under the re-import procedure to legalize their return,
• filing a new export declaration in the AES system for the next shipment,
• the connection between the shipments can be indicated in the new declaration,
• coordinating documents for accounting and tax purposes in invoices, credit notes, and linking them to registration numbers.

The article's link provides detailed conditions for such a return, including documentation and legal grounds, changes in customs and tax calculations, a comparison of customs and tax liabilities, requirements for re-shipping the goods in accordance with the regulations, and practical recommendations.