What is an authorized economic operator (AEO) and what is the origin of the notion? What changes does the new revised edition of the Customs Code introduce?
The term authorized economic operator is explained in the July 2010 edition which came into authority in January 2011.
Any company involved in foreign economic activity may apply for an AEO. To get this status the company is to comply with the Federal Customs Service requirements:
If the company meets these requirements the Federal Customs Service grants it with the AEO status.
An AEO may customs clear its import goods without paying customs duties up to the moment of submitting the customs declaration. For non-AEOs the customs declaration is not processed prior to the payment of VAT and customs duty.
As an AEO the company has an easier access to certain benefits, such as a simplified customs clearance procedure. An AEO may not be required to pay VAT and custom duty for 30 days. If the company's activity implies large working capital, loans, investments, bills receivable, this scheme is very convenient for cash flow distribution and planning.
If you need foreign activity outsourcing we may also provide the service of an authorized economic operator that functions in compliance with the Russian Federation law. Due to AEO status Wimex-group offers deferred customs duty payment. It should be noted that this service is available on individual terms for each client.