The Temporary Admission Regime (TAR) allows duty free
admission of goods such as commercial samples, packaging, pallets, containers
and goods for exhibits. The exports must be completed within the stipulated time
as set by customs in accordance with the type of imported merchandise. Failure
to re-export goods will result in a fine. Merchandise may suffer changes, which
increase or lower its value, but no export charges will be levied when goods
remain unchanged. If value is increased, charges will apply on the added value.
The transfer of property, possession, or use is not permitted. A bond will be
needed to cover the value of import charges for the goods, which is canceled
when the goods are re-exported. Decree 1439/96 regulates the import of
primary and intermediate goods into Argentina for use in export production,
applying special procedures ( Solicitud de Tipificacion por Admision
Temporaria). These exports must be completed within 180 days from the date of
temporary admission, which may be extended for an additional 180 days.
Argentina is not included in the A.T.A. (Temporary Admission)
Carnet program of the U.S. Council for International Business to import goods,
display booths, and literature for display in local trade shows for subsequent
re-export. The TAR regime should be used for this purpose. Many trade show
organizers, however, obtain a special waiver from the Ministry of Economy by
declaring an event "of national interest".
Decree 1001/82 and Disposition 34/98 of the Argentine Customs
Bureau ( Direccion General de Aduana – DGA) includes imports of new or
used capital goods destined to production under the Temporary Admission Regime.
The importer must fulfill the following requirements:
A) Present a contract accrediting:
Ownership of the equipment by a third party in the exporting country.
Mandatory re-exportation of the equipment.
Contract length, up to three years, renewable for another three-year
Certification by the Argentine Consulate, if signed in the exporting
country, or notary public, if signed in country.
B) Present a sworn statement attesting that a temporary
higher demand exceeds present production capacity or that lack of adequate
technology prevents him/her from satisfying that temporary demand. If the
equipment is destined to public works, the importer must present a certificate
issued by the awarding authority.
Samples and Advertising Material
Samples sent by parcel post or in other ways are free of
duties and taxes when valued at less than CIF $100. A tax is imposed on samples
valued from $100 up to $20,000; anything over $20,000 is not considered a sample
item. Advertising material is subject to duty when imported into Argentina.
Documents required for imports are also mandatory for sample clearance; the
commercial invoice must indicate "no commercial value". It is
understood, however, that in practice, single catalogs and price lists sent
through the regular mail as "printed matter" to individual addresses
are rarely held by customs for duty.
Bulk packages of catalogs may be denied entry, as the
government is trying to promote local printing.
Some products are subject to special regulation or
restrictions for entry into the country (i.e. foodstuffs, pharmaceuticals,
chemical products, and cosmetics). Restrictions applicable to imports are also
applied to samples.
The services of a customs broker are not mandatory to clear
shipments and samples (with or without value) or for advertising materials
received by parcel post from abroad not requiring foreign exchange.
Samples brought into Argentina by a traveling sales
representative are admitted free of duty if they have no commercial value. If
the samples have value, a bond may be given for the amount of the duty that
would be payable on such merchandise. Such bonds are valid 90 days and may be
renewed for an additional 90 days. Upon re-exportation of dutiable samples
covered by bond, the amount paid is refunded. The handling of samples under a
bond should be entrusted to a customs broker.
Personal working elements such as computers or tools must be
registered at customs at the time of entry and again on departure from
Manufacturers may distribute products through international trade fairs. When
this channel is used, capital goods destined for the productive sector enter
under temporary import permission for an exhibition period of 90 days, with a
bank guarantee note equal to 1% of the CIF value. Within this period the goods
may be nationalized or re-exported. If nationalized, duties for certain capital
goods may be discounted by 50% under the preferential customs policy granted to
international trade fairs.
A temporary importation permit (TIP) can be issued by customs
for goods intended as samples, exhibitions, natural disaster relief machinery
and equipment, equipment and apparatus for testing and scientific research,
aircraft and vehicles for tourism, equipment for petroleum exploration and
exploitation and other similar items intended for re-export.
These goods are allowed entry without payment of duty under a
bank bond covering all duties and customs fees and the guarantee of a local
A TIP is allowed for a period of 90 days, which can be
extended only once for an additional 90-day period. If a longer period is
required, the local customs broker must obtain a special permit from the
Ministry of Finance valid for one year on behalf of the importer. In order to
obtain the one-year special permit, the importer must have a contract to justify
the temporary admission.
On December 20, 1999, Brazilian Customs issued regulation 150
(Instrução Normativa 150) establishing new procedures for imports under
Temporary Admission Program. The Program allows for imports of goods for a
pre-determined time frame and a clear objective. Under the program, import tax
and the Federal tax (IPI) are only charged on products that will be used in the
production of other products and involves payment of rental or lease from the
local importer to the international exporter. This includes products such as
dies, matrixes, sheets and industrial tools. Due taxes are proportional to the
time frame the imported product will remain in Brazil.
The import tax applicable on products imported under
temporary admission program is calculated according to the following formula:
V = the tax to be paid
I = Federal Taxes in the normal import process
P = number of months in which the product will remain in
U = the life span of the product - according to Normative
Instruction # 162, dated December 31, 1998)
An example is a leasing operation for 12 months of a US$
200,000 machine into Brazil, with 10% import tariff and 5% tax over industrial
product (IPI). The life span of this hypothetical machine is 5 years. In a
regular operation the due taxes would be as follows:
CIF Price: 200,000
Import Tax: 20,000
IPI: 11,000 (5% over CIF Price + Import Tax)
Payable taxes: US$ 31,000
Under the temporary admission program payable taxes would be
Chile begins using the ATA Carnet October 1, 2005.
Temporary imports of goods are authorized for government-approved exhibitions
and for temporary demonstrations. For Chilean government-approved exhibitions,
no duty or VAT is levied. Goods may remain in the country up to six months, but
must be kept in a warehouse. Goods imported for temporary demonstration purposes
require the resident end-user or potential purchaser to obtain a temporary
admission certificate from Chilean customs and are taxed based upon the number
of days they are in the country.
Non-fungible merchandise that can be thoroughly identified
by marks, serial numbers, or other symbols can be temporarily brought into
Colombian territory for specific purposes. The merchandise must be re-exported
immediately after the pre-authorized period of time, without being subject to
any alteration or modification, except for the normal deterioration caused by
There are two categories for temporary imports. The National
Directorate of Taxes and Customs (DIAN) decides which of the two systems has to
be applied to a specific case:
Short Term: This allows the importation of merchandise for a
specific purpose during a period of time that should not exceed six months; one
three-month extension can be requested and approval must be obtained before
expiration of the initial authorization. Short-term imports are not subject to
import duties, but a guarantee equivalent to 10 percent of the corresponding
import duties must be presented to obtain approval.
Demonstration Equipment: The international carnet system for
temporary imports of demonstration equipment (to be used in promotional
campaigns or trade shows) is not in effect in Colombia. The DIAN has implemented
an alternative system. Visitors bringing in equipment for demonstration purposes
are requested to fill out a special form provided by the DIAN upon their arrival
at an international airport. The equipment may stay in the country up to 90
days. There is no deposit requirement.
Long-Term:Colombian Customs regulations also allow
for long-term temporary importation of equipment for a period of up to five
years. Under this regulation, the Government allows importation of machinery and
equipment as well as related accessories and spare parts if they are included in
the same one-time-only shipment. This system is applied to equipment to be used
in public works projects and other activities that are important for national
economic and social development. Long-term temporary imports are also approved
for machinery and equipment brought into the country under leasing contracts
within a term of six months to five years.
Long-term customs declarations for temporary imports must
include the U.S. dollar calculation of duties and taxes in accordance with the
tariff schedule effective on the submission date. The total amount may be
divided into equal quotas to be paid semi-annually, during the temporary import
period. The importer may be requested to establish a guarantee equivalent to 100
percent of the import duties. Import duties are non-refundable.
Ecuador allows temporary entry up to 180 days of items for demonstration or
fairs, for duty free zones and for special projects. In the case of special
projects, the time period may be extended once for up to six months by
presenting an extension request to the Customs District Administrator. During
this period, the obligation to pay taxes and duties is suspended, subject to the
condition that the commodities be re-exported. Commodities may also be
nationalized after paying the corresponding taxes and fees.
Although import duties are waived, a bank guarantee or
insurance for 100 percent of the import duties should be presented to Customs.
This bond will be returned once the merchandise is repatriated. There is a
customs control tax, which is paid based on the CIF value of the merchandise.
For maquila operations, the equipment needed for assembly
operations can also be imported free of duties, although a bond has to be
deposited. No import permits are required. Special labor regulations apply to
companies operating under this system.
Customs law requires an "in transit" declaration
for the transit of foreign commodities through Ecuadorian territory. This
declaration must state the period required for the operation and that the person
signing the declaration and the carrier are jointly responsible for the payment
of duties, taxes, and guarantees on the commodities if they do not arrive in
their entirety at destination. The customs house receiving the incoming
merchandise will verify the contents of this document.
The customs law and its regulations allow the import of merchandise on a
temporary basis for exhibitions, cultural purposes, demonstrations, scientific
purposes or specific contracts. The importer must request permission for
temporary entry, providing an exact description of the merchandise, its number
or volume, its value and its expected date of re-export. Temporary entry forms
may be requested from the Gerente de Aduanas del SENIAT at phone (58 212)
274-4101/4508 and fax number (58 212) 274-4128. A bond covering the full value
of the duty payable in case the products stay in the country must be obtained
which will be returned once the products have left the country. Normally,
temporary entry permits are granted for a maximum stay of up to six months. The
one percent customs handling charge must be paid and is not reimbursable. In
some cases a reimbursable collateral is requested for temporary imports.
Temporary entry of samples by visiting businessmen is
allowed, but the determination of what is a sample is left to the customs agent
at the port or airport of entry. Samples arriving unaccompanied as freight are
never considered as such, unless declared as having no commercial value and
prepared in such a form that they cannot be sold commercially.