Customs Audit
Customs Audit Services
Customs audit provides importers and exporters in Dubai with expert revision of critical elements in entry summaries that may have been overlooked during the goods' entry process. When a business entity in the UAE is deemed high risk by Dubai Customs, the authority may request an inventory count within a specified audit period. Dubai Customs will compare the entity's inventory count with the import and export declarations processed by the entity under the customs code. Any discrepancies, whether in value, weight, or quantity, will require valid justification and the submission of a customs reconciliation by the entity.
Risks of Non-Compliance
Failure to manage customs compliance correctly and comply with customs audit and reconciliation processes can lead to several risks, including:
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Transactions being considered acts of smuggling goods into the UAE jurisdiction.
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Five percent payment for customs duty.
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Penalties for irreconcilable value discrepancies.
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Loss of privileges with Dubai Customs.
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Potential termination of customs registration.
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Entities involved in importing and exporting to/from the UAE are subject to evaluation of their company records, policies, and practices. At Philip & Prabhu Consulting LLC, our seasoned auditors and professional clearance audit team can assist in evaluating the integrity of information provided to government authorities for compliance with legal requirements.
Risks of Non-Compliance
Uncovering Fraud with Meticulous Methodology
Dubai Customs cannot scrutinize every single transaction to facilitate the efficient movement of goods. That's why customs audit is used to verify the accuracy of declarations provided to the authority. The customs reconciliation program in the UAE aims to eliminate future errors and maximize compliance among registered entities.
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Our team of approved Dubai customs auditors helps clients sustain and achieve compliance over time, ensuring consistent adherence to customs regulations. We thoroughly examine your business systems, policies, and processes related to customs, providing expert support and guidance.
Audit Process by UAE Federal Customs Authority
An audit requested by the UAE Federal Customs Authority typically involves the following steps:
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Customs requests an entry interview to discuss the customs audit and the transactions to be examined, along with the necessary documents for the audit team to review.
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The entity (importer/exporter) examines transactions prior to the customs audit with the assistance of a commissioned approved auditor in the UAE. Reporting errors voluntarily to the authorities is viewed favorably.
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Customs performs an exit interview and review with the importer/exporter to discuss assessments made regarding the client's legal compliance and any further actions or sanctions imposed on the entity.
In addition to providing customs audit services prior to official customs audits and assisting with customs reconciliation in the UAE, our team of approved customs auditors helps resolve common customs issues, including:
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Addressing common errors identified by the government authority.
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Ensuring sufficient retention of transaction records for a minimum of five years.
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Correctly declaring imports, including accurate descriptions and classifications, reporting surplus goods, and addressing any missing or unreported items.
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Verifying the correct identification of the country of origin for claiming preferential duties or rates.
If you require more information about professional clearance letter audits, customs audits, and customs reconciliation in the UAE, contact us today to book a consultation. Our experts are ready to assist you.