What are excise goods?
Excise goods encompass a broad category of products subject to specific taxes known as excise duties. Unlike general taxes, excise duties are levied on goods at the point of production, import, or consumption, targeting specific items considered socially sensitive or luxury goods. These taxes are imposed to achieve various economic and social objectives, such as revenue generation, discouraging the consumption of certain products, and promoting public health and safety. Excise duties typically apply to a range of products, including alcoholic beverages, tobacco products, and fuels and energy products.
Importing and exporting excise goods, such as alcohol, tobacco, and energy, is a multifaceted challenge with significant financial implications. Excise duties come at a price, impacting your bottom line. Are you worried about compliance with excise goods being checked by authorities more strictly? Are you investigating ways to automate your excise management, giving you more visibility? Or are you struggling with the burden of (pre)paying vast amounts of excise duties on imported products, and you’re looking into optimisations?
Excise challenges to tackle
🗺️ Compliant excise movements
The Excise Movement and Control System (EMCS) comes into play when dealing with excise goods, introducing an additional layer of complexity with yet another system to manage. And since excise goods are monitored more closely, you’d better ensure compliance. Moreover, your administration time adds up since you need to lodge customs declarations and register the excise movements in EMCS.
📈 Varying excise duty rates
Think of excise duty rates as a complex landscape where the rules vary from country to country. Different excise duty rates apply depending on the product and the jurisdiction. Even in the EU this is not standardised, making excise duty management quite complex if you are importing from and exporting to multiple countries.
💰 Heavy (pre)payments
Imagine the financial impact of having to pay substantial excise duties upfront before you can even start making money from your imported products. This upfront financial burden can significantly impact your cash flow, restricting your business's flexibility.
Revolutionising Excise Management Whitepaper
Download our free whitepaper to discover the nature and significance of excise goods, the complexities that customs professionals often encounter and the available solutions to overcoming the challenges.
The CAS solution: overcoming excise complexities
Our customs management solution, CAS, transforms these challenges into opportunities, making your excise journey smoother and more financially advantageous.
Introducing CAS excise functionality
We are very excited to announce the expansion of our product capabilities to address excise challenges specifically. CAS is not just another customs management software; it's a comprehensive solution designed to revolutionise your customs and excise management in several countries.
Our excise functionality consists of three layers
CAS calculates the self-assessed duties
When your goods are released into free circulation, CAS steps in to calculate the self-assessed duties for excise. The results are visualised in the user interface as well as in reports, providing at a glance clarity and transparency in duty assessment.
CAS registers the movements in EMCS
When moving excise goods within the EU or the UK, CAS registers these movements in EMCS based on your data. This can be easily combined with your customs declarations for full automation or we can apply the four-eyes principle, where your data is being validated and checked by two people to make sure everything is on point. CAS takes care of the excise and customs declarations with just one message. Imagine having one dataset that covers the full flow. This is what we call our 'single message double filing' functionality.
CAS takes care of your tax/excise warehouse administration
CAS’ tax/excise warehouse functionality allows you to import and/or produce excise goods with the suspension or complete relief of excise duties and VAT. By strategically utilising tax/excise warehousing, you can defer excise duties until your goods are consumed, significantly optimising cash flow and eliminating the burden of upfront financing.
CAS takes care of all administration, providing visibility into every aspect, including stock statuses, processing and blending, and applied duties, and executes all excise movements and customs declarations that need to be made. The tool's capabilities extend to producing the required reports and dashboards seamlessly, providing you with an audit trail.
CAS calculates the self-assessed duties
When your goods are released into free circulation, CAS steps in to calculate the self-assessed duties for excise. The results are visualised in the user interface as well as in reports, providing at a glance clarity and transparency in duty assessment.
CAS registers the movements in EMCS
When moving excise goods within the EU or the UK, CAS registers these movements in EMCS based on your data. This can be easily combined with your customs declarations for full automation or we can apply the four-eyes principle, where your data is being validated and checked by two people to make sure everything is on point. CAS takes care of the excise and customs declarations with just one message. Imagine having one dataset that covers the full flow. This is what we call our 'single message double filing' functionality.
CAS takes care of your tax/excise warehouse administration
CAS’ tax/excise warehouse functionality allows you to import and/or produce excise goods with the suspension or complete relief of excise duties and VAT. By strategically utilising tax/excise warehousing, you can defer excise duties until your goods are consumed, significantly optimising cash flow and eliminating the burden of upfront financing.
CAS takes care of all administration, providing visibility into every aspect, including stock statuses, processing and blending, and applied duties, and executes all excise movements and customs declarations that need to be made. The tool's capabilities extend to producing the required reports and dashboards seamlessly, providing you with an audit trail.
Excise functionality features
⚙️ Streamlined excise compliance
CAS simplifies your excise journey by integrating excise functionality into your customs administration. No more juggling multiple systems. With CAS, one message takes care of both customs declarations and excise administration, with compliance top of mind at all times. Providing flexible integration options, including APIs for digital precision, but also Excel file uploads and manual data entry, CAS can manage diverse ways of working.
💻 Automated operations and reporting
Say goodbye to complexity and hello to efficiency! CAS simplifies and streamlines your excise management process. From keeping track of excise movements to visualising self-assessed excise duties and creating the required reports that can be different per product category, CAS facilitates automation in managing your excise goods.
Recognising the diverse reporting needs of businesses, CAS offers reports tailored to different product categories and jurisdictions in whatever format required by the local customs authorities. Whether it's duty assessments, compliance metrics, or product-specific analyses, CAS empowers businesses to generate reports aligned with their unique requirements. These reports can be used for the periodic reporting needs that can differ significantly between jurisdictions and to easily present to customs during an audit.
⚖️ Financial advantages with tax warehouse functionality
CAS goes beyond efficiency with its tax warehouse functionality. Suspend excise duties until goods are consumed, optimising your cash flow and eliminating the need for upfront financing. The advantage of enhanced financial planning is amplified with CAS. With a more predictable and stable cash flow, businesses can implement robust financial strategies, ensuring they are well-prepared for various scenarios. This strategic approach sets your business on a path of sustained growth.
Elevate your excise experience with CAS
Ready to embrace excise management that brings efficiency and financial advantage? Contact us for a meeting to discover how our solution can benefit your business.
Frequently asked questions
Do you have more questions about excise? Here are answers to the most common inquiries we get.
Duty suspended excise goods are products like alcohol, tobacco, and energy that have not yet had excise duties paid on them. These goods remain in a duty-suspension state while in transit to their final point of consumption, where the excise duties are eventually paid.
Yes, we will make sure our excise functionality is applicable to all types of excise products, including alcohol and intermediate products, tobacco, and energy products.
Tax warehouse administration in CAS is accounting-based (record keeping). Stock records are based on movements derived from the data received from your ERP or WMS source system. The stock records, housed in CAS, are the basis for reporting to authorities.
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