Enterprise Legal Risks Arising From The Classification Of Import And Export Commodities, The Prevention And Relief

China's Customs carry out different modes of supervision according to the categories of Import and Export Commodities, and collect customs tariffs and other taxes and fees with different rates. So Commodity Classification is the basic procedure of Customs Supervision and Customs Tax. The data released by General Administration of Customs shows that, in the first half of 2009, the company paid an overdue tax 520 million RMB, up by a substantial increase of 73.4%. In the opinion of Customs, Commodity Classification is an important way to control the customs revenue, even as a favorable means of trade protection. But for the import and export enterprises, commodity classified as correct or not directly affects the smooth of import and export cargo clearance, and the reasonable and lawful of tariff rate undertaken. If wrong, enterprises would be ranging from being identified as violation or illegal smuggling, facing the severely legal consequences.Through analyzing the Commodity Classification System of China and Overseas, this article tries to reconcile this contradiction between Customs and enterprises and tries to make some appropriate recommendations on the Customs Classification System. From the perspective of enterprises, I try to explore the legal risks (including the violations, illegal, smuggling, etc.) caused by Commodity Classification and the reasons, so that many integrity enterprises can effectively evaluate the different legal risks of Commodity Classification in the customs declaration of import and export. Thus the enterprises do not need to worry about the uncertainty and unease of Commodity Classification day after day.This article is divided into the following four parts: The part one intents to explore the legal risks which the enterprises may or may have already faced. In this regard, I would like to analyze the true case of Commodity Classification at first.The part two will figure out what reasons caused the legal risk of Commodity Classification, and the means, methods, attitudes of China Customs dealing with the Commodity Classification problem.The part three will discuss, based on China existing system, what countermeasures can enterprises take to protect the legitimate rights and interests in the face of numerous legal risks.The part four will give some reasonable, legitimate, workable reform advices based on the specific reality of China international trade situation, so that Customs supervision and control in China would be more convenient. Ultimately the Commodity Classification system will not undermine our country's national interests, but also suit the international trend of trade facilitation. And it will also protect the legitimate interests of integrity enterprises.