A shipment, heading from Italy declared that the conveyor belts being shipped had originated in Italy, which has a 0% tax rate

 

Findings: Publican Detected a High Risk of Origin Fraud

• Publican discovered that the shipment exporter has no history of exchanging goods declared as originating in Italy.
• That same exporter does though have a history of similar goods being delivered to it from India, which has a 40% tax rate–making it a less financially appealing country to export from.

 

The shipment was indeed found to be a classic case of origin fraud designed to evade paying
the correct taris, which was 32,000 USD higher than the original declared tari

 

 

How did Publican uncover this?

After gaining full visibility into the exporter’s supply chain, Publican uncovered crucial insight that included all their suppliers and history of goods shipped, which pointed to the likelihood of origin fraud taking place.

 

Impact

Publican was able to provide the authorities with the correct country of origin, calculating the exact revenue to be earned with the right country tariff.