The common Customs Law of the GCC States was issued under Royal Decree No. (M/41) dated 03/11/1423 H, which unifies the customs procedures and laws in the GCC states in accordance with the provisions of the customs international conventions. The Law addresses an array of the customs procedures, including the rules and conditions of the exemption of the goods returned in accordance with Article (105) of the Common Customs Law. The Ministerial Resolution No. (1318) dated 07/06/1424H previously issued for specifying these conditions. The project aims to update the exemption requirements for the returned goods, address the challenges per-taining to the goods exported for completing manufacturing or repair abroad, and prepare the rules document in line with the best relevant international practices. Accordingly, this project is deemed an updated version of the aforementioned Ministerial Resolution.

The following words and expressions shall have the meanings ascribed thereto hereunder unless the context indicates otherwise:

ZATCA: Zakat, Tax and Customs Authority.

Board: ZATCA’S Board of Directors.

Common Customs Law: The Common Customs Law of the GCC States issued under Royal Decree No. (M/41) dated 03/11/1423 H. 

Implementing Regulations: The Implementing Regulations of the Common Customs Law issued under the Ministerial Resolutions No. (2748) dated 25/11/1423 H.

Rules: Rules of Returned Goods Customs Exemptions. 

Tax “Customs Duties “: Amounts levied on goods under the provisions of the Common Customs Law.

Goods: Any natural material or any animal, agricultural, industrial, or intellectual product.

Returned Goods: The goods exported from KSA and then re-imported.

Origin of the Goods: The producing country, whether these goods are natural resources, agricultural crops or animal or industrial products.

Importer: The natural or legal person importing the goods.

Without prejudice to the relevant applicable laws and regulations, these Rules shall be applicable to the returned goods set out in Article (105) of the Common Customs Law.

The returned good of the national origin shall be exempted from the custom duties in accordance with the following terms and conditions: 

• ZATCA’S approval shall be obtained before the goods leave the customs office.

• The issued declaration shall be submitted along with the full attachments upon reimporting.

• The goods shall have clear, non-removable indelible indication of origin, according to the nature of each product.

• The goods shall be in the same conditions as when exported.

The returned foreign goods, proven to have been re-exported, shall be exempted from the customs duties in accordance with the following terms and conditions:

• ZATCA’S approval shall be obtained before the goods leave the customs office.

• The importer in whose name the goods were imported shall be the same person who re-exported them.

• The goods shall be re-imported within one calendar year after the date of their re-export. 

• Their customs duties shall be paid and were not refunded.

• A re-export declaration shall be submitted, indicating the goods origin, specifications and distinctive marks, and the goods shall have the same origin, specifications and distinctive marks. 

• All customs declarations and their attachments pertaining to the previous imports and exports for the goods intended to be exempted shall be submitted. 

• The returned goods shall be in the same condition as when re-exported.

• The goods shall have clear, non-removable indelible indication of origin, according to the nature of the product. 

1. The temporarily exported goods shall be exempted from the customs duties in accordance with the requirements stated in the Implementing Regulations.

2. The customs duties shall be levied on the value increase of the goods temporarily exported for completion of manufacturing or repair.

In application of these Rules, ZATCA may issue any instructions or guides clarifying the returned goods exemption procedures.