Customs specialization

Expiration of three years from the date of payment of advance payments does not constitute grounds for termination of the payer’s ownership rights to the paid funds. These advance payments may be recovered in court.

In 2006 a Company made payments on account of future export duties. A part of the advance payments was not used by the Company.

In 2011 the Company applied to the customs authority for refund of the unspent balance of advance payments.

Due to the fact that the application for refund of advance payments was sent by the Company beyond the three-year period, the customs authority did not refund the advance payments.

The Company applied for legal aid to “Solution” Law Office. Employees of the Law Office applied to the arbitration court for refund of the advance payments.

In arbitration we proved that, in accordance with Article 35 of the Constitution of the RF, as well as the customs legislation, the ownership of the Company for funds deposited as advance payment, was not terminated, and a three-year term for an application for refund of advance payments is the deadline for return of advance payments in the administrative order. Missing this deadline is not an absolute obstacle for refund of the unspent balance of advance payments in court.

The unspent balance of advance payments was recovered from the customs authority in court.