A transit document, also known as a T1 or T2 document, is a legal document used in international trade to allow goods to be transported through one or more countries without paying customs duties or taxes.

These documents are issued by customs authorities and are used to ensure that the goods being transported are properly monitored and accounted for throughout their journey.

A common transit country is a country that is used as a transit point for the movement of goods between two or more countries. In the context of international trade, a common transit country is a country through which goods can pass without the need for customs clearance, as long as the goods are under customs control and are being moved under a transit procedure.

In the European Union (EU), a common transit country is a country that is part of the EU’s Common Transit Convention (CTC). The CTC is an international agreement that allows the movement of goods between the EU and non-EU countries, as well as between EU member states, without the need for customs clearance at each border crossing. Goods are moved under customs control from the point of departure to the point of destination, passing through one or more common transit countries along the way.

In the context of the EU’s transit procedures, a common transit country is a country that is authorised to participate in the transit procedure, which allows goods to be moved under customs control from one point in the EU to another, passing through a non-EU country or a common transit country. The common transit country is responsible for ensuring that the goods are properly declared and that any applicable customs duties or taxes are paid.

Examples of common transit countries in the EU include Switzerland, Norway, and Iceland, which are not EU member states but are part of the CTC. Common transit countries can vary depending on the specific transit route and the countries involved in the shipment of goods.

The Common Transit Convention (CTC) is an international agreement that aims to facilitate the movement of goods between the countries that are parties to the convention. As of 2022, the CTC has 34 member countries, including:

European Union (EU) member states: Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden.

Non-EU member states: Iceland, Norway, Switzerland, The United Kingdom, North Macedonia, Turkey, Serbia.

These countries have agreed to apply common procedures for the movement of goods across borders, allowing goods to be transported across their territories without the need for customs clearance at each border crossing. The CTC allows for the use of transit procedures that ensure that goods are under customs control throughout their journey, from the point of departure to the point of destination.

The CTC is administered by the United Nations Economic Commission for Europe (UNECE) and is open to all UNECE member states, as well as other states that are invited to accede to the convention. The CTC aims to promote international trade and simplify customs procedures, reducing the administrative burden and costs for businesses involved in cross-border trade.

A comprehensive transit guarantee (CTG) is a financial guarantee required by customs authorities to cover potential customs debts, taxes, and other charges that may arise during the movement of goods under a transit procedure. The CTG serves as a security measure to ensure that customs duties and other charges will be paid, even if the goods do not reach their final destination or if they are not properly declared.

Under the European Union’s (EU) transit procedures, a CTG is required to cover the entire duration of the transit operation, from the point of departure to the final destination. The amount of the CTG is calculated based on the value of the goods, the customs duties and taxes applicable, and any additional charges that may be incurred during the transit.

The CTG can be provided in various forms, such as a cash deposit, a bank guarantee, or an insurance policy. The guarantee must be provided by a financial institution that is authorised to operate in the country where the transit operation begins.

The CTG is a key element of the transit procedure, as it ensures that customs duties and other charges are collected and that goods are properly declared and monitored throughout their journey. The CTG helps to prevent fraud, smuggling, and other illegal activities in the international trade of goods.

NCTS codes refer to the codes used in the New Computerised Transit System (NCTS), which is a customs system used in the European Union (EU) for the movement of goods between EU member states and to and from non-EU countries.

In the NCTS system, customs authorities use a set of codes to identify the various departure locations, transit locations and destination locations approved for transit movements.

NCTS codes are used in a range of transit procedures, including the T1 and T2 transit procedures. The codes are also used to track the movement of goods as they pass through customs checkpoints and to ensure that the correct customs duties and taxes are paid.

NCTS codes are assigned by customs authorities in accordance with the World Customs Organisation (WCO). NCTS codes are an important element of the EU’s customs system and are used to facilitate the movement of goods across borders and to ensure that customs procedures are properly followed.