There are several factors to consider when estimating your potential drawback refund. For a quick calculation, this estimate can be derived by looking at the duty paid on imported merchandise that is then exported, or by starting with your exports and working backwards to the duty paid on the imported merchandise.
These quick calculations can be done in a few different ways:
- Annual duty paid * % of merchandise that is exported * 99% = Drawback Potential
- Value of exported merchandise * duty rate on imported merchandise * 99% = Drawback Potential
OR (for manufacturing opportunities)
- Annual duty paid on components * percent of components in exported articles * 99% = Drawback Potential
Given the complexities of what is required, your ability to claim the amount you calculate will be impacted by several factors, including regulatory restrictions. It is best to speak with a drawback specialist (contact us) to receive an accurate drawback opportunity assessment.