Chapter 20. COMPLETION OF CUSTOMS PROCEDURES
§3 Destruction
Article 243. Content of the Customs Procedure
The destruction constitutes a customs procedure under which foreign goods are destroyed under customs control without payment of customs duties and taxes or application of any economic restrictions and prohibitions stipulated by the Federal Law of the Russian Federation on the State Regulation of Foreign Trade Activities.
Article 244. Terms of Placement of Goods under the Customs Procedure
1. Destruction of goods is permissible provided the goods subjected to the destruction procedure cannot be restored in their original state by any economically beneficial method.
2. The customs destruction procedure may not be applied to the following categories of goods:
(1) cultural value;
(2) animals and plants under threat of extinction, their parts and derivatives, except the cases when their destruction is necessitated by prevention of epidemics and epizooties;
(3) the goods accepted by the customs authorities as collateral until the collateral-based relations are completed;
(4) goods which have been withdrawn or sequestered in accordance with law of the Russian Federation;
(5) other goods listed in the register approved by the Government of the Russian Federation.
3. Destruction of goods is prohibited when:
- it may inflict substantial damage on environment or pose direct or potential threat to human life and health;
- it involves their consumption in accordance with their regular intent;
- it may incur expenses on the state bodies of the Russian Federation.
Article 245. Time Terms and Place of Merchandise Destruction
1. The time terms for merchandise destruction are determined by the customs authorities based on the declarant’s applications proceeding from the time which could be reasonably required for accomplishing the operations for destroying said category of merchandise by the declared method, as well as the time that may be required for hauling the merchandise from the place of its storage to the place of its destruction.
2. The place intended for merchandise destruction shall be designated by the declarant with consideration of the requirements of Russian law on environmental protection.
Article 246. Application of Customs Destruction Procedure to Merchandise Destroyed by an Accident or Force Majeure
1. The customs destruction procedure may be applied to goods which have been destroyed, irretrievably lost, or damaged as a result of an accident or force majeure.
2. At the instance of placing any destroyed or damaged merchandise under the customs destruction procedure the provisions of Item 1 of Article 244 and Article 247 of this Customs Code shall apply.
Article 247. Wastes
1. Wastes, which have formed as a result of destruction of foreign goods, shall be liable for customs duties and taxes equivalent to those payable for goods imported to the customs territory of the Russian Federation in the state of said wastes, except for the instances when the wastes have been exported from the customs territory of the Russian Federation or processed into the state in which they become unsuitable for further commercial utilization in the customs territory of the Russian Federation and in which they cannot be restored to their original state by any economically beneficial method.
Wastes liable for customs duties and taxes should be declared.
2. For the purpose of levying customs duties and taxes, wastes shall be regarded as goods imported to the customs territory of the Russian Federation.
3. Wastes customs value shall be determined based on the rules stipulated by Article 183 of this Customs Code.
4. Wastes declarant bears full responsibility for the disbursement of requisite customs duties and taxes.
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