The customs broker has sent you a draft declaration with IM 40 ED in Box 1, while the container is already at a temporary storage warehouse in Vladivostok. Under the Customs Code, customs authorities must release goods within 4 hours of registering the declaration; if documents are inspected, no later than the next business day; and if extended, the timeframe can reach 10 business days or more. What needs to align to wrap it up in hours is determined before the supplier even dispatches the cargo.
What IM 40 ED means in Box 1 of the declaration
A goods declaration (DT, commonly referred to as GTD) begins with Box 1, which consists of three subsections. The procedure for filling them out is defined in Customs Union Commission Decision No. 257, clause 15.
- IM in the first subsection indicates goods being imported. For export, it would be EK.
- 40 in the second subsection is the two-digit code for the customs procedure according to the classifier in Customs Union Commission Decision No. 378. Code 40 means release for domestic consumption.
- ED in the third subsection indicates an electronic declaration. A paper declaration does not have this mark.
To the question of what an IM 40 ED declaration is, the short answer is that it is an electronic goods declaration for importing goods intended for domestic circulation in Russia. In correspondence, the code is often written together as IM40, and the procedure itself is called import 40. In Box 1 itself, they are entered separately, as IM, 40, and ED occupy three distinct subsections. Another common term is IM 40 regime or customs regime 40. Prior to 2010, under the Customs Code of the Russian Federation, it was officially called a customs regime, but the Customs Code of the Customs Union renamed it to a customs procedure. The colloquial term stuck, and we understand it, although in official documents we use the precise code terminology.
As for the roles: under the Customs Code, the declarant is you as the importer—you are responsible for payments and supporting documents. As a licensed customs representative (commonly known as a broker), we prepare and file the declaration on your behalf.
Upon release, foreign goods become EAEU goods
IM 40 is a customs procedure. What this means for the goods is specified in Article 134 of the EAEU Customs Code. It describes release for domestic consumption (IM 40) as a procedure under which foreign goods are located and used in the customs territory of the Union without restrictions on possession, use, and disposal. Under clause 2 of the same article, such goods acquire the status of Union goods. From that moment, they can be sold to legal entities, listed on marketplaces, used in manufacturing, with no obligation to re-export them.
There is only one exception: conditionally released goods under Article 126. These are goods subject to duty/tax concessions with end-use restrictions, or those where compliance with prohibitions and restrictions can only be confirmed after release. They cannot be freely disposed of until the conditions are met.
For you as an importer, the difference is practical. Until release is granted, the goods are foreign and remain under customs control, meaning they cannot be shipped to marketplaces or buyers. Once released, you hold a customs declaration bearing the release mark. You will use this document to prove the origin of the goods to buyers, banks, and the tax authorities, which is why we never treat it as a mere formality.
Four conditions for release under Article 135 and what lies behind them
The conditions for placing goods under IM 40 are listed in clause 1 of Article 135 of the EAEU Customs Code. The code specifies four conditions, each requiring a specific package of documents in practice.
| Condition under Art. 135 | What this means in practice | Common pitfalls |
|---|---|---|
| Payment of import duties and taxes | Customs duty, VAT, excise (if applicable), and customs clearance fees, all before release | Incorrect HS code resulting in a different rate |
| Payment of special, antidumping, and countervailing duties | Additional duties on specific goods from certain countries | The importer only learns about them at filing rather than during procurement |
| Compliance with prohibitions and restrictions under Article 7 | EAEU TR certificates and declarations of conformity, licenses, labeling | Document issued for a different code or model |
| Compliance with domestic market protection measures | Quotas and non-tariff measures | Rare, but if applicable, release is impossible without compliance |
The obligation to pay arises when customs registers the declaration (clause 1, Article 136), and payment must be made prior to release (clause 9 of the same article). Generally, IM 40 does not grant deferrals, so funds are transferred to the FCS (Federal Customs Service) account in advance as advance payments. We detailed how each payment is calculated and what is included in the VAT base in our article on how to calculate customs payments.
If the code is already known, calculate duty and VAT for your shipment using our calculator before ordering from the supplier. It calculates payments based on the HS code and customs value. The figure is indicative, but you will see the estimated amounts before sending an advance payment to the factory.
When IM 40 is not right for you
IM 40 is needed when goods remain in circulation in Russia and you are ready to pay all duties and taxes upfront. In other cases, alternative procedures apply, and choosing IM 40 merely out of habit is ill-advised.
- Equipment for exhibitions, repair, or temporary use that will later be re-exported is imported under the temporary admission procedure.
- Goods you wish to store in a warehouse and release in batches as sales progress can be placed under a customs warehouse (code 70), paying duties only for the released portion.
- For raw materials used to manufacture goods for export, inward processing procedures are available.
- For personal purchases rather than business use, the EAEU Customs Code contains Chapter 37 on goods for personal use, which do not require an IM 40 declaration.
If your case matches any of these, let us know before shipment so we can select the appropriate procedure right away. Switching goods from one procedure to another later is possible, but it entails unnecessary procedures and wasted time.
What must be prepared before submitting the declaration
Clause 3 of Article 108 of the EAEU Customs Code requires that the documents supporting the declaration be in the declarant's possession at the time of submission. Customs has the right to request any of them under Article 325, which extends the release timeframe.
Hence the procedure we follow when preparing each shipment. First, the HS code for each item, followed by permits and labeling for that code, then valuation documents that match the payment, and only then dispatch and funding for customs payments. These steps cannot be rearranged, because a certificate issued for an incorrect code must be redone, and payments cannot be calculated without a finalized code.
The code is determined separately for each item. In a 900 kg LCL shipment of auto parts from China, we classified filters, brake pads, and sensors separately. Grouping them under a single line as 'auto parts' is not permitted; each group has its own duty rate and compliance requirements. The shipment arrived in 12–14 days, and the client received a full set of documents for the goods.
The step-by-step workflow is illustrated by our case: importing branded power tools from Ningbo to Yekaterinburg. Preparations began two weeks prior to shipment. We requested an official authorization letter from the trademark owner in China allowing import by this specific company, selected HS codes for each tool type, obtained declarations of conformity, and verified product labeling against documentation. An empty container was delivered to the factory only after all legal matters were settled. Customs clearance in Vladivostok took just one business day, without physical inspection or customs value adjustments.
We strictly follow this workflow, even when the client is in a hurry. If the documentation is incomplete, we do not start shipment. A container dispatched before the paperwork is ready will still have to wait—only at the TSW, running up storage fees.
How long release takes and why the timeline extends
Release timeframes are governed by Article 119 of the EAEU Customs Code, which sets several milestones.
- General timeframe: 4 hours from declaration registration. If the declaration is registered less than 4 hours before the end of the customs post's working hours, the countdown starts from the beginning of the next business period.
- If customs requests documents under Article 325, initiates another form of control, or if the declarant requests amendments to the declaration, release must take place no later than 1 business day following registration.
- If extended to complete customs control, amend the declaration per customs demands, or provide security, the limit is 10 business days from the day following registration.
- Document audits or customs examinations extending beyond 10 business days extend the timeframe indefinitely if release under security is not feasible.
Goods bearing registered trademarks face additional hurdles where release can be delayed. If the trademark is listed in the Customs Intellectual Property Register (TROIS) and customs suspects infringement, release is suspended for 10 business days under Article 124, extendable by up to another 10 business days upon request by the copyright holder. The authorization letter we secured before shipping the power tools was aimed specifically at preventing such a suspension.
We do not state a single standard release timeframe, as it depends on the cargo, HS code, customs post, and documentation accuracy. When everything is in order, release takes hours or one business day; if not, delays are counted in business days.
If the container is already at a TSW, as described at the beginning of the article, verify the draft before registration. The HS code for each item, corresponding permits, valuation documents, and account balance must all align prior to submission. Amending a draft takes minutes, whereas modifying an already registered declaration postpones release by at least one business day.
Until release, the cargo stays at the TSW at your expense
Until customs releases the goods, they remain in temporary storage, typically at a temporary storage warehouse (TSW) in a port or rail terminal. Under Article 101 of the EAEU Customs Code, temporary storage can last up to 4 months, during which the goods must be placed under a customs procedure. The warehouse charges storage fees, which ultimately fall on the cargo owner. Every day spent updating the declaration or waiting for expert examination incurs extra costs.
This is why catching errors prior to dispatch is far less costly. In a shipment of apparel from Guangzhou, our consolidation warehouse identified errors that would have inevitably resulted in a refusal of release. Some garments lacked labels, while others had tags solely in Chinese, omitting country of origin, fabric composition, and manufacturer details. We put the shipment on hold, affixed labels compliant with TR CU 017/2011 directly in Guangzhou, prepared the declaration of conformity, and finalized the complete documentation package. The cargo cleared customs without inquiries or physical inspections, saving the client from fines and TSW storage charges that could have reached up to 15% of the shipment's total value.
In that same consignment, the actual quantity did not match the factories' invoices. We recounted every item and compiled an accurate packing list. If package counts and weights in the paperwork do not match the physical cargo, the discrepancy must be resolved at the customs post; this is why we carry out a packing list and invoice cross-check before departure.
Marking codes are applied before release, not after
If your goods are subject to mandatory Chestny ZNAK marking, the codes must be applied before release. For light industry products, the procedure is detailed in the system operator's guidelines on importing light industry goods: when importing from non-EAEU countries, codes must be affixed prior to placement under the release for domestic consumption procedure and stated in Box 31 of the declaration, with commissioning data submitted after release and before sale. Specific deadlines apply to other commodity categories, and we verify them based on the HS code well before dispatch.
In practice, labeling is handled at the supplier's facility or at a warehouse in China. When we consolidated auto parts from 12 factories for a dealership network, spark plugs and specific filters had to be labeled prior to crossing the Russian border. DataMatrix codes were printed and applied directly in China, allowing the products to be immediately distributed to marketplaces and service centers upon arrival.
The declared customs value must be supported by documents
The customs value serves as the tax base for import duty and VAT. If the invoice price raises doubts, customs will request additional documents and explanations, which may lead to a customs value adjustment and extra duty payments.
Customs value consists of the actual price paid to the supplier plus transport and insurance costs incurred up to the border if not included in the invoice price. The exact inclusions depend on Incoterms: FOB and CIF terms differ in cost components, and this must be clearly outlined in the contract before filing the declaration.
A distinct risk is a mismatch between the payment, the invoice amount, and the physical contents of the boxes. If a supplier issued a proforma invoice for one amount but billed another upon dispatch, make sure to resolve the difference between a proforma and commercial invoice before entering the details into the declaration.
In a shipment of smartphone accessories from three Shenzhen suppliers, we detected documentation errors: incomplete product descriptions, discrepancies in commercial papers, invoice inaccuracies, and prices for certain items likely to trigger customs queries. Prior to dispatch, we conducted a documentation audit and benchmarked the declared value against market levels. As a result, the customs value cleared without any adjustments.
The price is not artificially adjusted during this review. It is verified in advance to determine what supporting documents will be required should customs question why that exact price was paid.
Release is not the end of the audit
Goods may be released, sold, and the revenue spent, yet customs can still review the entry. Article 311 of the EAEU Customs Code permits post-clearance audits on goods that acquired Union status upon release, and clause 7 of Article 310 allows up to 3 years from the date of acquiring this status for such audits. During this window, customs authorities can revise the HS classification or valuation, assessing additional duties along with penalties.
An owner may receive a demand for additional duty payments even two years post-clearance for a batch that has long been sold out, having to draw funds from current working capital. This is why we prepare customs declarations so thoroughly that they withstand audits even three years after release.
We are an authorized customs representative listed in the FCS register, and under clause 4 of Article 405 of the EAEU Customs Code, a customs representative is jointly and severally liable with the declarant for the payment of customs duties and taxes. Joint liability means customs can demand the entire assessed sum from either party. This is why we refuse grey-market schemes. We do not file declarations with undervalued pricing or HS codes selected simply to lower duty rates. We analyzed the risks of grey-market cargo imports from China and penalties for false declaration in a dedicated article.
What to send us before placing an order with a supplier
It is best to determine the HS code and payment amounts before placing an order with a supplier, and prepare supporting documents no later than dispatch. For this, we require item descriptions with photos and technical specifications, the contract or draft contract, proforma or commercial invoice, delivery terms (Incoterms), and trademark details, if applicable. Based on this information, we classify the goods, identify necessary regulatory permits and labeling requirements, and calculate duties and taxes. Submit a request for cargo customs clearance, and we will begin with a preliminary calculation based on the HS code while the goods are still with the supplier.