What is

Customs duty is one of the national taxes levied on cargos imported, exported, or passing
through the tariff area. In general, there are three types of customs duty – import tax, export tax,
and tansit tax – but currently, only import tax is applicable in Korea.

Types of Customs Duty Investigation

Classification Details
Crimes Related to Violation
of Foreign Exchange
Transaction Act
Offsetting, third party payment, payment not through a foreign exchange bank, illegal carry-out, advanced import payment,
etc. overdue payment, customs duty evasion, illegal investment in a foreign country, illegally moving property to a foreign
country, illegal money lending, illegal use of local finance, and etc.
Customs Duty
Related Crimes
Export and import of prohibited goods, smuggling, customs duty evasion, illegal reduction or exemption of customs duties,
illegal refund, illegal imports and exports, acquisition of smuggled goods, and etc.
Foreign Trade Crimes Violation of country of origin marking, manipulation of import and export price, illgel import and export of strategic items, and etc.
Intellectual Property
Rights Infringement Crimes
Infringement of trademark, smuggling, customs duty evasion, illegal reduction or exemption of customs duties, and etc.

Procedures for Customs Investigation

  • Filing a complaint or accusation
  • Self-sourced information
  • Direction from the headquarter(KCS)
    for investigation
  • Request for investigation or transfer
    to other institutions
Acceptance and
  • Obvious information
    start of investigation
  • Information to supplement =
    start of internal investigation
  • Unsure information = after self-analysis
Begin of Internal
  • Plan for an internal investigation
  • Suspicion of infringement of
    regulations = start of investigation
  • No suspicion of infringement of
    regulations = close investigation
Begin of Investigation
and Report
  • Establish investigation plan
  • Arrest of emergency matters such as
    arresting a flagrant offender
  • Prepare and report the Investigation report
Report Crimes
  • When concerned of escaping or
    falsifying/destroying evidence
    of a flagrant offender
  • When the suspicion becomes apparent
    after investigation
Notification of the
Investigation Result
  • Deliberated and decided by the
    Board of Infringement Investigation
  • No suspicion = Notification of
    0investigation results
  • Suspicion = A notice of demand for
    duty payment, accusation, etc