Two values and two tax stages
The FAQ explains logistics procedures following the OVR extension to imported low-value goods from 1 January 2023. The per-item sales-value test for LVG differs from the total consignment CIF test for import relief. Sales value excludes transport and insurance charged for delivery from overseas to Singapore, GST and Customs duties. OVR vendors may not charge sale-stage GST under this regime on an item with sales value exceeding S$400. A consignment containing several small items can nevertheless exceed S$400 at the border, requiring permits and appropriate separation of GST-paid items.
Air and postal imports
The source says there is no procedural change for low-value air or postal imports within import relief: non-controlled and non-dutiable goods need no import permit. Where the consignment exceeds the S$400 relief level and relief does not apply, obtain permits. Use In-Non-Payment (APS) for qualifying LVG items with both required GST details; use In-Payment (GST) for the remainder. The first summary table prints strict less-than/greater-than signs, while later questions state the exceeding-S$400 trigger. This summary does not infer an exclusion for an exactly S$400 consignment from that abbreviated table.
Sea and land imports
Normally sea and land imports continue to require payment permits and import GST. Some OVR vendors may obtain approval to charge GST on goods not exceeding S$400 imported by sea or land; those approved vendors then charge GST on LVG regardless of shipment mode. Where such an approved vendor transmits both GST details for the sea or land items, use an In-Non-Payment (APS) permit for those items, and payment permits for the remainder. The air/postal import-relief assumption cannot simply be applied to sea or land.
The two GST details and how they travel
Both the OVR vendor’s GST registration number and the amount of GST paid or an item-specific paid indicator are needed. A registration number alone is insufficient. A commercial document or electronic interface may carry the data; for non-postal imports IRAS does not prescribe one transmission method, so the vendor and transporter should agree how to exchange it. The paid indicator must identify the items on which GST was collected, rather than merely assert that the vendor is registered.
Permit fields for GST-paid LVG
For an over-S$400 consignment containing LVG with both GST details, the FAQ specifies five non-payment permit fields: message type INP; declaration type APS; place-of-receipt code OVR; CA/SC product code OVR; and CA/SC Code 1 containing the OVR vendor’s GST registration number. Other fields follow the usual procedures. The remaining goods without both details require payment permits. The OVR identifier is not a substitute for a valid supplier GST number.
| Field | Value |
|---|---|
| Message type | INP |
| Declaration type | APS |
| Place of receipt | OVR |
| CA/SC product code | OVR |
| CA/SC Code 1 | Vendor GST registration number |
All Advance Manifest information
The Advance Manifest contains transporter name and UEN; clearance date; tracking, HAWB or reference number; outer packing number; supplier name, address and GST number for LVG; consignee name, address, postcode, telephone and email; goods description; item CIF value in SGD; total CIF value under the same tracking, HAWB or reference number; origin country; and loading port. Keeping item value distinct from tracking-level total helps apply the mixed-consignment rules.
Missing or invalid vendor information
If either GST detail is missing, use a payment permit where import relief is unavailable. If TradeNet or other information indicates an invalid GST number, verify it with the vendor where possible and keep a record of the checks before submitting the permit. If no valid number can be obtained, use the payment permit. An item marked GST-paid does not make an invalid registration number acceptable.
Mixed consignments and the S$600 best-practice check
In mixed air consignments above S$400, use non-payment permits only for qualifying LVG with both GST details; non-LVG items require payment even if erroneous paid data were supplied. To identify such errors, the recommended S$600 CIF best-practice threshold is not a new LVG definition. For an item at or below S$600, declare non-payment unless information shows it is non-LVG; above S$600, declare payment unless information shows it is LVG. These checks operate in the context of GST information being present. Actual knowledge overrides the heuristic.
When item-level CIF values are unavailable
If only total consignment CIF is available, compute S$600 multiplied by the number of items. A total at or below that threshold points to non-payment unless information shows an item is non-LVG; a higher total points to payment unless information shows an item is LVG. Evidence overriding the heuristic includes an SGD invoice showing a sales value above the statutory item limit, an invoice demonstrating a qualifying below-limit sale, shipping evidence from which the sales value can be inferred, or confirmation from the vendor or importer that it is LVG and sale-stage GST was paid. Separate identifiable items appropriately rather than using the average to erase known differences.
Exchange rates and responsibility for errors
An item qualifying as LVG at sale can have CIF above S$400 at import because of exchange-rate movements. With both valid GST details, the FAQ permits a non-payment permit for that item. Following best practices may reduce the risk of later correction and tax payment, but does not exempt the transporter from penalties. Errors are investigated and outcomes assessed case by case. Transporters remain responsible for correct import declarations.
Two vendors, one importer and one flight
The example has a S$300 handbag bought from a registered vendor with both GST details and S$200 sunglasses from an unregistered vendor without sale-stage GST. All goods for the same importer on the same flight are aggregated despite separate freight documents: total S$500 exceeds relief, so permits are needed. Use non-payment for the handbag and payment for the sunglasses. The source calls the S$200 sunglasses “not LVG”, but its factual reason for a payment permit is the absence of sale-stage tax and required information. This article preserves the declaration outcome without implying that an unregistered seller changes a S$200 item’s value classification.
Double taxation: ask the vendor to reimburse
Where sale-stage GST and import GST were both paid, advise the importer to seek reimbursement from the OVR vendor. Evidence of border payment can be an express courier’s tax invoice or permit notice, the import permit, or SingPost’s GST receipt. Also keep the commercial invoice or other record proving GST charged at sale, shipping or consignment records, and payment evidence such as a credit-card statement pending reimbursement. These documents establish both tax stages and the goods concerned.
Refusal to pay and last-resort Customs assessment
Payment of sale-stage GST does not justify refusing import GST where import relief is unavailable. Advise payment followed by vendor reimbursement; continuing refusal is handled under existing default-payment procedures. If the vendor refuses to reimburse, the transporter can, as a last resort, assist the importer with a Customs refund application for assessment. If the transporter has borne the import GST and exhausted recovery from the importer, it can similarly apply to Customs for assessment. Neither route is a guaranteed refund, and supporting documents are determined by Customs.
Vendor registration is the vendor’s responsibility
The overseas vendor, rather than the transporter, is responsible for registration and late notification. This FAQ highlights the joint thresholds of annual global turnover above S$1 million and B2C LVG supplies to Singapore above S$100,000. It gives a registration form route and recommends checking GST status through IRAS’s GST Registered Business Search using the business name or tax reference number, GST number or UEN. The LVG-focused threshold example is not a complete restatement of every OVR registration category. A transporter may alert its customer without taking over the vendor’s legal obligation.
Official source
This article independently explains the substantive contents of the official PDF, including the relevant conditions, procedures and annexes. The linked document remains the authoritative source for its original wording, and later changes should be checked separately.
Read the official PDF ↗