In another guide (http://reviews.ebay.com/The-German-Penal-Code-StGB-and-militaria-collecting_W0QQugidZ10000000001877283), I've documented the German Penal Code (StGB) §86 as it applies to militaria collecting in Germany.   Please note that if you vote for this guide, you're not voting on whether or not you agree or disagree but if this provided helpful information in your quest for knowledge.  eBay.com does not allow any of the items mentioned from being listed and the information contained here is often quesions or discussions on the Historical Memorablilia and Collectibles eBay Community boards.  

For import and export enforcement, it's typically the German Zollamt (Customs Office) who gets involved.  That's why in actual practice, the export of WWII German militaria isn't much of a problem - it doesn't typically go through the Zollamt.  For import, the Zollamt is specifically looking for these items and will quickly open any package suspected of containing WWII German militaria.  This is why (in Germany) we say that export is no problem but imports are enforced.  

In almost all German militaria dealer showrooms, the Hakenkreuz (the German word for the swastika) is covered so it's not visible - as well as any printed or on-line advertising which may have this symbol.  This shows attempt to comply with the law and makes it technically legal.  The same holds true with flea market dealers (except the ones who offer their rare item at inflated prices and keep it suitably hidden).   Legitimate dealers will often have you register with them or will talk with you do determine if you're an actual collector.  The intent here is verify that you're not a neo-nazi, skinhead, or other unconstitutional anarchist since the penalty for selling 3rd Reich items to one of these is very severe.  In spite of what you've heard, almost every 3rd Reich item is available in Germany (including Hitler's Mein Kampf!!).   Note that the eBay.de rules (in compliance with the StGB) for 3rd Reich militaria are interpreted differently than the eBay.com.  That's why you often see a wider variety of WWII German militaria available and accepted.  The problem faced by eBay.com is potential French legal action - not German.

Traditionally, forgeries are fairly rare in Germany but restrikes and jeweler copies are often seen.  Currently the most common copies are the various Imperial German orders and the Southwest Africa Medal and more have surfaced since the fall of 2006.  It's interesting to note that the Iron Cross is almost never seen as a copy or forgery but restrikes, variants, and jeweler copies exist which many novice to intermediate collectors believe are forgeries.  Practically every piece of militaria in a dealer stockroom has been verified by a recognized expert.  In event of a dispute, most of these experts can provide outstanding documentation to support their opinions.  German militaria shows offer an insight into this hobby because visitors regularly attempt to offer forged 3rd Reich items but the dealers very quickly catch on and the word spreads quickly throughout Germany.  You see a fairly heavy foreign presence at each show and the rarer 3rd Reich items are quickly bought with no regard as to price. 

Personally, I don't collect 3rd Reich militaria items but encounter them often enough to have a good working knowledge.  If you're interested in worldwide military medals, I invite you to visit my blog (http://blogs.ebay.com/tsa-li) where more details are provided.