Transfer Pricing and Customs Valuation


The link between transfer pricing and customs valuation

2018 Guide (in English)

May 2018

„The Link Between Transfer Pricing and Customs Valuation – 2018 Country Guide” is one of the most broad and renowned publications of this type in the world. The guide is a source of key information between customs valuation in transactions between related parties, and the requirements set forth by transfer pricing regulations.

This year’s edition of the Guide covers 58 jurisdictions. Such a broad scope of analysis has allowed for observing several interesting trends that have a significant meaning for business entities conducting cross border transactions with related parties, i.a.:

•        In 36 of 58 analyzed countries, the customs valuation between related parties has been defined as an area of particular interest for customs and duty administrations.

•        In 26 of 58 analyzed countries, it has been noted that the retroactive correction of a transfer price may cause the need to clarify the declared customs value for a given commodity.

•        In only 13 of 58 analyzed countries official guidelines for customs valuation in related party transactions, and the effect of legal provisions regarding related party transactions on customs valuation have been published.

•        Between the analyzed countries there are still significant discrepancies in circumstances allowing for the usage of a transfer price as a basis for calculating the customs value of a given commodity.

The guide shows the countries legal grounds and common practices as of the end of 2017. It is worth noting that the last months have bought a series of interesting events that may radically change these practices. This, above all, results from a recent judgement of the European Union Court of Justice in the Hamamatsu case (C-529/16), limiting (as it seems) the possibility of correcting the declared customs value in connection to a retroactive correction resulting from the transfer pricing policy. In consequence, polish and EU importers should follow the development of customs and duty administrations practices in 2018.

The information gathered in the Guideline have been submitted by local Deloitte experts, acting on markets covered by the Global Trade Advisory (GTA) network overview. This network consists of over 450 experts from all continents, providing services for importers and exporters conducting business in a variety of sectors and fields.

The Warsaw GTA team consists of leading experts in duty law and indirect tax, who have significant experience with the most demanding polish and foreign clients. This team will be happy to answer any questions you might have regarding the Guide.


The Link Between Transfer Pricing and Customs Valuation – 2018 Country Guide

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