10 May 2016 WCO Trade Committee on Customs Valuation discusses new case study on transfer pricing The World Customs Organization's (WCO's) Technical Committee on Customs Valuation (TCCV) has demonstrated how a transfer pricing study can be used as support for customs valuation involving related parties, based on a recently released TCCV Case Study. This Case Study is similar to the position that the Canada Border Services Agency (CBSA) has taken since 2006 (Canada was one of the early proponents of this enlightened approach). The CBSA will accept a price paid or payable which is derived from one of the methods set out by the Organisation for Economic Co-operation and Development (OECD) that is put into effect through a binding transfer price agreement. The importer also has the opportunity to demonstrate that the price closely approximates one of the three test values in subsection 48(3) of the Customs Act. Document ID: 2016-0836 |
