19 January 2018 CJEU issues ruling on determining transaction value for customs valuation The Court of Justice of the European Union (CJEU) issued its decision in the Hamamatsu case (C-529/16) on December 20, 2017, dealing with the question of whether a transfer price (TP) subject to retroactive price adjustments can be used as the basis for the "Transaction Value" (TV) method to determine the customs value. In this groundbreaking decision, the CJEU ruled that European Union (EU) customs law does not permit an agreed transaction value, composed of an amount initially invoiced and declared and a retroactive adjustment made after the end of the accounting period, to form the basis for the customs value, when it's unknown at the time of import whether that adjustment would be made up or down at the end of the accounting period. Document ID: 2018-0136 |
