Customs authorities are increasing their focus on compliance verification audits, and valuation is a key area they will look at.
Given the various methodologies, determining the value for duty of your goods can be incredibly complex. You need to consider commissions, assists, royalties or related party transactions, and getting it wrong can result in the repayment of duties and financial penalties.
If you want to ensure that you have the correct valuation method, the right pricing relationship with related and non-related vendors, and are paying the correct duties, Livingston can help.
As part of our Valuation Determination services we will:
- Understand the business process surrounding your import transactions.
- Review related documentation such as sales agreements and invoices.
- Validate your customs valuation method or, where mistaken, determine the correct methodology, accurate valuations, and recommend corrective actions for past claims.
- Provide the necessary audit trail and documentation to support the valuation.
You’ll have peace of mind knowing that your valuation is accurate and that you are in compliance with the specific rules for assigning a value for duty. You will be prepared for an audit and can avoid potential customs penalties (and for public companies, issues related to Sarbanes-Oxley).