An importer is required to use reasonable care to declare the proper valuation of an imported product. Determining the proper basis of appraisement for a company's imported products is often complex and must be based on the structure of the transaction and the Customs valuation statute. An incorrect basis of appraisement or failure to include all required additions to value can lead to inquires from Customs and potential penalties.
Global Trade Expertise can assist clients in not only determining the proper basis of appraisement (i.e., transaction value, transaction value of identical or similar goods, computed value, deductive value, or a "fall back" methodology), but also determining whether trademark, royalties, or licensing fees are dutiable and whether any additions to value should be included (e.g., assists). Global Trade Expertise has assisted clients in lawfully reducing their customs valuation (and associated duties and fees) using first sale valuation.