Determining customs value of imported goods in Ukraine, customs valuation, assessment, optimization

Legislatively concept "customs value" is defined in the Law of Ukraine "On Uniform custom duties". In item 16 it is defined that customs value is the price which is actually paid or subject to payment for the goods at the moment of crossing of customs border of Ukraine. At definition of customs value it the price of the goods specified in the invoice and also actual expenses are summed if they are not included in the invoice, such as:
• transportation, loading, unloading, and insurance to point of crossing of customs border of Ukraine;
• Commission and broker fees;
• Payment for use of objects of intellectual property which the importer (exporter) should pay expressly or by implication as a condition of their import (export).

The purposes of definition of customs value are specified in the order of the State customs service of Ukraine from 09.07.1997 N 307 "On order of filling of the cargo customs declaration":
1. Customs value is used for charging duty, and other customs payments;
2. Customs value is used for an establishment of cost of the goods for other customs purposes, including collecting of penalties and application of other sanctions for infringement of the customs rules provided by acts of Ukraine;
3. Customs value is used for customs statistics.

It is necessary to note that in case the declaration is filled on the goods of several kinds, expenses on transportation, loading and unloading if they are allocated in the invoice separately, are distributed between the goods proportionally to their weight. Expenses on insurance are distributed between the goods proportionally to their cost (letter of the State customs service of Ukraine N 14/1-769-ЕП from 16.04.98).

If documentary acknowledgement of the price (invoices) is given to customs body and the data specified in them do not raise doubts concerning their reliability, customs value of the goods is defined on the basis of the given documents.

In case of impossibility of definition of customs value of the goods on the basis of the given documents customs value is defined by customs with application of other methods of definition of customs value.

Customs bodies have the right to use the price information which contains in their database, in catalogues of trading firms and other directories, etc. We pay attention that these data are used only as the help information for preliminary comparison with the customs value declared to customs clearance.

Definition of customs value should be carried out by customs body in time, not exceeding 15 working days. In unusual cases this term can be increased under the decision of the head of customs body.

On certain groups of goods customs value of the goods is declared by the customs declarant to customs body at customs clearance of the goods by granting of the customs value inquiry.

The customs value declared by the customs declarant and data should be based on the authentic and documentary confirmed information. In case of need for acknowledgement of reliability of the declared customs value documents among which especially it would be desirable to note the following can be used:
• Specifications, transport waybills;
• Licences;
• Cards of registration of contracts;
• Certificates of Origin;
• Bank documents concerning payments under the contract which should contain all necessary requisites for their identification with the delivery (a copy of the payment commission with a bank marks, extract (a copy) from the account of the organisation, assured by the head and the chief accountant of the organisation);
• Copy of the export cargo customs declaration;
• The order for delivery;
• Transportation and insurance contracts;
• Price-lists of the manufacturer and the seller of the goods;
• The corresponding accounting documentation, etc.

At obvious discrepancy of the declared customs value of the goods according to article 16 of the Law of Ukraine "On Uniform custom duties", or in case of impossibility to check its calculation, customs bodies of Ukraine define customs value consistently on the basis of the price for the identical goods and other subjects, the prices for the similar goods and other subjects, operating in the leading countries - exporters of the specified goods.


Definition of customs value of the exported goods from Ukraine

Customs value of the goods which exported from Ukraine on the basis of the contract of purchase and sale is defined on the basis of the price which is actually paid or is subject to payment for these goods at the moment of crossing of customs border of Ukraine.

To customs value of the goods which are exported, actual expenses are added:
a. On loading, unloading, transportation and insurance to point of crossing of customs border of Ukraine;
b. Commission and broker compensations;
c. License and other payments for use of objects of intellectual property which the buyer should pay expressly or by implication as a condition of sale (export) of the goods which are estimated.

At definition of customs value on the goods which are exported under contracts of purchase and sale, customs value of the goods is defined taking into account delivery conditions (the international rules of interpretation of commercial terms).

Customs value of the goods which are exported from Ukraine on the basis of the contract which are distinct from the contract of purchase and sale, it is defined on the basis of the price confirmed with commercial, transport, bank, accounting and other documents which contain data on cost of the estimated goods, taking into account expenses for transportation and insurance of the goods to point of crossing of customs border of Ukraine.


Declaring customs value

Customs value of the goods is declared by the customs declarant to customs body at customs clearance of the goods by granting the inquiry-calculation of customs value.

The customs declarant bears responsibility for:
• Reliability and completeness of data which are declared;
• Authenticity of documents on basis of which customs clearance of the goods is carried out, and documents according to which calculations for these goods are carried out;
• Granting of additional data or documents for definition of customs value of the goods if it is necessary.


Delivery of the goods with shortages or poor-quality

In cases of delivery of the goods with shortage or the poor-quality goods (lower grade or quality, rather than it is established by conditions of the contract) which can be used by resident of Ukraine, there is a price reduction under consent between the contract parties.

As a rule, the customs demands fixing of shortage of the goods or its quality by expert of commercial and industrial chamber of Ukraine after identification examination or customs inspection.

The decision on price change in this case is accepted by the chief of customs (or its assistant) on the basis of following documents:
• Statements of the subject of foreign trade activities addressed to the chief of customs in which the reasons of change of the price of the goods are specified;
• The conclusion of Commercial and industrial chamber of Ukraine in which shortage of the goods or its delivery with poor quality is fixed;
• The letter-consent of the non-resident with shortage or quality of the goods is underlined;
• The new invoice;
• Additions (appendix) to the contract in which the new price of the goods is fixed, its quantity and quality;
• The certificate on carrying out of identification examination of the goods and other subjects (in case of carrying out of such examination);
• The certificate on carrying out of customs inspection of the goods;
• The cargo customs declaration with appropriated number and stamp "Under the customs control" which full registration.

At positive decision the chief of customs (or its assistant) allows import in the general order at new (lower) cost.

Thus, customs value of the goods from which the subject of foreign trade activities pays all taxes is established by customs in the general order.