Similar content

en
Year-end transfer pricing adjustments and the customs value
11-02-2024

Customs value and transfer pricing could be likened to Siamese twins - that's how closely linked they are. Let's discuss some practical questions related to the year-end transfer pricing adjustments: If the price is revised upwards, does the importer have to go to customs and pay additional duties? If the price is revised downwards, is the importer entitled to a refund of duties? If the goods are duty-free and there is no excise duty, but only import VAT (which is deductible in any case)?

Omer Wagner

valuation
en
Year-end transfer pricing adjustments and the customs value
11-02-2024

Customs value and transfer pricing could be likened to Siamese twins - that's how closely linked they are. Let's discuss some practical questions related to the year-end transfer pricing adjustments: If the price is revised upwards, does the importer have to go to customs and pay additional duties? If the price is revised downwards, is the importer entitled to a refund of duties? If the goods are duty-free and there is no excise duty, but only import VAT (which is deductible in any case)?

Omer Wagner

valuation
en
Discount for customs purposes? On one condition
04-02-2024

The Israel Customs Authority does not seem to be a fan of discounts. It appealed against the judgement of the District Court, in which the court clarified that the Customs Authority cannot, on the one hand, rely on the fact that the price is subject to a condition (discount) that cannot be assessed and the transaction price is therefore invalid, and, on the other hand, base the assessment on the transaction price but without the condition. Let's take a look at what the Supreme Court had to say in this dispute. The disputed amount is about ILS 5 million (~1.3 million Eur).

Omer Wagner

valuation
en
Discount for customs purposes? On one condition
04-02-2024

The Israel Customs Authority does not seem to be a fan of discounts. It appealed against the judgement of the District Court, in which the court clarified that the Customs Authority cannot, on the one hand, rely on the fact that the price is subject to a condition (discount) that cannot be assessed and the transaction price is therefore invalid, and, on the other hand, base the assessment on the transaction price but without the condition. Let's take a look at what the Supreme Court had to say in this dispute. The disputed amount is about ILS 5 million (~1.3 million Eur).

Omer Wagner

valuation
en
The customs posts and their impact on customs tax control
15-01-2024

The present research covers the interpretation of the concept of customs posts and the relationship with customs tax control. The analysis of the European Union (EU) regulations showed the essential criteria for customs posts. The Maturity model was also reviewed in order to implement the EU regulations requirements for customs posts. In customs posts the Maturity model must be used in three areas – tax administration, customs administration, and information technology implementation. To assess the practical situation, it was chosen to analyse high-risk customs posts. The situation of the Suwalki corridor and the three-month data collected by two customs posts at the Kybartai Road and Raigardas Road posts were reviewed. The analysis revealed that there is a lack of available data for researchers to conduct analysis and determine the impact of selected customs posts on customs tax control.

Tomas Zymonas

duties, taxes
en
The customs posts and their impact on customs tax control
15-01-2024

The present research covers the interpretation of the concept of customs posts and the relationship with customs tax control. The analysis of the European Union (EU) regulations showed the essential criteria for customs posts. The Maturity model was also reviewed in order to implement the EU regulations requirements for customs posts. In customs posts the Maturity model must be used in three areas – tax administration, customs administration, and information technology implementation. To assess the practical situation, it was chosen to analyse high-risk customs posts. The situation of the Suwalki corridor and the three-month data collected by two customs posts at the Kybartai Road and Raigardas Road posts were reviewed. The analysis revealed that there is a lack of available data for researchers to conduct analysis and determine the impact of selected customs posts on customs tax control.

Tomas Zymonas

duties, taxes
en
Customs taxes influence the decision of private persons on e-commerce in the European Union
15-01-2024

Customs taxes are a form of taxation imposed on goods imported into a country. They are typically levied on the value of the goods, and are intended to protect domestic industries from foreign competition. In the European Union (EU), customs duties are harmonized across all member states. This means that the same rate of duty is applied to the same goods, regardless of which EU country they are imported into, however, there are some exceptions to this rule. Also, not only Duties has to be paid before release to free circulation. E-commerce is the buying and selling of goods and services online. It has become increasingly popular in recent years, as it offers consumers a convenient and affordable way to shop. However, the growth of e-commerce has also led to an increase in the number of goods being imported into the EU. The influence of customs taxes on e-commerce imports can have a significant impact on private persons. For example, if a private person imports goods from a country outside of the EU, they may have to pay customs taxes on those goods. This can make imported goods more expensive, it can also take more time for delivery, and can discourage private persons from importing goods from outside of the EU. The following sections of this paper will explore this topic in more detail and will discuss the various factors that can influence the impact of customs taxes on e-commerce imports for private persons and propose a theoretical model of how customs taxes affect the e-commerce of private persons.

Gertrūda Bakšienė

duties, taxes
en
Customs taxes influence the decision of private persons on e-commerce in the European Union
15-01-2024

Customs taxes are a form of taxation imposed on goods imported into a country. They are typically levied on the value of the goods, and are intended to protect domestic industries from foreign competition. In the European Union (EU), customs duties are harmonized across all member states. This means that the same rate of duty is applied to the same goods, regardless of which EU country they are imported into, however, there are some exceptions to this rule. Also, not only Duties has to be paid before release to free circulation. E-commerce is the buying and selling of goods and services online. It has become increasingly popular in recent years, as it offers consumers a convenient and affordable way to shop. However, the growth of e-commerce has also led to an increase in the number of goods being imported into the EU. The influence of customs taxes on e-commerce imports can have a significant impact on private persons. For example, if a private person imports goods from a country outside of the EU, they may have to pay customs taxes on those goods. This can make imported goods more expensive, it can also take more time for delivery, and can discourage private persons from importing goods from outside of the EU. The following sections of this paper will explore this topic in more detail and will discuss the various factors that can influence the impact of customs taxes on e-commerce imports for private persons and propose a theoretical model of how customs taxes affect the e-commerce of private persons.

Gertrūda Bakšienė

duties, taxes
en, lt
Impact of the war in the Middle East on customs valuation
07-01-2024

Israel has been in a state of war for the past three months. This war has had an impact on international trade, particularly on customs valuation, including for importers in other countries such as the EU, as explained in more detail in this article.

Omer Wagner

valuation
en, lt
Impact of the war in the Middle East on customs valuation
07-01-2024

Israel has been in a state of war for the past three months. This war has had an impact on international trade, particularly on customs valuation, including for importers in other countries such as the EU, as explained in more detail in this article.

Omer Wagner

valuation
en
Free zones in the world and the UK -
00min
image

Mark Rowbotham

duties, taxes
en
Free zones in the world and the UK - an interview with Mark Rowbotham
00min
image

Mark Rowbotham

duties, taxes
en
Customs valuation and transfer pricing – understanding similarities and differences (II)
17-12-2023

Editors’ note: In this second part of the article, the author highlights the similarities and differences between customs valuation and transfer pricing and emphasises that the requirements may differ for the same goods. He also outlines the solutions used by customs in different countries. For example, the Canada Border Services Agency considers the transfer price to be the ‘uninfluenced’ price paid or payable for imported goods if a written transfer price agreement exists between a vendor and a related purchaser and is in effect at the time of importation.

Rizwan Mahmood

valuation
en
Customs valuation and transfer pricing – understanding similarities and differences (II)
17-12-2023

Editors’ note: In this second part of the article, the author highlights the similarities and differences between customs valuation and transfer pricing and emphasises that the requirements may differ for the same goods. He also outlines the solutions used by customs in different countries. For example, the Canada Border Services Agency considers the transfer price to be the ‘uninfluenced’ price paid or payable for imported goods if a written transfer price agreement exists between a vendor and a related purchaser and is in effect at the time of importation.

Rizwan Mahmood

valuation
en
Customs valuation and transfer pricing – understanding similarities and differences (I)
17-12-2023

Editors' note: In November, the European Commission published the news 'New transfer pricing rules to make life easier for businesses in the EU'. The new rules are necessary to address several challenges, including the competing objectives of customs and tax authorities, which lead to double compliance requirements. The problem is global. According to the Corporate Tax Association of Australia (CTAA), 'it is unacceptable for a business to be required to satisfy two arms of the same government, one demanding a higher price and the other a lower price in respect of the same transaction'. In this first part of the article, the author provides an overview of the rules and methods of customs valuation and transfer pricing.

Rizwan Mahmood

valuation
en
Customs valuation and transfer pricing – understanding similarities and differences (I)
17-12-2023

Editors' note: In November, the European Commission published the news 'New transfer pricing rules to make life easier for businesses in the EU'. The new rules are necessary to address several challenges, including the competing objectives of customs and tax authorities, which lead to double compliance requirements. The problem is global. According to the Corporate Tax Association of Australia (CTAA), 'it is unacceptable for a business to be required to satisfy two arms of the same government, one demanding a higher price and the other a lower price in respect of the same transaction'. In this first part of the article, the author provides an overview of the rules and methods of customs valuation and transfer pricing.

Rizwan Mahmood

valuation
en
The significance of double taxation avoidance agreements in international trade
19-11-2023

Understanding the terms Double Taxation and Double Taxation Avoidance Agreements (DTAAs) is crucial in the field of international taxation, as they encapsulate complex scenarios that impact cross-border trade and investments. This paper aims to unravel the conceptual framework of DTAAs, assessing their advantages and disadvantages in the realm of international trade. By presenting case studies, this paper endeavors to delineate how DTAAs influence international trade decisions, offering a pragmatic understanding of their significance.

Karolis Zelenkauskas

duties, taxes
en
The significance of double taxation avoidance agreements in international trade
19-11-2023

Understanding the terms Double Taxation and Double Taxation Avoidance Agreements (DTAAs) is crucial in the field of international taxation, as they encapsulate complex scenarios that impact cross-border trade and investments. This paper aims to unravel the conceptual framework of DTAAs, assessing their advantages and disadvantages in the realm of international trade. By presenting case studies, this paper endeavors to delineate how DTAAs influence international trade decisions, offering a pragmatic understanding of their significance.

Karolis Zelenkauskas

duties, taxes
en, lt
Transfer pricing - EU law
12-11-2023

Transfer pricing is a rule that was designed in international taxation to establish which part of the income within a multinational enterprise needs to be allocated between two companies in the same group if they have a transaction between them. The rule, in general, is that they need to act as if they were third parties in order to establish the third-party price. Transfer pricing is important for determining the customs value of goods.

valuation
en, lt
Transfer pricing - EU law
12-11-2023

Transfer pricing is a rule that was designed in international taxation to establish which part of the income within a multinational enterprise needs to be allocated between two companies in the same group if they have a transaction between them. The rule, in general, is that they need to act as if they were third parties in order to establish the third-party price. Transfer pricing is important for determining the customs value of goods.

valuation
lt
ESTT: “neišmuitintų” prekių transportavimui automatiškai taikyti 0% PVM negalima
02-11-2023

Europos Sąjungos Teisingumo Teismas (ESTT) išnagrinėjo bylą, kurioje spręstas klausimas, ar transporto įmonė, tranzitu gabenanti prekes iš Olandijos uosto į prekių importo valstybę - Rumuniją - gali savo paslaugoms automatiškai taikyti 0 proc. PVM (kaip transporto paslaugoms, susijusioms su importu), ar visgi turi papildomai įsitikinti, kad importuotojas PVM nuo šių paslaugų tinkamai įtraukė į prekių importo PVM apmokestinamąją vertę. Ir jeigu neįrodo, turi PVM nuo šių paslaugų sumokėti pats. ESTT patvirtino transporto įmonėms nepalankią poziciją - automatinio 0 proc. taikymo šiuo atveju negali būti. Visgi, mokesčių administratorius privalo atsižvelgti į visus galimus pateikti įrodymus.

Monika Bielskienė

duties, taxes
lt
ESTT: “neišmuitintų” prekių transportavimui automatiškai taikyti 0% PVM negalima
02-11-2023

Europos Sąjungos Teisingumo Teismas (ESTT) išnagrinėjo bylą, kurioje spręstas klausimas, ar transporto įmonė, tranzitu gabenanti prekes iš Olandijos uosto į prekių importo valstybę - Rumuniją - gali savo paslaugoms automatiškai taikyti 0 proc. PVM (kaip transporto paslaugoms, susijusioms su importu), ar visgi turi papildomai įsitikinti, kad importuotojas PVM nuo šių paslaugų tinkamai įtraukė į prekių importo PVM apmokestinamąją vertę. Ir jeigu neįrodo, turi PVM nuo šių paslaugų sumokėti pats. ESTT patvirtino transporto įmonėms nepalankią poziciją - automatinio 0 proc. taikymo šiuo atveju negali būti. Visgi, mokesčių administratorius privalo atsižvelgti į visus galimus pateikti įrodymus.

Monika Bielskienė

duties, taxes
en
Carbon Border Adjustment Mechanism (CBAM):
23min
image

Arne Mielken

‎ €39.99
duties, taxes
en
Carbon Border Adjustment Mechanism (CBAM): The Law
23min
image

Arne Mielken

‎ €39.99
duties, taxes
en
Management of import taxes other than duties
11-10-2023

What are the pitfalls and opportunities of 42 import procedure? What about post-Brexit VAT? What do you need to know about import GST (VAT) in Canada? Do traders and brokers understand excise risk? What about "domestic" import taxation in Latvia? The CBAM – what does the future hold? These were the main questions discussed during the 17th Authors' Meeting on 24 August. We invite you to read the key points from this meeting in the article below.

duties, taxes
en
Management of import taxes other than duties
11-10-2023

What are the pitfalls and opportunities of 42 import procedure? What about post-Brexit VAT? What do you need to know about import GST (VAT) in Canada? Do traders and brokers understand excise risk? What about "domestic" import taxation in Latvia? The CBAM – what does the future hold? These were the main questions discussed during the 17th Authors' Meeting on 24 August. We invite you to read the key points from this meeting in the article below.

duties, taxes
en
Input tax credits on imported goods in Canada
08-10-2023

The person entitled to claim an input tax credit for GST payable on imported goods in Canada is not always the person who pays the tax. This counter-intuitive situation generally occurs when the importer of record is a non-resident. It arises because more than one person may accept liability for duties, taxes and other customs obligations.

Peter Mitchell

duties, taxes
en
Input tax credits on imported goods in Canada
08-10-2023

The person entitled to claim an input tax credit for GST payable on imported goods in Canada is not always the person who pays the tax. This counter-intuitive situation generally occurs when the importer of record is a non-resident. It arises because more than one person may accept liability for duties, taxes and other customs obligations.

Peter Mitchell

duties, taxes
en
Three questions about customs value of goods in transactions between the related parties in Ukraine
08-10-2023

The issue of customs valuation is extremely important for Ukraine. The author has written about it in previous issues of the journal. A special case of customs valuation is no exception - when the seller and the buyer are related parties. The concept of "related parties" in Ukrainian legislation is fully compatible with the GATT, as the Customs Code of Ukraine refers directly to Article 15 of the WTO Customs Valuation Agreement rather than defining this concept. It would seem that if there is nothing wrong with the legislation and if it is in line with accepted standards and principles, there should be no problems with its application. However, this is not the case.

Dr. Ilona Mishchenko

valuation
en
Three questions about customs value of goods in transactions between the related parties in Ukraine
08-10-2023

The issue of customs valuation is extremely important for Ukraine. The author has written about it in previous issues of the journal. A special case of customs valuation is no exception - when the seller and the buyer are related parties. The concept of "related parties" in Ukrainian legislation is fully compatible with the GATT, as the Customs Code of Ukraine refers directly to Article 15 of the WTO Customs Valuation Agreement rather than defining this concept. It would seem that if there is nothing wrong with the legislation and if it is in line with accepted standards and principles, there should be no problems with its application. However, this is not the case.

Dr. Ilona Mishchenko

valuation
en, lt
Fraudsters in the supply chain: Who pays taxes as a result of fraudulently completed formalities?
01-10-2023

Presumption of guilt - you'll say it doesn't work that way. Unfortunately, in tax law, the taxpayer is presumed to be guilty of breaching the tax law unless he proves otherwise. The only question is whether, even if proven not guilty, the taxpayer will not have to pay the tax. In a recent judgment, the Court of Justice of the European Union (CJEU) clarified whether the owner of an excise warehouse (whose guilt has not been proven) will have to pay the suspended taxes (in this case almost €3 million) in a case where the evidence of the completion of the formalities has been falsified and where the goods have been transported to an unknown destination. The clarifications are important not only for the owners of excise warehouses, but also for all users of suspended tax regimes - transit, customs warehousing, temporary admission for processing and others - in order to better understand, assess and manage the risks involved. The CJEU has also clarified when goods are considered "lost" and no tax is due.

Ingrida Kemežienė

duties, taxes
en, lt
Fraudsters in the supply chain: Who pays taxes as a result of fraudulently completed formalities?
01-10-2023

Presumption of guilt - you'll say it doesn't work that way. Unfortunately, in tax law, the taxpayer is presumed to be guilty of breaching the tax law unless he proves otherwise. The only question is whether, even if proven not guilty, the taxpayer will not have to pay the tax. In a recent judgment, the Court of Justice of the European Union (CJEU) clarified whether the owner of an excise warehouse (whose guilt has not been proven) will have to pay the suspended taxes (in this case almost €3 million) in a case where the evidence of the completion of the formalities has been falsified and where the goods have been transported to an unknown destination. The clarifications are important not only for the owners of excise warehouses, but also for all users of suspended tax regimes - transit, customs warehousing, temporary admission for processing and others - in order to better understand, assess and manage the risks involved. The CJEU has also clarified when goods are considered "lost" and no tax is due.

Ingrida Kemežienė

duties, taxes
en
Transport services VAT exempt because already in import tax base? You will need to prove it!
24-09-2023

The Romanian company provides transportation services. It transported goods from the port of Rotterdam (the Netherlands) to Cluj-Napoca (Romania) under transit procedure. Goods were released into free circulation in Romania. It treated transportation service as VAT exempt because it assumed that transportation cost was included into the import VAT taxable base. Tax authorities claimed otherwise: the taxpayer failed to provide documents confirming that the transportation cost was included into the import VAT taxable base. Consequently, they denied the exemption. The dispute between the company and the tax authorities reached as far as the Court of Justice of the EU (CJEU), which recently issued clarifications on the application of the provisions of the VAT Directive in this case.

Mark Rowbotham

duties, taxes, valuation
en
Transport services VAT exempt because already in import tax base? You will need to prove it!
24-09-2023

The Romanian company provides transportation services. It transported goods from the port of Rotterdam (the Netherlands) to Cluj-Napoca (Romania) under transit procedure. Goods were released into free circulation in Romania. It treated transportation service as VAT exempt because it assumed that transportation cost was included into the import VAT taxable base. Tax authorities claimed otherwise: the taxpayer failed to provide documents confirming that the transportation cost was included into the import VAT taxable base. Consequently, they denied the exemption. The dispute between the company and the tax authorities reached as far as the Court of Justice of the EU (CJEU), which recently issued clarifications on the application of the provisions of the VAT Directive in this case.

Mark Rowbotham

duties, taxes, valuation
en
Who is a purchaser in Canada and why does it matter for customs valuation?
17-09-2023

Can a small difference between Canadian customs legislation and the WTO Customs Valuation Agreement really affect the customs valuation process and its outcome? The following article attempts to answer this question.

Peter Mitchell

valuation
en
Who is a purchaser in Canada and why does it matter for customs valuation?
17-09-2023

Can a small difference between Canadian customs legislation and the WTO Customs Valuation Agreement really affect the customs valuation process and its outcome? The following article attempts to answer this question.

Peter Mitchell

valuation
en, lt
Who is responsible for CBAM in the company?
17-09-2023

If you import aluminium, steel and iron products, cement, fertilisers, hydrogen or electricity, you should already have answered the question of who in your company speaks the language of the Carbon Border Adjustment Mechanism (CBAM), i.e. is knowledgeable in this area and responsible for compliance. And not just you, but also your suppliers from outside the EU, as they will provide you with information on the carbon emissions generated in the production of goods. So who in your supplier company speaks the CBAM language? In this article we look at the links between CBAM and customs, as well as other areas, to help you answer the question of whether the primary responsibility for CBAM compliance should lie with the person responsible for customs matters.

Enrika Naujokė

duties, taxes
en, lt
Who is responsible for CBAM in the company?
17-09-2023

If you import aluminium, steel and iron products, cement, fertilisers, hydrogen or electricity, you should already have answered the question of who in your company speaks the language of the Carbon Border Adjustment Mechanism (CBAM), i.e. is knowledgeable in this area and responsible for compliance. And not just you, but also your suppliers from outside the EU, as they will provide you with information on the carbon emissions generated in the production of goods. So who in your supplier company speaks the CBAM language? In this article we look at the links between CBAM and customs, as well as other areas, to help you answer the question of whether the primary responsibility for CBAM compliance should lie with the person responsible for customs matters.

Enrika Naujokė

duties, taxes
lt
PADKM pereinamasis laikotarpis: koks yra muitinės ir kitų asmenų vaidmuo?
17-09-2023

Skaitytojo klausimas: Koks bus muitinės vaidmuo pereinamuoju laikotarpiu (2023 m. spalis – 2025 m. gruodis) įgyvendinant pasienio anglies dioksido kontrolės mechanizmą (PADKM)? Atsakydami į klausimą ne tik apžvelgiame muitinės vaidmenį, bet ir atkreipiame dėmesį į visų susijusių asmenų vaidmenis ir pabrėžiame ataskaitas teikiančio deklaranto atsakomybę.

duties, taxes
lt
PADKM pereinamasis laikotarpis: koks yra muitinės ir kitų asmenų vaidmuo?
17-09-2023

Skaitytojo klausimas: Koks bus muitinės vaidmuo pereinamuoju laikotarpiu (2023 m. spalis – 2025 m. gruodis) įgyvendinant pasienio anglies dioksido kontrolės mechanizmą (PADKM)? Atsakydami į klausimą ne tik apžvelgiame muitinės vaidmenį, bet ir atkreipiame dėmesį į visų susijusių asmenų vaidmenis ir pabrėžiame ataskaitas teikiančio deklaranto atsakomybę.

duties, taxes
Forgot password?

* Mandatory fields

By signing up you agree to the Terms of Use and Privacy Policy

Password reset

Check your e-mail, we sent you a link to reset your password.


Login with Google Login with LinkedIn

Contact us

Thank you for report
Maximum file size 6mb
File is too large