Valuation of Imported Goods: Considerations for Accurate U.S. Customs Declarations

Accurately valuing imported goods is an important aspect of complying with CBP regulations. The declared value of goods determines the duties and taxes owed, and undervaluing shipments can result in severe penalties. Importers must ensure that they correctly calculate and report the value of their goods to avoid violations. Whether you’re working to avoid future problems or are already dealing with a CBP inquiry, our team can help. Click the button below to schedule an intake meeting with our office.

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There are several methods for valuing imported goods, with the transaction value method being the most common. This method bases the value on the price actually paid or payable for the goods when sold for export to the United States. However, adjustments may be needed to account for factors such as freight, insurance, and packing costs, which should be included in the total value.

In cases where the transaction value method is not applicable, alternative methods may be used, such as the deductive value method or the computed value method. These methods rely on different factors, such as the resale price of the goods in the U.S. or the cost of production plus a profit margin. Importers should carefully evaluate which method applies to their transactions and consult with legal counsel or customs experts if needed.

Maintaining accurate records of transactions, including invoices, purchase orders, and transportation costs, is essential for substantiating the declared value. Importers should also be aware of any special rules that may apply, such as the rules for related-party transactions, which require additional scrutiny to ensure that the declared value reflects an arm's length price.

By taking these considerations into account, importers can ensure that their goods are accurately valued, minimizing the risk of penalties and ensuring compliance with CBP regulations. If you're unsure whether you're valuing your imports correctly or need support responding to a notice from CBP, our firm is here to help. Give our office a call today at (917) 546-6997 or schedule an intake meeting, we would be happy to speak with you.

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