With the beginning of 2020, there has been an increase in the number of cases for which we have followed appeal procedures against re-valuation with reference prices by customs authorities.
Almost all cases have some common characteristics:
- Transaction value is rejected based on generalized arguments;
- The obligation to follow custom valuation methods sequentially is not respected;
- Applied prices conflict with the provisions of the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade (GATT).
Given the common characteristics of cases we have dealt with, based on our experience and professional intuition, we are of the opinion that the number of cases unilaterally re-valuated has recently increased.
On the other hand, statements of customs authorities in business forums that “the number of cases re-valuated is only 5%” are not accompanied with specific information on the methodology used for calculating this statistic.
We may say that, the application of reference prices in short-term increases revenues for the state budget, which is marketed as “good administration” and “fight against evasion”.
The pressure of achieving revenue plan for the state budget is practically transmitted also to specialists, who are requested to apply reference prices more often.
In this delicate situation, in order to prevent the application of reference prices, the documents submitted during customs clearance formalities must be impressive and in accordance with all requirements of the legislation and guidance documents, so that the employee accepting transaction value can feel convinced and protected.
Gazidede Customs & Excise Consulting has developed an effective model for preventing and objecting the application of reference prices by customs authorities.
We have successfully won several re-valuation cases through administrative appeal and are committed to win all cases through administrative and/or judicial appeal.
Do you need to discuss with a customs & excise expert?
We are available to assist you!
Gazidede Customs & Excise Consulting
Sulejman Delvina Street
Wilson Square, 1/1
Tirana, Albania
Email: info@gazidede.al
Mob: +355 69 405 0005
Web: https://gazidede.al/