QUESTION: Seller issues a commercial invoice to the buyer which contains a separate line for “plywood pallet fees” totaling $500. These fees are for the costs of the pallets themselves, not labor. The pallets are being used to transport invoiced product and they are re-usable. Considering the transaction value method, are these “plywood pallet fees” […]
QUESTION: This may be a ridiculous question but I’m looking for feedback and I want to be sure we are heading in the right direction. We are a participant of the Recon program for Valuation and have decided to apportion the total value of the assists over the first shipment. Can someone in the […]
QUESTION: How do you handle requests for USA exports to customers that require Freight Costs be added to the Commercial Invoice. Most often, they say it is an Import Customs Requirement that not only the Actual Freight Costs be mentioned but that a full calculation needs to be listed on the CI such as […]
QUESTION: Are royalty payments on purchase of goods for resale dutiable in MX. I know they are in the US and Eurozone, but not sure aboue MX. Please advise. ========== Answer: Please note that royalty payments in the US are not ALWAYS considered PAPP and therefore not always dutiable. With regard to your question, […]
QUESTION: We have a new material that will begin production soon by a foreign manufacturer. In preparation for import to the US, the manufacturer has invoiced us for “study” fees required by the FDA for 510(k) clearance. I have consulted the ICP and Valuation Encyclopedia, but am still unclear as to whether these […]
QUESTION: We are a U.S. Manufacture that offers an exchange service program for one of our parts that requires high maintenance. Our U.S program includes the service and free shipping to and from the customers facility. We are looking at possibly offering a similar Exchange Program for our customers located in Mexico. As this […]
QUESTION: I am trying to determine the correct entered value under this scenario Supplier given a Purchase Order in USD. Supplier fills order and Bills in Euros at a rate of 1.0597 (1.05697 USD = 1 EUR) Check cut in USD per the ROE on the invoice – Price Paid The ROE on the actual […]
QUESTION: Has the membership ever encountered instances where assists are applicable to finished goods exported intercompany or to end customers? If so, please provide examples? ========== Answer: If I read your question carefully, you are asking whether an assist is applicable to finished goods exported (but you don’t say from where). First, there are a […]
QUESTION: Can anyone please advise whether “Concept Engineering” should be taken into consideration for valuation purposes? Basically this is a feasibility study to determine if the manufacturer/supplier could take on the project of building a customize machine. Accounting allocated this as an expense as it was done one year before placing the actual PO. […]
QUESTION: We purchase products from China. After we ( US company) received several shipments we also received a credit because of the devaluation of the Chinese dollar. Are we able to reclaim the extra duty paid before we received this credit? **************** Answers: My take is that the revised pricing meets the ‘Price Paid or […]
QUESTION: We import materials into the EU under a related party transaction. In some instances, very specific materials must be procured and we charge a service fee because of the specificity of the materials. The price of the goods are the same as if they were standard goods, but we then charge the customer a […]
QUESTION: We have an agreement in place which clearly defines that we have a bone fide buying agent. We pay our agent a percentage rate based on the amount invoiced by the supplier and we receive a separate quarterly invoice directly from our agent for the commission. Based upon the Buying and Selling Commissions […]
