Study Guide
8. Method I: Transaction value
8.5. Situation 4: Customs right to reject the declared value
The Customs right to reject values is based on Ministerial Decision 6.1, taken as a result of the Final Act of the Uruguay Round/GATT 1994. The WTO recognized that Customs administrations need practical authority to combat infractions such as undervaluation at the first clearance stage. The decision has been incorporated into the Agreement at Article 17.
|
Article 17 Nothing in this Agreement shall be construed as restricting or calling into question the rights of customs administrations to satisfy themselves as to the truth or accuracy of any statement, document or declaration presented for customs valuation purposes. |
The degree of information required before rejection of a declared value is determined on a case-by-case basis, taking all relevant circumstances into account. Risk management and compliance management concepts are relevant here, though these concepts are not covered in this module.
Arbitrary Customs actions are fully mitigated by the rights accorded to importers under Articles 9, 10, 11, 12, 13, and 16.