1. Goods importation stage
Profit-seeking enterprises handling controlled transactions of cross-border tangible assets transfer that applies for import goods customs value determination of One-Time Transfer Pricing in a fiscal year should declare provisional value base on proforma invoice. In addition, on the import declaration, they should fill out ‘138’ (with special relationship, a case handling customs value determination of One-Time Transfer Pricing in a fiscal year) in the ‘Related to Seller’ field, ‘65’ (provisional duty) in the ‘Code of Duty Payment’ field, and note ‘handling customs value determination of One-Time Transfer Pricing in a fiscal year’ and its fiscal year duration in the ‘Other Declarations Particulars’ field along with proforma invoice, Customs Value Declaration Form, Application for Paying a Deposit to Release Imported Goods to apply to Customs for paying the deposit for the goods to be released.
2. Apply for import goods customs value determination stage
Profit-seeking enterprises should apply to Customs with “Application form of import goods customs value determination for profit-seeking enterprise handling One-Time Transfer Pricing in a fiscal year”, “Check list between import declaration and official invoices of One-Time Transfer Pricing in a fiscal year”, “Contract of controlled transaction”, “Official invoices”, proofs of payments and so on for customs value determination of One-Time Transfer Pricing within one month after the end of fiscal year. Customs will examine whether the transaction values were influenced by the special relationship between buyer and seller according to Article 30 of the Customs Act and Article 14 of the Enforcement Rules of the Customs Act. Customs will determine customs value according to Customs Value related regulation on Section 2, Chapter II of the Customs Act within 4 months following the day of receiving the application. In the case that an extension is necessary, there will be a notice to extend for 2 months. If a profit-seeking enterprise fails to apply to Customs for customs value determination within one month after the end of fiscal year, or fails to provide correct documentation within 15 days after Customs informs said enterprise to do so, the customs value will be determined accordingly.
3. Other matters
To ensure the right of profit-seeking enterprises to apply for paying the deposit for the goods to be released, the import declarations’ mode of clearance of this process is subject to document review or physical examination. However, import declarations that violate the Customs Anti-smuggling Act or fail to fill out related matters are excluded from the application of these Operation Directions.
4. For more information, please refer to the official website of Customs Administration, Ministry of Finance/Cargo Clearance/ Theme Area of the Customs Value Determination of One-Time Transfer Pricing