Value and origin
Transaction Value
Transaction value is the price paid or payable for goods sold for export to the United States, plus some additions. It is the main basis of customs value.
What does Transaction Value mean?
CBP appraises imported goods first by transaction value. If it cannot be used, CBP moves in order to identical goods, similar goods, deductive value and computed value (19 CFR 152.101).
Transaction value is the price actually paid or payable plus five additions, if they are not already in the price. The additions are packing costs, selling commissions, assists, royalties or license fees, and resale proceeds to the seller.
International freight and insurance are not part of transaction value when they are identified separately. The price includes indirect payments, for example a debt of the seller that the buyer cancels (19 CFR 152.103).
The value on the entry is the basis for ad valorem duties and for the merchandise processing fee (19 CFR 24.23). The importer of record must declare it with reasonable care.
What does it mean for your shipment?
Send us the commercial invoice and the payment record, and tell us about any assists, royalties or later price changes. These items can change the value that must be declared.
Allied CHB, licensed customs broker, CBP filer code 9AJ.
Where does this come from?
All glossary terms · General information, not legal advice.