The CSCB is pleased to advise that Darrel Pearson, a Toronto-based international trade lawyer, will present an analysis of a recent Canadian International Trade Tribunal (CITT) valuation decision regarding Jockey Canada.
In a lengthy and detailed statement of reasons, the CITT examined the burden of proof, and, in so doing, set the bar for maintenance of accurate records and underlying commercial agreements specifying the nature of international transactions involving the supply of goods, services and intellectual property. The finding informs the importing community of the importance of documenting import transactions.
The accuracy of depiction of transactions in tax returns, accounting books and records, contracts, transfer pricing agreements/studies and commercial documentation were considered by the CITT and led it to conclude that Jockey Canada's related service provider, Jockey International, and not unrelated foreign vendors, was the seller in sales for export to Canada. As a result, the value of imported goods was found to be higher than that declared.
The CITT also examined the applicability of the "post importation reduction/rebate" provision to downward adjustments of transfer prices, and concluded, based on the evidence and its understanding of CBSA policy, that a practice of allowing such adjustments (after importation) in correcting values for duty was consistent with the requirements of the transaction value method.
This presentation will be of interest to customs brokers, and to importers involved in multi-layered and/or multi-aspect transactions, and of particular interest to those involved in related party transactions.
The Statement of Reasons is available on the CSCB website at: http://cscb.ca/sites/cscb.ca/files/uploads/JockeyCanada-SOR.pdf
This webinar is taking place Thursday, February 28th, between 2 and 3:30 pm. Register today and don’t miss this great opportunity to hear about this case!
Please feel free to send questions in advance of the webinar.
All registered participants who are CCS or CTCS designates will be awarded 5 points/credits.
Registration closes at noon on February 28th! Register now!
Topic(s)
My Association
Information source
Canadian Society of Customs Brokers (CSCB)
Disclaimer
The foregoing information is provided for informational purposes only and is not intended as, nor should it be considered, professional advice or a substitute for conducting your own thorough research and review. Before making any decisions or taking any action based on the information provided, you should conduct your own independent investigation and/or seek professional advice from a qualified expert in the relevant field. The CSCB disclaims all liability for actions taken or not taken based on the information provided.