The intersection of TP, customs valuation, and VAT in the EU. Reconciled.

FAQ

Questions on transfer pricing, customs and vat.

• Why do year-end transfer pricing adjustments matter for customs?

  A year-end TP adjustment that changes an imported good's price can trigger a corresponding customs re-valuation obligation, since customs value and transfer price are calculated under different frameworks — the WCO Customs Valuation Agreement and the OECD Guidelines — that don't automatically reconcile. Getting the design wrong upstream creates retroactive customs exposure.

• What are the CJEU Tauritus and Stellantis cases, and why do they matter?

  Both are pending Court of Justice of the EU decisions addressing how transfer pricing adjustments interact with customs valuation across EU member states. Either ruling could reset the practitioner landscape for groups importing into the EU with a post-import TP true-up mechanism.

• Can a group still use the 'first sale' customs valuation option?

  Yes, but it is increasingly fact-sensitive post-BEPS. The first-sale rule allows customs value to be based on an earlier sale in a supply chain rather than the final import price — defensible only with clean documentation showing the earlier sale was a genuine sale for export.