Event report
Past event| Customs valuation and transfer pricing adjustments : where do we stand in ASEAN in 2022?
Thank you to our speakers Arnaud Fendler, Attorney at Laws at DS Avocats and Stéphane Lacaille-Vizier, Tax Director SAPMENA at L'Oréal for this informative discussion around transfer pricing adjustments and customs valuation.
Key takeaways:
- Acceptability and recognition of reliability of transfer prices for customs valuation purposes remain fragile in ASEAN
- Limited number of ASEAN countries implement a specific customs valuation mechanism designed to deal transfer pricing and/or retrospective or prospective adjustments -> variable between countries -> difficult for one MNE to implement a regional strategy on this topic
- The existing mechanisms offer a relative framework designed to deal with anticipated adjustments. However, none of them provides security in case of unanticipated transfer pricing adjustments
- Need of additional guidance and securing mechanisms for compliant businesses
Best practices:
- Inclusion of customs considerations/risks in transfer pricing method determination process and adaptation for ASEAN countries with additional complexity
- Preparing customs adapted documentation regarding transfer pricing, to sustain its reliability for customs value purposes
- Securing customs valuation and transfer pricing retrospective adjustments allocation processes with an advance ruling / specific authorization, when available
- Organize with customs brokers the collection of import data in order to allocate transfer pricing adjustments to imported goods
For more information, please contact Vanessa Hobbs vhobbs@fccsinagpore.com
