Valuation of Imported Goods

Act: Customs Act, R.S.C. 1985, c. 1, 2nd Supp.
Regulation: Valuation for Duty Regulations, SOR/86-792, as amended

To Whom Does This Apply?

Anyone importing goods into Canada must declare a value for them in accordance with the Customs Act. 

Summary

Importers need to establish the value for duty of imported goods in order to calculate the amount of duty and tax applicable.

Most goods imported to Canada are valued using the Transaction Value method. This is the price paid or payable for goods, with some additions or deductions. Examples of additions include selling commissions and packing costs, and a deduction example is the transportation charges.

There are some limitations to using the Transaction Value method, such as restrictions or conditions on a sale. If the transaction value method does not apply, one of five alternative methods, considered in sequential order, can be used:

• the transaction value method of identical goods;
• the transaction value method of similar goods;
• the deductive method of valuation;
• the computed method of valuation; and
• the residual method of valuation.

Further information on valuation methods and their application can be found in the Importer's Valuation Guide or in the published administrative guidelines contained in the Departmental Memoranda D13 series, available from the Canada Border Services Agency.

Appeals

Under the Customs Act, importers can request a re-determination of the value for duty. Importers who disagree with a re-determination decision made by the CBSA can appeal to the President of the Agency through a regional office.

Information

For more information, please contact the Canada Border Services Agency or consult the Importer's Valuation Guide .

DISCLAIMER
Information contained in this section is of a general nature only and is not intended to constitute advice for any specific fact situation. For particular questions, the users are invited to contact their lawyer. For additional information, see contact(s) listed below.

Manitoba Contact(s):
See National Contact.

National Contact(s):
Border Information Service - BIS
Canada Border Services Agency
Telephone: 204-983-3500 or 506-636-5064 (for calls outside Canada)
Toll-free (information): 1-800-461-9999 (for calls within Canada)
Web site: http://www.cbsa.gc.ca/menu-eng.html