Customs Valuation is the determination of the economic value of goods declared for importation.
Having a standard set of rules for establishing these goods' value is of great importance for several reasons.
- Having a commonly agreed and accurate measuring standard is vital for the purposes of
The value of imported goods is also one of the three 'elements of taxation' that provides the basis for assessment of the customs debt, which is the technical term for the amount of duty that has to be paid, the other ones being the origin of the goods and the customs tariff.
Once the value of the goods is determined, customs duties can be calculated.