RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/MOL/14
23 June 1999
(99-2561)
Working Party on the
Accession of MoldovaOriginal:  English
ACCESSION OF THE REPUBLIC OF MOLDOVA
Information on Customs Valuation
The Ministry of the Economy of the Republic of Moldova has submitted the following
information on Customs Valuation, with the request th at it be circulated to Working Party members.
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Information on Customs Valuation
The following responds to the questions contained in WT/ACC/1, ANNEX 4 on Customs
Valuation.
1. Questions concerning Article1:
(a) Sales between related persons:
(i) Sales between related persons are subject to special provisions. "Related persons" is
defined as: (see the Customs Tariff Law, Article 11.2.(d))
- participants in a transaction, from which one (natural person) or the person with
responsible functions for one of them is at the same time a person with responsible
functions for the other one.
- participants in a transaction, recognized by the legislation as permanent business
partners;
- participants in a transaction, who are in job relationships;
- participants in a transaction, who are at the same time participants (share holders,
associates) of an enterprise;
- participants in a transaction, from whom one holds the social capital, a quota or
shares of the other participant at the transaction,  fact giving him the right to vote andhold 5% of the capital;
- participants in a transaction, being under the control of a third party;
- participants in a transaction, keeping under control a third party;
- participants in a transaction, from whom one is under the control of the other;
- participants in a transaction, who are relatives.
(ii) See (iv), below.(iii) Article 8.5 of the Customs Tariff Law provides for the possibility of the importer to
request a communication in written form about the non-acceptance of the declared
value.
(iv) The draft amendment to the Customs Tariff Law provides for implementation of
Article 1.2(b) of the WTO Agreement. The draft amendments states that:
"In a sale between related persons, the transaction value shall be accepted and the goods
valued in accordance with the Article 11 when ever the importer demonstrates that such
value closely approximates to one of the foll owing occurring at or about the same time:
(a) the transaction value in sales to unrelated buyers of identical or similar goods
for export to the same country of importation;
(b) the customs value of identical or similar goods as determined under the
provisions of Article 15;
(c) the customs value of identical or similar goods as determined under the
provisions of Article 16;
In applying the foregoing tests, due account shall be taken of demonstrated differences
in commercial levels, quantity levels, the el ements enumerated in Article 11 and costsWT/ACC/MOL/14
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incurred by the seller in sales in which the seller and the buyer are not related that are
not incurred by the seller in sales in which the seller and the buyer are related."
(b) Price for lost or damaged goods:
There are no provisions relating to the valuation of lost or damaged goods.
2. The Law on Customs Tariff (No. 1380-XII; 20.11.97) states in Article 10 that:
"(1) The customs valuation of goods introduced on the customs territory are determined
by the following methods:
(a) on the basis of the value of transaction with the respective goods;
(b) on the basis of the value of transaction with identical goods;
(c) on a basis of the value of transaction with similar goods;
(d) on the basis of the unitary cost of the goods;
(e) on the basis of the calculated value of the goods;(f) Through the reserve method.
(2) The principal method among the above mentioned is the method of customs valuation
on the basis of the value of transaction with the respective goods. In case when the principal
method can not be applied, other methods are used. Each of the successive methods   isapplied only in case when the customs value can not be determined  through the previous
method. Methods d) and e) can be applied in any succession, at the person making the
declaration's wish."
3. Article 15.2 of the Law on Customs Tariff states that “the basis for establishing the customs
value of goods by applying the unit cost method is the price per unit of the goods, at the
moment of import, at which these goods are sold in big quantities to a person having no
interdependence relation with the seller.”
4. The draft amendment to the Law on Customs Tariff provides for implementation of Article
6.2 of the Customs Valuation Agreement:
5. Questions concerning Article 7:
(a) The method of reserve is spelled out in Article 17 of the Law on Customs Tariff and is fully
consistent with Article 7 of the Customs Valuation Agreement
(b) The Article 8.5 of the Law on Customs Tariff provides for informing the importer of the
customs value determined under the Article 17 of the Customs Valuation Agreement.
(c) Yes. Is stipulated in Article 17.3 of the Law on Customs Tariff. The reserve method of
determining the customs value of goods can not rely upon the following items:
(a) the selling price of goods in the domestic market of the Republic of Moldova;
(b) the price of goods in the domestic market of the exporting country;
(c) any arbitrary price or a fictive price of the goods;
(d) the system that foresees the application, in customs aims, of the greatest value of
goods out of two possible;
(e) the production cost of the goods, different from the calculated value of identical or
similar goods, determined according the provisions of the Article 16 (a);WT/ACC/MOL/14
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(f) the value of the sold goods for export in another country except the importing
country;
(g) the minimal customs value of goods.
6. According to Article 11.1 of the Law on Customs Tariff the determination of customs value
of goods on the basis of the transaction value is to include, if it does not already include, the
following components:
(a) Expenditure for the transportation of goods at the airport or any other place of introducing the
goods into the customs territory:
- expenditures on the insurance of goods;
- transportation fees;
- loading, unloading and shipment of goods.
(b) Buyer's expenditures:
- fees and commissions for brokers, with the exception of commissions for the
procurement of goods;
- the cost of containers and/or of the multiple use package, in case of non–
correspondence of these with the Goods Nomenclature, these are considered an entity
with the goods;
- the price of the package, including the price of packing materials and of the works on
packing.
(c) The part of the cost of the following goods and services, which, directly or indirectly have
been offered to the buyer for free or for a reduced price as related to the production or salesfor export of the evaluated goods:
- raw materials, semi-finished products, details and other spare parts, constituting a part
of the of goods;
- materials, spent on the fabrication of goods (lubricants, fuel, etc);
- tools, models, forms and similar objects, used at the fabrication of goods;
- drafting works and works oriented towards building, aesthetic management, design,
modeling and technical design, executed outside the borders of the Republic of
Moldova within the process of fabrication of goods.
(d) Fees for licenses and other payments, the buyer has to submit directly or indirectly for the
usage of objects of intellectual property, as an execution of the condition of evaluated goods'sales.
(e) A part of the direct or indirect income of  the seller from any commercialization, transfer or
usage of goods, estimated on the territory of the Republic of Moldova.
7. According to (Article 6.1.7) of the Foreign Exchange Regulations of the Republic of Moldova
(National Bank of Moldova No.2/13.01.94) the exchange rates are established by the National
Bank of Moldova and published in the bulletin of the National Bank. The official rates are
announced daily by "Infotag" News Agency
8. Article 8.4 of Law on Customs Tariff stipulates that the information, provided by the person
making the declaration for the customs valuation of the good constitutes a commercial secret
and can be utilized by the customs authority only for the customs aims and can not be
transferred to third parties, except in cases foreseen by the law. The customs authorities areWT/ACC/MOL/14
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liable for unauthorized disclosure of the information stated as a trade secret, in conformity
with the legislation.
9. Questions concerning Article 11:
(a) Article 7.4 and 7.5 of Law on Customs Tariff stipulates that in the cases where a declarant
disagrees with the decision of the customs authorities over the determined customs value of
goods, a complaint can be lodged against this decision according to procedures established by
the law. The additional expenditures incurred by the declarant to provide a more precise
customs evaluation of goods or to obtain additional information are assumed by the person
making the declaration;
(b) Article 8.6 of Law on Customs Tariff provides that after the last decision regarding the
impossibility to accept the customs value stated by the person making the declaration, the
customs authority, at the request of the person making the declaration, is obliged to provide,
within 1 month, a written statement explaining the reasons why the customs value declared by
the declarant cannot be accepted by customs as a basis to calculate the duties.
10. Provide information on the publication, as required by Article 12, of the WTO Agreement:(a) According to Article 17 of the Constitution of the Republic of Moldova and Government
decision No. 1104/ 28.11.97 (Article 5) all laws, regulations, judicial decisions andadministrative rulings must be published in "Monitorul Oficial” of the Republic of Moldova"
and enter into force from the day of publication;
(b) Except for change contained in the attached draft amendments, no changes of rules is
anticipated.
11. Questions concerning Article 13.(a) Article 7.3 of Law on Customs Tariff proves for implementation of the last sentence of the
Article 13 of the Agreement. This says: “If it is required to define more precisely the customs
value of the declared good, the  person making the declaration, has the right to ask the
customs authorities to provide him with the d eclared goods for use, offering any property as
collateral or the guarantee of an authorized bank, or to pay the customs duty established by
the customs authority”;
(b) No additional explanation in respects to this provision.
12. Questions concerning Article 16
(a) Article 8.5 of Law on Customs Tariff contain provision requiring customs authorities to give
an explanation in writing as to how the customs value was determined.
(b) No any further regulation concerning the above mentioned request.
13. The Interpretative Notes of the Agreement are contained in the draft Government Decision on
Regulation on Implementation of the Customs Tariff Law.
14. The Draft Government Decision on Implementa tion of the Customs Tariff Law contains the
provisions for implementation of the Decision of 26 April 1994 on the Treatment of Interest
Charges in the customs value of the imported goods. This states that:WT/ACC/MOL/14
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“Charges for interest under a financing arrangem ent entered into by the buyer and relating to
the purchase of imported goods shall not be regarded as part of the customs value provided
that:
(a) the charges are distinguished from the price actually paid or payable for the goods
(b) the financing arrangement was made in writing;
(c) where required, the buyer can demonstrate that:
- "such goods are actually sold at the price declared as the price actually paid or
payable, and
- the claimed rate of interest does not exceed the level for such transactions prevailing
in the country where, and at the time when the finance was provided.
This provision shall apply regardless of whether the finance is provided by the seller, a bank
or another natural or legal person. It method shall also apply, if appropriate, where goods are
valued under a method other than the transaction value.”
15. The Draft Decision on Regulation for implementation of the Customs Tariff Law (Note to
Article 11, additional provisions, para.2) contain the provisions for implementation of the
Decision of 24 September, 1984 on the Valuation of Carrier Media Bearing Software for Data
Processing Equipment. This states that: “Given the unique situation with regard to data or
software recorded on carrier media for data processing equipment, in determining the customs
value of the imported carrier media bearing data or instructions, only the cost or value of thecarrier medium itself shall be taken into account. The customs value shall not, therefore,
include the cost or value of the data or software, provided that this is distinguished from the
cost or the value of the carrier medium.
For the propose of this regulation, the expression “carrier medium” shall not be taken to
include integrated circuits, semiconductors and similar devices or articles incorporating such
circuits or devices; the expression “data or software” shall not be taken to include sound,
cinematic or video recording.”
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