G/VAL/Q/PRY/5   
9 November  2022 
(22-8388) Page: 1/3 
Committee on Customs Valuation  Original: Spanish  
 
  
NOTIFICATIONS UNDER ARTICLE 22 OF THE AGREEMENT ON  IMPLEMENTATION  
OF ARTICLE VII  OF THE  GENERAL AGREEMENT  
ON TARIFFS AND TRADE 1994  
REPLIES FROM PARAGUAY TO QUESTIONS POSED BY THE UNITED STATES  
CONTAINED IN DOCUMENT G/VAL/Q/PRY/4  
PARAGUAY  
The following submission, dated 3 November 2022, is being circulated at the request of the 
delegation of Paraguay . It provides re plies to the additional questions raised by the United States in 
document G/VAL/Q/PRY/4 regarding G/VAL/N/2/PRY/1.  
 
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Question  1(a)(iii) of the Checklist  of Issues   
 
Article 1.2(a) of the WTO Customs Valuation Agreement (CVA) concerns the obligation of the 
customs administration to inform the importer in writing if it considers that, in  a sale between related 
parties, the relationship influenced the price. Article 1.2(a) requires that the customs administration 
communicate its grounds to the importer (in writing, if so requested by the importer) and that the 
importer is given a reasonable opportunity to respond. Please i ndicate which provision in Paraguay 's 
legislation  implements Article 1.2(a).  
 
Reply 
 
Resolution No. 40/2016  of the National Customs Directorate (DNA) , in the section  referring to the 
Deferred Value Verification  Division, provides  that its functions include " preparing reports and 
technical opinions related to the interpretation of the rules of the valuation system in force as 
required" ( point No.  14). 
 
Question  5(a) of the Checkl ist of Issues   
 
Article 7 of the CVA concerns the valuation of merchandise when it cannot be determined under the 
provisions of Articles 1 through 6 of the CVA. Please indicate which provisions in Paraguay's 
legislation implement the req uirements of Article 7 . 
 
Reply 
 
In accordance with the provisions of the WTO Customs Valuation Agreement, Article 7  is 
implemented , at the  domestical  level, pursuant to  the provisions of DNA Resolution No. 40/2016, 
under point No. 2 of  the section on  "Functions of the Local Valuation Divisions" , "implement ing, in a 
uniform and impartial manner throughout the national territory, the technical rules of customs 
valuation, pursuant to  the international principles govern ing those rules,  and following the wo rk 
procedures or procedur al manuals devised  and instituted  by the Department". In this case , it is 
provided for  under Operational Procedure PO -VAL-0001, point No. 3 "Responsibilities and 
Procedures", 3.1 "Sequence of Activities, Substitution and/or Value A djustment". Step 4 "Verification 
of the Valuation Method".  
 G/VAL/Q/PRY/5  
 
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  Question  5(b) of the Checkl ist of Issues   
 
Article 7.3 of the CVA provides that, upon the importer's request, they may be informed in writing 
of the customs value determination under Article 7 and the method used to determine the value. 
Please indicate which provisions in Paraguay's legislation implement the requirements of Article 7.3 . 
 
Reply 
 
This is carried out pursuant to the regulatory provisions in force. DNA Resolution No. 40/20 16, point 
No. 20  under  the Functions of the Valuation Department.  
 
Similarly,  domestic  legislation includes Decree No. 13.721/01 , Article 25 of which  recognizes the 
right of the importer to administrative and judicial appeals , without any penalty.  
 
Question  5(c) of the Checkl ist of Issues   
 
Article 7.2 of the CVA delineates certain methods that are prohibited in the determination of customs 
value. Please indicate which provisions in Paraguay's legislation implement the requirements of 
Article 7.2. 
 
Reply 
 
Decree No. 13721/2001, Article 26.  
Annex II of DNA Resolution N o 40/2016 also provides  that the tax  base for imported goods must be 
determined  in accordance with the WTO Customs Valuation Agreement, its explanatory notes, the 
advisory opinions, comment aries and other texts issued by the Technical Committee on Customs 
Valuation of the World Customs Organization , and the customs legislation in force.  
 
Question  9(a) of the Checklist  of Issues   
 
Paraguay provided relevant excerpts o f its Customs Code, the Customs Code Regulation and Decree 
No. 13.721/2001 in G/VAL/Q/PRY/3. The Customs Code and the Customs Code Regulation appear 
to provide for an initial right of appeal regarding a determination of customs value, however there 
are no provisions provided that address a right of appeal to a judicial body. Art. 25 of Decree 
No. 13.721/2001 states that the importer shall have the rights to all administrative and judicial 
appeals provided for by customs legislation without stating further w hat the judicial appeals process 
would be or where the remedy can be found. Please specify which provision in Paraguay's legislation 
implements Article 11 of the CVA concerning the right to appeal a customs administration decision 
to a judicial body.  
 
Reply 
 
This is provided for in Law No. 2.422/04 , in the part referring to "Appeals to the Court of Auditors", 
and in Law No. 4.046/10 and Law No. 5.456/15.  
 
Question  9(b) of the Checklist  of Issues   
 
Paraguay provided DNA Resolution No. 40/2016, which sets forth the obligations of various 
governmental entities but does not provide any regulations setting forth procedures regarding how 
importers will be informed of their right to further appeal. Please specify which provision implements 
Article 11.3 of t he CVA according to which the appellant must be given notice of the decision on 
appeal and the reasons for the decision in writing. Is the appellant informed of any rights of further 
appeal?  
Reply 
 
They are informed pursuant to  Article 374 et seq. of Law N o. 2.2422/04 . 
 
Question  11(a)(iii) of the Checklist  of Issues  
 
Paraguay provided the Spanish language text for Decree 4672/2005 but did not indicate which 
provision of the decree allows an importer to withdraw goods while a final determination on customs G/VAL/Q/PRY/5  
 
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  value is pending. A search of the decree did not help identify such a provision. Article 13 of the CVA 
concerns the importer's ability to withdraw goods from customs so long as the importer provides 
sufficient guarantees in the form of a surety, deposit or  some other instrument, covering the ultimate 
payment of customs duties for which the goods may be liable. Please specify which provision of 
Paraguay's legislation implements Article 13.  
 
Reply 
 
It is implemented pursuant to Article 9 of DNA Resolution No.  441/2019, on the  early release  of 
goods, detailed customs declarations subject to possible differences in value, customs duties, and 
partial documentation or counter -assessments.  
 
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