COMMISSION RECOMMENDATION of 23 January 1970 on the organization of the central customs administration departments responsible for applying provisions on the valuation of goods for customs purposes (70/112/EEC)

I

The primary objective of Council Regulation (EEC) No 803/68 of 27 June 1968 on the valuation of goods for customs purposes is to ensure uniformity in valuation for customs purposes in the Member States, thereby avoiding deflections of trade, activities and customs receipts. The basic Regulation is also designed to ensure equal treatment of importers as regards the collection of customs duties.

If these objectives are to be attained the basic Regulation must be supplemented by a number of implementing provisions.

With a view to the introduction of a Community procedure which would allow for the adoption of these implementing provisions within a reasonable time limit and the organization of close cooperation between the Member States and the Commission, draft provisions laying down detailed rules for the application of the basic Regulation are referred for an opinion to the Customs Valuation Committee set up under that Regulation. The committee also examines matters relating to the practical application of the basic Regulation. This examination has revealed that there are substantial differences in the matter of valuation and that, because of these differences, the customs clearance of some goods has on occasion been switched from the Member State of destination to another Member State where the valuation is more advantageous.

The committee is now conducting a comparative study in certain practical cases of conditions governing the importation of particular goods into the different Member States. These include cases where the invoice price is not available or is questionable from the valuation point of view. The abject is to arrive at a common method of valuation in such cases.

A review of national practices in this field has shown that value for customs purposes is often determined on the basis of factors which are not comparable. One result is the application of appreciably different adjustments, leading to differences in agreed values for customs purposes and hence differences between the customs duty collected.

II

It is important that such situations be examined without delay and with full knowledge of the facts. Commission Regulation (EEC) No 375/69 of 27 February 1969 provides an effective means of obtaining the necessary information. Since 1 July 1969, the date on which that Regulation entered into force, the customs departments of Member States have been furnished with all particulars which may have a bearing on value for customs purposes. However, the information given by a person making a customs declaration can be put to effective use only if it is dealt with centrally by a specialized and adequately staffed department.

It is clear from the above that the valuation problems to be solved by national administrations have taken on a new dimension. For this reason the administrative departments responsible for valuation, which were able to cope in the past, now need to be reorganized to meet the demands imposed on them by the application of Community Regulations.

III

For these reasons, the Commission recommends the Member States, pursuant to Article 155 of the Treaty establishing the European Economic Community: - to ensure that the application by regional and local authorities of provisions on valuation for customs purposes laid down by law or administrative action is coordinated and supervised by central authorities;

- to distribute for use by regional and local authorities instructions aimed at promoting the uniform application of these provisions in the territory of the Member State, in accordance with Council Regulation (EEC) No 803/68 of 27 June 1968 on the valuation of goods for customs purposes, and the provisions adopted in implementation of that Regulation;

- to ensure that full details of the methods used to determine the value of goods for customs purposes, notably, in cases where an invoice price which could be used as a basis for valuation is not available or in need of adjustment, are constantly available.

Done at Brussels, 23 January 1970.

For the Commission

The President

Jean REY