Plain meaning
A customs valuation method based on the resale price of imported goods in Canada, less permitted deductions.
Also called
deductive value
Key points
- The method generally starts from the price at which imported goods or similar goods are sold in Canada.
- Permitted deductions can include commissions, profit and general expenses, transport, duties, and taxes.
- It is normally used only after earlier valuation methods cannot be applied.
- The calculation is fact-specific and depends on records of Canadian resale transactions.
Why it comes up
The method can matter when transaction value is unavailable or unacceptable for customs purposes.