   
  
G/VAL/W/378  
 
25 May 2021  
(21-4309) Page: 1/1 
Committee on Customs Valuation  Original: English  
 
 
NOTIFICATION UNDER ARTICLE  22 OF THE AGREEMENT  ON IMPLEMENTATION  
OF ARTICLE VII OF THE GENERAL AGREEMENT  ON TARIFFS AND TRADE  1994  
UNITED KINGDOM  
Questions from the European Union  to the United Kingdom  
regarding document G/VAL/ N/1/GBR/1 and G/VAL/N/2/GBR/1  
The following communication, dated 21 May 2021, is being circulated at the request of the delegation 
of the European Union . 
 
_______________  
 
 
Regulation 118 of the Customs (Import Duty) (EU Exit) Regulations 2018 (G/VAL/N/1/GBR/1) 
references “a notice published by HMRC as operations constituting usual forms of handling of goods” 
and “sub -paragraph (b) of paragraph 11 of Schedule 2 to the Act”. Could the United Kingdom please 
provide a link or otherwise indicate whe re such legal instruments are available?  
 
Regulation 108 of the Customs (Import Duty) (EU Exit) Regulations 2018 (G/VAL/N/1/GBR/1) 
provides that “HMRC may presume that where the buyer and seller of chargeable goods are related 
persons, in the application o f Method 1 valuation, the transaction value of the goods is not the full 
value unless HMRC are satisfied to the contrary”. Could the United Kingdom please indicate if there 
are any legal provision s or guidance that detail the methodology used by HMRC to as sess the 
transaction value between related parties? If not, could the United Kingdom please describe its 
methodology?  
 
Question of the European Union on the United Kingdom’s Checklist of Issues  
 
The United Kingdom’s response to question 5(b) of the Checklist  of Issues  (G/VAL/N/2/GBR/1) 
provides the following: “Upon request in the UK, an importer or exporter has the right to ask for an 
explanation in writing of how the customs value of imported or exported goods was determined. 
This can be done by ask ing for a review or appeal”. In turn, the United Kingdom’s response to 
question 12(a) of the Checklist  of Issues  provides the following: “National legislation provides for 
the notification of import liability. We may not enforce a liability to import duty until the person liable 
has been notified. Our explanation on how we consider the liability arose is included in that 
notification. Importers are given the right to a review or appeal within that notification”. Could the 
United Kingdom please indicate whet her importers can obtain an explanation in writing of how the 
customs value of the importer’s goods was determined prior to a review or appeal?  
 
__________  