WORLD TRADE
ORGANIZATIONG/VAL/N/2/MDA/1
1 February 2002
(02-0505)
Committee on Customs Valuation Original:  English
INFORMATION ON IMPLEMENTATION AND ADMINISTRATION OF THE
AGREEMENT ON CUSTOMS VALUATION
Checklist of Issues
MOLDOVA
The following communication, dated 17 January 2002, has been received from the Permanent
Mission of Moldova.
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In accordance with the Decision of the Committee on Customs Valuation of 12 May 1995, I
have the honour to notify the Committee on Customs Valuation of the responses of the Republic of
Moldova to the Checklist of Issues concerning the application of the provisions of the Agreement onImplementation of Article VII of the General Agreement on Tariffs and Trade 1994.G/VAL/N/2/MDA/1
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1. Questions concerning Article 1:
(a) Sales between related persons:
(i) Are sales between related persons subject to special provisions?
Yes, sales between related persons are subject to the provisions of Article 11, paragraph (5)
(a), (b), (c), (d) of the Law of the Republic of Moldova on Customs Tariff, No. 1380- XII ofNovember 20, 1997 amended by the Law No. 1319-XIV of October 27, 2000.
According to Article 11 paragraph (5):(a) in determining whether the value of a transaction is acceptable for the purposes of
Section (4), the fact of relation between the buyer and the seller in the sense of
Section (6) shall not in itself be grounds for regarding the transaction value asunacceptable. In such case the conditions of sale shall be examined and the
transaction value shall be accepted provided that the mentioned relationship did not
influence the price. If, in the light of information provided by the Declarant or
otherwise, the customs authority has the gr ounds for considering that the relationship
influenced the price, it shall communicate its grounds to the Declarant (in writing ifrequested by the Declarant) and give him the opportunity to justify the value of a
transaction.  
(b) In a sale between related persons, the value of a transaction shall be accepted and the
goods valued according to the provisions of Section 4 provided the Declarant provesthat such value closely approximates to one of the following occurring at or about the
same time:
- the transaction value in sales to unrelated buyers of identical or similar goods
from the same country of export;
- the customs value of identical or similar goods as determined under
provisions of Article 15;
- the customs value of identical or similar goods as determined under
provisions of Article 16;
(c) In applying the above mentioned criteria the difference in commercial levels,
quantitative levels and components enumerated in the present Article shall be takeninto account, as well as costs 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.
(d) Criteria specified in subparagraph (b) shall be applied at the initiative of the Declarant
and only for comparison purposes.
(ii) Is the fact of intercompany prices prima facie considered as grounds for regarding the
respective prices as being influenced?
The presumptions contained in the Law of the Republic of Moldova on Customs Tariff,
No. 1380- XII of November 20, 1997 with respect to the relationship between the buyer and
the seller found under Article 11 (6) and (7) are grounds for deeming the parties to be related.
Article 11 (6) provides that for the purposes of the present Law, persons shall be deemed to
be related if:G/VAL/N/2/MDA/1
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- one of them is the member of a board of  directors or the member of a supervisory
board of one another’s businesses;
- they are legally recognised partners in business;
- they are employer and employee;
- one of them directly or indirectly owns, controls or holds 5 per cent or more of the
outstanding voting stock of shares of both of them;
- one of them directly or indirectly controls the other;
- both of them are directly or indirectly controlled by a third person;
- together they directly or indirectly control the third person;
- they are members of the same family.
Article 11 (7) provides that persons who are associated in business with one another in that
one is the sole agent, sole distributor or sole concessionaire, however described, of the other
shall be deemed to be related for the purposes  of the present Law if they fall within the
criteria of Section (6).
(iii) What is the provision for giving the communi cation of the afore - mentioned grounds in
writing if the importer so requests (Article 1.2 (a))?
This provision is determined by Article 11, paragraph (5) (a). According to Article 11, (5) (a)
in determining whether the value of a transaction is acceptable for the purposes of Section (4),
the fact of relation between the buyer and the seller in the sense of Section (6) shall not in
itself be grounds for regarding the transaction value as unacceptable. In such case theconditions of sale shall be examined and the transaction value shall be accepted provided that
the mentioned relationship did not influence the price. If, in the light of information provided
by the Declarant or otherwise, the customs au thority has the grounds for considering that the
relationship influenced the price, it shall communicate its grounds to the Declarant (in writing
if requested by the Declarant) and give him the opportunity to justify the value of atransaction.
(iv) How has Article 1.2 (b) been implemented?
Article 1.2 (b) of the Agreement is implemented by Article 11 (5) (b) of the  Law of the
Republic of Moldova on Customs Tariff , No. 1380 –XII of November 20, 1997 .
According to the provisions of Article 11 (5) (b) of the above Law in a sale between related
persons, the value of a transaction shall be accepted and the goods valued according to the
provisions of Section 4 provided the Declarant proves that such value closely approximates to
one of the following occurring at or about the same time:
- the transaction value in sales to unrelated buyers of identical or similar goods from
the same country of export;
- the customs value of identical or similar goods as determined under provisions of
Article 15;
- the customs value of identical or similar goods as determined under provisions of
Article 16;
(b) Price of lost or damaged goods:
Are there any special provisions or practical arrangements concerning the valuation of lost or
damaged goods?G/VAL/N/2/MDA/1
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There are no express special provisions or practical arrangements concerning the valuation of
lost or damaged goods.
2. How has the provisions of Article 4 to allow the importer an option to reverse the order
of application of Article 5 and 6 been implemented?
Provisions of Article 4 concerning the option given to importer to reverse the order of
application of Article 5 and 6 are implemented by Article 10 (2) of the Law on the Republic of
Moldova on Customs Tariff, No. 1380 –XII of November 20, 1997.
Article 10 (2) of the above Law provides that the main of all methods specified in Section (1)
is the method of customs value determination based on the value of a transaction where this particular
goods are the subject. Where the main method may not be used other methods shall be applied. For allthat each subsequent method shall be used where the customs value of goods may not be determined
by the previous method. The methods specified in subsections (d) and (e) may be used in any
sequence on request of the Declarant.
3. How has Article 5.2 been implemented?
Article 5.2 of the Agreement has been implemented by the provisions of Article 15 (1) of the
Law of the Republic of Moldova on Custom s Tariff, No. 1380 – XII of November 20, 1997.
Article 15 (3) provides that if neither the imported goods (being valued) nor identical nor
similar imported goods are sold in the condition as imported, then, if the Declarant so requests, the
customs value shall be based on the unit price at which these goods, after further processing, are sold in
the greatest aggregate quantity to persons who are not related to the seller, due amendments being made
for the value added by such processing and the deductions provided for in Section (1).
4. How has Article 6.2 been implemented?
Article 6.2 of the Agreement is implemented by Article 16 (2) of the Law of the Republic of
Moldova on Customs Tariff, No. 1380- XII of November 20, 1997.
Article 16 (2) of the above Law provides that the customs authority may not require or
compel any non-resident person to provide for examination, or to allow the access to, any accounting
documents for the purposes of determining the com puted value. However, the information supplied by
the producer of the goods for the purposes of determining the customs value under the provisions ofthis Article may be verified by the customs author ity in another country with the agreement of the
producer and provided the customs authority gives a written advance notice to the government of the
given country and the latter does not object to the investigation.”
5. Questions concerning Article 7:
(a) What provisions have been made for making value determinations pursuant to Article 7?
The provisions of Article 7 of the Agreement are implemented by the Article 17 (1) of the
Law of the Republic of Moldova on Custom s Tariff, No. 1380 – XII of November 20, 1997.
Article 17 (1) of the above Law provides that in cases where the customs value of goods
cannot be determined by the Declarant in a consecutive application of the methods provided
under Articles 11, 12, 13, 14, 15 and 16, or where the customs authority have the grounds to
consider these method as not applicable, the customs value of goods shall be determined
using the reserve methods and reasonable means consistent with the provisions of the presentG/VAL/N/2/MDA/1
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Law and common principles of international agreements to which the Republic of Moldova is
a party and on the grounds of available data.
(b) What is the provision for informing the impor ter of the customs value determined under
Article 7?
According to Article 17 (2) of the above Law of the Republic of Moldova on Customs Tariff
if the Declarant so requests, the Declarant shall be informed in writing of the customs value of
goods determined under the provisions of this Article and the method used to determine such
value.
(c) Are the prohibitions found in Article 7.2 delineated?
The prohibitions found in Article 7.2 of the Agreement are included in Article 17 (3) of the
Law of the Republic of Moldova on Customs Tariff.
Article 17 (3) of the above Law provides that no customs value shall be determined using the
reserve method on the basis of:
(a) the selling price of goods on the domestic market of the Republic of Moldova;
(b) the price of goods on the domestic market of the country of exportation;
(c) arbitrary or fictitious price of goods;
(d) a system that provides for the acceptance for customs purposes of the higher of two
alternative values of goods;
(e) the production cost of goods, other than computed values determined for identical or
similar goods in accordance with subsection (a) of Article.16;
(f) the price of the goods for export to a country other than the country of importation;
(g) minimum customs value of goods.
6. How have the options found in Article 8.2 been handled? In the case of f.o.b.
applications, are ex-factory prices also accepted ?
These provisions are subject to Article 11 (1) (a) of the Law of the Republic of Moldova on
Customs Tariff.
Article 11 (1) (a) provides that where the customs value of goods is determined based on the
value of a transaction where this particular goods are the subject or at the price actually paid or bepayable, the following components shall be included into the value of a transaction (in case they have
not been previously included into the value of goods):
costs of delivery to the airport or other point of entry of goods into the customs territory:
- insurance costs;- transportation costs;
- costs of loading, unloading and transhipment of goods;
7. Where is the rate of exchange published, as required by Article 9.1?
The rate of exchange in the Republic of Moldova is established and published by the National
Bank of Moldova. Information on the official rate of exchange can be found on the Web page of the
National Bank of Moldova at: http://www.bnm.md . According to Article 6.1.7 of the Foreign
Exchange Regulations of the Republic of Mo ldova (National Bank of Moldova, No.2 of
January 13, 1994) the National Bank of Moldova shall publish the rate of exchange of the Moldovan
Lei upon foreign currencies. The exchange rate of Moldovan Leu against US Dollar shall be set up atG/VAL/N/2/MDA/1
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the fixing sessions of the Inter Bank Foreign Currency Exchange or following other methods set by
the National Bank of Moldova.
The rate of exchange of Moldovan Leu upon other foreign currencies shall be determined by
way of the cross exchange rate with respect to the US Dollar, quoted at the international foreignexchange market (data of the informational system Reuters) at 12: 30 a.m. of the corresponding day.
The exchange rate of the Moldovan Leu upon soft currencies shall be determined on the basis of
average exchange rates at the foreign exchange market of the corresponding day.
According to national legislation where factors used to determine the value for customs
purposes of goods are expressed in a currency other that of the Republic of Moldova where the
valuation is made, the rate of exchange to be used shall be that duly established and published by theNational Bank of Moldova.
8. What steps have been taken to ensure confidentiality, as required by Article 10?
Provisions of Article 10 of the Agreement are included in Article 8 (4) of the Law of the
Republic of Moldova on Customs Tariff.
Article 8 (4) of the above Law provides that the customs authority shall have the right to use
the information provided by the Declarant when stating the customs value of goods and classified as
commercial secret, exclusively for customs purposes, and shall not be entitled to pass it to third
persons, except for the cases provided for by th e legislation. The customs authority shall incur a
liability for unauthorised disclosure of commercially classified information as it is provided for by the
legislation.
9. Questions concerning Article 11:
(a) What rights of appeal are open to the importer or any other person?
According to Article 7 (4) of the Law of the Republic of Moldova on Customs Tariff where
the Declarant disagrees with the decision of th e customs authority referring the customs value
of goods, he may appeal the decision either to the customs authority or to court in order
established by the legislation.”
Article 286 of the Customs Code provides the right to appeal against illegal decisions and
actions of the customs authorities and their officials, namely:
Any person has the right to appeal against illegal decisions (including statutory acts) and
actions of the customs authorities or their official s, if they consider that their legal rights and
interests are hurt.
Article 287 of the Customs Code provides ways of appealing against illegal decisions and
actions of the customs authorities and their officials.
Appeal against illegal decisions and actions of the customs authorities and their officials shall
be done consecutively in two ways: administrative and jurisdictional.
(b) How is he to be informed of his right to further appeal?
According to Article 8 (5), (6) of the Law of the Republic of Moldova on Customs Tariff and
Article 289 of the Customs Code the importer is informed of his right of appeal at his request.G/VAL/N/2/MDA/1
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Article 8 (5) of the above Law provides that where the customs value of goods stated by the
Declarant is declared unacceptable by the decision of the customs official, the customs
authority, upon the request of the Declarant, shall give a written notification stating the
reasons of non-acceptance of the specified value, reserving the right of the Declarant to lodge
an appeal against the decision, free of penalty payment by the Declarant or by other personresponsible for payment of taxes and customs duties.
According to Article 8 (6) after the final decision of non- acceptance of the customs value of
goods stated by the Declarant is taken, the customs authority, upon the written request of the
Declarant, shall give a written notification explaining the reasons why the stated customs
value cannot be accepted as a basis for customs duty calculation.
Article 289 of the Customs Code provides the terms of administrative ways of appeals,
namely:
(1) Decisions, actions or inactivity of the customs authorities and their officials can be
appealed within 10 days of the date the decision was passed or the actions were taken.
(2) If the decision of the customs authorities or their officials was not brought to the
attention of the petitioner, he can appeal against within 6 months of the day the
decision was passed.
(3) Illegal actions of the customs authorities or their officials can be appealed within
three month period upon the expiration date of appeal’s settlement.
Article 296 of the Customs Code provides that:(1) Decisions of the customs authorities  or their officials with respect to appeals shall be
issued in written form upon the request of the petitioner. The petitioner shall beinformed of the adopted decisions.
(2) Decisions of the customs authorities  or their officials with respect to appeals which
are of general interest shall be published.
10. Provide information on the publication, as required by Article 12 of:
(a)
(i) the relevant national laws;
All laws, regulations related to the implemen tation of Article VII of the Agreement are
published in Official Gazette (Monitorul Oficial) of the Republic of Moldova. They are also
available upon the request from the Customs De partment, WTO Division of the Ministry of
Economy.
(ii) the regulations concerning the application of the Agreement;
Provisions of the Agreement on Implementation of Article VII of the General Agreement on
Tariffs and Trade 1994 are applied into practice by the Law of the Republic of Moldova on
Customs Tariff, No.1380-XII of November 20, 1997, Customs Code of the Republic of
Moldova, No. 1149-XIV of July 20, 2000 available upon the request from the Customs
Department, WTO Division of the Ministry of Economy.G/VAL/N/2/MDA/1
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(iii) the judicial decision and administrative rulings of general application relating to the
Agreement;
Taking into consideration that our country has a civil law system, the judicial decisions and
administrative rulings of general application relating to the Agreement are not published.
According to Article 117 of the Constitution of the Republic of Moldova legal hearings in all
Courts of Law are public. Cases may be heard behind closed doors only as stipulated by law
in conformity with all established legal procedures.
Article 10 of the Law of the Republic of Mo ldova on judicial organisation, No. 514-XIII of
July 19, 1995 all legal hearings are public. All legal decisions of the Courts are public.
According to Article 2 paragraph (e) of the Law of the Republic of Moldova, No. 789-XIII of
March 26 the Supreme Court of Justice shall summarise the judicial practice, shall analyse the
judicial statistics and shall give explanations ex officio on the issues related to judicial
practice which is not related to the interpretation of laws and have no compulsory character
for the judges. In conformity with Article 16, paragraph (d) of the above Law the Plenary ofthe Supreme Court of Justice shall examine the results of the summaries of the legal practice
and shall adopt decisions with interpretative character.
Some judicial decisions of the Supreme Court of Justice are published in the Official Bulletin
of the Supreme Court of Justice, and those of Economical Court are published in the OfficialBulletin of Economical Court.
According to Article 26, of the Law of the Republic of Moldova on Constitutional Court,
No. 317 –XIII of December 13, 1994 the legal decisions and decrees are adopted in the name
of the Republic of Moldova. After the adoption, the acts of the Constitutional Courts arepronounced in Plenary meetings. In compliance with the provisions of the above Article all
legal decisions and decrees of the Constitutional Court are published in the Official Gazette
(Monitorul Oficial) of the Republic of Moldova within 10 days from the date of the adoption.
(iv) general or specific laws being referred to in the rules of implementation or application.
Provisions of the Agreement on Implementation of Article VII of GATT 1994 are
implemented by the Law of the Republic of Moldova on Customs Tariff, No. 1380-XII ofNovember 20, 1997, Customs Code of the Republic of Moldova, No. 1149-XIV of
July 20, 2000.?
(b) Is the publication of further rules anticipated? Which topics would they cover?
Regulation on Rules and Terms of Customs Valuation of Goods in the Republic of Moldova
is under the elaboration with the Customs Department. The above Rules will be published in
the Official Gazette of the Republic of Moldova upon the date of its approval. The said
Regulation will cover all the issues related to customs valuation of goods.G/VAL/N/2/MDA/1
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11. Questing concerning Article 13:
(a) how is the obligation of Article 13 (last sentence) being dealt with in the respective
legislation?
Obligation of the last sentence of Article 13 of the Agreement is implemented by Article 7 (3)
of the Law of the Republic of Moldova on Customs Tariff, No. 1380-XII ofNovember 20, 1997.
Article 7 (3) of the above Law provides that where the stated customs value of goods needs
more accurate determination, the Declarant shall have the right to request the customs
authority to release the declared goods against a pledge of property or bank guarantee or to
pay the customs duty established by the customs authority.
(b) Have additional explanations been laid down?
There are no additional explanations laid down for the said provision.
12. Questions concerning Article 16:
(a) Does the respective national legislation contain a provision requiring customs authorities to
give an explanation in writing as to how the customs value was determined?
Upon written request, the Declarant has the right to an explanation in writing from the
Customs authority of the Republic of Moldova as how the customs value of the importer’s
goods were determined. These provisions are subject to Article 17 (2) of the Law of the
Republic of Moldova on Customs Tariff, No. 1380-XII of November 20, 1997, namely:
If the Declarant so requests, the Declarant sha ll be informed in writing of the customs value of
goods determined under the provisions of this Article and the method used to determine such
value.
At the same time, Article 8 (6) of the above Law provides that after the final decision of non-
acceptance of the customs value of goods stated by the Declarant is taken, the customs
authority, upon the written request of the Declarant, shall give a written notification
explaining the reasons why the stated customs value cannot be accepted as a basis for customs
duty calculation.
(b) Are there any further regulations concerning an above-mentioned request?
There are no other regulation concerning the above- mentioned request. Additional provisions
related to this matter will be included in the Regulation on Rules and Terms of Customs
Valuation of Goods in the Republic of Moldova which is under the elaboration with the
Customs Department.
13. How have the Interpretative Note s of the Agreement been included?
The Interpretative Notes of the Agreement on Implementation of Article VII of GATT 1994
were included as an Annex to the Law of the Republic of Moldova on Customs Tariff, No. 1380-XII
of November 20, 1997.G/VAL/N/2/MDA/1
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14. How have the provisions of the Decision on  the Treatment of Interest Charges in the
Customs Value of Imported Goods been implemented?
Provisions of the Decision on the Treatment of Interest Charges in the Customs Value of
Imported Goods are implemented by the Interpretative Notes to the Law No. 1319 -XIV of the
Republic of Moldova on Amending the Law on Cu stoms Tariff, No. 1380-XII of November 20, 1997.
According to the Interpretative Notes of the above Law to Article 11 (5) (1) charges for interest under
a financing arrangement 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 procedure shall apply regardless of whether the finance is
provided by the seller, a bank or another natural or legal person. It shall also apply, if
appropriate, where goods are valued under a method other than the transaction value.
15. For those countries applying paragraph 2 of the Decision on the Valuation of Carrier
Media Bearing Software for Data Processing Equipment, how have the provisions of this
paragraph been implemented?
Provisions of paragraph 2 of the Decision on the Valuation of Carrier Media Bearing
Software for Data Processing Equipment are implemented by the Interpretative Notes to the Law
No. 1319 –XIV of the Republic of Moldova on Am ending the Law on Customs Tariff, No. 1380-XII
of November 20, 1997. According to the Interpretative Notes of the above Law to Article 11 (5) (2) in
determining the customs value of imported carrier media bearing data or instructions, only the cost or
value of the carrier medium itself shall be taken into account. The customs value shall not, therefore,include the cost or value of the data or instructions, provided that this is distinguished from the cost or
the value of the carrier medium.
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 instructions” shall not be taken to include sound, cinematic or video recordings.
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