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Memorandum D13-4-13
Post-Importation Payments or Fees "Subsequent Proceeds"
This memorandum provides information on the treatment of post-importation payments and management or administration fees referred to as “subsequent proceeds” in the calculation of the value for duty made under the transaction value method.
The memorandum also includes new references to sources of the Canada Border Services Agency (CBSA) information.
To obtain the full document in an alternative format, please send a request to: publishing.publications@cbsa-asfc.gc.ca
Full Document: PDF (149 Kb)
Last modified: 2009-07-08
Summary
This memorandum explains how payments made after goods are imported into Canada are treated within the transaction value provisions of the Customs Act, with particular emphasis on the types of post-importation payments generally called “subsequent proceeds.” As well, the treatment of management or administration fees is explored, as a type of “subsequent proceed”. Reference is provided to the memoranda that explain how other types of post-importation payments may be treated. Examples of various types of post-importation payments or fees and their treatment for valuation purposes by the Canada Border Services Agency (CBSA) are provided in Appendix A.
References
| Issuing office | Origin and Valuation Division |
| Headquarters file | HEG 79070-4-4 |
| Legislative references | Customs Act, sections 32, 45 and 48 |
| Other references | D11-6-6, D13-3-13, D13-4-3, D13-4-4, D13-4-7, D13-4-9 GATT Customs Valuation Code WTO Valuation Agreement OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations |
| Superseded memoranda D | N/A |
