Method 1 (transaction value): successive sales
Former EU legislation relating to customs valuation contained provisions for circumstances where the imported goods had been the subject of a chain of sales prior to entry to free circulation. The rules covering successive sales were set out in Article 147 of the CCIP as amended by Regulation (EC) No 1762/95, Article 1.2.
From 1 May 2016 the earlier sales provision was withdrawn from use. However, under a transitional arrangement (Article 347 UCC IA) where an earlier sale had taken place, involving the imported goods, the earlier sale could still be used as a basis for the customs value until 31 December 2017. The use of the transitional arrangement was restricted to contracts concluded prior to 18 January 2016.
Article 128(1) UCC IA now establishes the principle that the relevant sale, for the application of the transaction value method, is the sale occurring immediately before the introduction of the goods into the EU customs territory, on condition that such sale actually constitutes a “sale for export” to the customs territory of the EU.