Discount is stated in the invoice. Should the Free On Board (FOB) value be declared based on invoice value minus the discount?

Updated by CUSTOMS 1y ago

Discounts given by the exporter such as cash, quantity and trade discounts can be accepted and excluded for declaration of Free On Board (FOB) value.

Exporter should state the type of discount clearly in the invoice or provide a letter from the supplier to explain on the nature of discount given.

Note:

The ruling of whether to exclude discount value is the same as the importation of goods.

Topics:

Valuation, Duties, Taxes & Fees Establishing Customs Values for Imports

Related questions

What value should I declare for export? The invoice shows Free Carrier (FCA) incoterm.

Am I the exporter if my overseas customer is using an appointed forwarder to export my strategic goods?

Am I allowed to use pro-forma invoice to declare the value of goods for an export permit?

An invoice was issued to an overseas client. Goods were shipped to him via our local supplier. Who should be declared as the exporter in the permit?

Need more help?

Describe your issues to us.