Customs - Valuation of second hand machinery in Custom House, Tuticorin

Valuation of second hand machinery: require independent appraisal to determine assessable import value under customs valuation rules.

Imports of used second hand machinery are to be valued on transaction value when sale meets CVR requirements, but post-sale reconditioning and buyer-incurred costs must be included in assessable value and may preclude application of transaction value. Where transaction value and other CVR methods cannot be applied due to lack of comparable data, the proper officer may apply the Residual Method to account for condition, depreciation, refurbishment and related charges. Importations should ordinarily be accompanied by an overseas inspection/appraisement report by a Chartered Engineer or equivalent in the prescribed form; domestic notified agencies may prepare Form-B reports if needed.