Some thoughts on current important issues
Article from the newly released WCO News journal.
The Lithuanian Customs Practitioners Association (LCPA) is a very dynamic organization which publishes a journal called the Customs Compliance & Risk Management Journal for Practitioners. To stimulate the exchange of ideas between Journal contributors, the Association decided to create a writers’ group which met online for the first time on 18 August 2020. Customs specialists from various backgrounds shared their perspectives on the issues they perceived to be important in their respective countries or areas of work. This article highlights some of these issues and invites you to read the Journal to learn more about the writers’ views.
AD REM VERSUS AD VALOREM
Leonardo Macedo is a judge in the Administrative Tax-Customs Court in Brazil, as well as a former Customs officer, and is passionate about Customs valuation. Noting that tariff increases have lately been at the centre of international trade disputes, he highlighted the need to shift the focus on the negative effects of tariffs to the types of tariffs to be applied to each commodity (ad valorem, ad rem and composite). In his view, governments need to rethink the way they use tariff types.
Pointing out the fact that the importance of international trade instruments and standards has become even more obvious during the COVID-19 pandemic, he also stressed the need to harmonize penalties for Customs infringements in different jurisdictions, and to leverage technological progress, especially the opportunities offered by cloud computing which enables people to upload and share their digital resources, such as software, applications and files.