The recent Customs and Excise Commission of Enquiry raised concerns about valuation irregularities, with the Comptroller indicating that training officers was among the actions being taken. While training is necessary, is it sufficient to address a problem that directly affects the revenue of Trinidad and Tobago?
The Customs Act and its relevant schedules provide guidelines for determining transactional values. Yet questions arise when imported goods, including re-imports from China, are challenged on valuation, particularly when the importer cannot provide a supporting price list. Given China’s reputation for low-cost manufacturing and labour, the absence of a conventional price list should not automatically determine the value of the goods. Customs must apply the appropriate valuation rules and verify the evidence available.
Another concern is the authenticity of commercial invoices submitted with customs declarations. In this technological age, invoices can easily be created using Microsoft Excel or Word and made to look authentic. How can Customs be confident that the declared values are genuine?
I therefore propose that all commercial invoices, particularly those used for CARICOM trade, be signed by the actual supplier or seller, or an authorised representative of that company. Shipping agents should not be permitted to sign in place of the supplier or seller. The signatory’s name, position and company details should be recorded so that the person responsible can be identified and contacted if questions arise.
Customs should also strengthen verification procedures, using available technology to authenticate invoices and investigate suspicious valuations. Training officers is important, but effective controls, accountability and enforcement are equally essential.
Trinidad and Tobago cannot afford to lose legitimate tax revenue through undervaluation, false documentation or inadequate verification. At a time when the Government needs revenue to meet its obligations, every dollar lawfully due to the Treasury matters.
The question is simple: are we doing enough to ensure that the correct customs duties and taxes are collected?
The Comptroller and the relevant authorities must move beyond training alone and demonstrate that effective measures are in place to protect the public purse.
Gordon Laughlin,
Westmoorings
