1) I was told to ship with no coma, what does that mean?

When shipping free goods to overseas, the shipping invoice should include the following informationno frameYou may be instructed to state that

No frame? Some kind of commercial?

No, no, no, no, no, no, no, no, no, no, no, no, no, no, no, no.NO COMMERCIAL VALUE(items with no commercial value).

Shipping with NO COMMERCIAL VALUE means that the invoice, which is the shipping document, should say NO COMMERCIAL VALUE.

It is a writing style, but politeNO COMMERCIAL VALUE FOR CUSTOMS PURPOSES ONLYbut you can also use the acronymN.C.V.Some people assume that the

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(2) Can I write the invoice price as 0 yen because it is a free item?

Free goods are goods for which the recipient does not pay for the export.

Typical examples are samples for market research and evaluation, replacements for defective products, and items transferred to individuals.

I think it is acceptable to write "zero yen (JPY0.-)" on the invoice (INVOICE), which is a shipping document, since it is given to the other party without charge (free of charge).Wrong as a customs clearance documentIt is.

Actually, customs offices in most countries, not just Japan, havevalue of a thingThe tariffs are levied against the

However, just because the selling price is zero yen does not mean that the value of the object is also zero yen.

As an example, consider a failed electronic component.

Electronic components that cannot be used are not for sale. Therefore, their market value is zero.

However, as a material, it has some value if the silver or copper contained in its electronic components.
Also, electronic components that are no longer manufactured, such as vacuum tubes, may have value as antiques.

As long as it is a thing, even if it is a scrap, it has some value.

Note that if the invoice shows zero yen (0 yen), the shipment will be stopped by customs.

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(iii) Can I decide the price of free goods at random?

Sometimes people think, "Since it's a no-coma, I can just write a lower price for the product on the invoice." Some people think, "I'm a no-commissioner, so I can just write a lower product price on the invoice.

But to knowingly declare a product of obvious value at a lower price isIllegal whether the goods are paid for or free of chargeIt is.

Some of you might say that you've always sent free items with a suitably low price on them, but nothing ever went wrong.
It is.I just happened to be lucky enough to get through customs.It is.

If the amount is too low for customs inspection, theBasis of Calculationmay be required.

If the true value of the free product is not known, then the past sales results, the market sales price of the same or similar type of product, and the cost of raw materials, plus profit margins, should be listed.

Incidentally, in Japan, the method of pricing products for which the transaction value is not known is specified in Article 4-2 and Article 4-3, paragraphs 1 and 2 of the Customs Tariff Law.
The original text of the law as promulgated on March 31, 2008 (Act No. 8 of 1955), as amended, is included at the end of this article, but if you are not good at legal writing, please refer to the[How to calculate the taxable value] on the Customs websiteWe recommend that you look at the

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(4) Why do you put NO COMMERCIAL VALUE on the invoice?

Finally, a question that seems answerable but is surprisingly difficult to answer.

In the first place, why do we put NO COMMERCIAL VALUE on the invoice when we send free goods?

Customs needs them."
NO "If you make it COMMERCIAL VALUE, you will get preferential or duty-free tariffs."
If you answered "yes," you are wrong.

Customs does not look for the words NO COMMERCIAL VALUE on the invoice when determining duty.

Again, customs duties are levied on the value of the goods.
It doesn't matter if it is paid or free.

So why did they start writing NO COMMERCIAL VALUE?

There are three possible reasons.

To clearly indicate to the recipient of the shipment that the goods have been sent free of charge and no remittance is required.

In the event of an after-the-fact investigation by customs, it is important that the goods are found to be free of charge with no contract attached.

The customs duty of free goods is exempted or preferentially treated by some overseas customs offices.

Please use this as a reference when sending free items in the future.

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note (supplementary information) symbolArticle 4-2, Article 4-3, paragraphs 1 and 2 of the Customs Tariff Law
Article 4-2 (Principle of Determination of Taxable Value)
(2) Where the taxable value of imported goods cannot be calculated pursuant to the provision of paragraph (1) of the preceding Article or where the provision of the main clause of paragraph (2) of the said Article applies, if the imported goods are the same kind or similar goods (limited to goods which were exported to Japan on or near the date of export of the said imported goods to Japan and were produced in the country of production of the said imported goods) (limited to those which were exported to Japan on or near the date of export of said imported goods to Japan and were produced in the country of origin of said imported goods). Hereinafter referred to as "like kind or similar goods" in this Article) (2) The transaction value (limited to the value taxed pursuant to the provision of paragraph (1) of the preceding Article; hereinafter the same shall apply in this Article) of the imported goods (limited to the value taxed pursuant to the provision of paragraph (1) of the preceding Article) The same shall apply hereinafter in this Article).The transaction price for the same or similar cargo (if both of these transaction prices exist, the transaction price for the same type of cargo) shall be the transaction price for the same or similar cargo.
In this case, the transaction price pertaining to the same or similar goods shall be the same as the transaction price for the same or similar goods imported at the same transaction stage and in substantially the same transaction volume as that of said imported goods (hereinafter in this Article referred to as "same or similar goods at the same transaction stage and in the same transaction volume (hereinafter in this Article referred to as "same or similar goods at the same transaction stage and in the same transaction quantity"). When there is a considerable difference in freight charges, etc. to the port of import due to the difference in transportation distance or mode of transportation between said imported goods and the same or similar goods of the same trading level and the same trading volume, the transaction price shall be the transaction price after making necessary adjustments, pursuant to the provisions of Cabinet Order, for the price difference caused by such difference. The transaction price shall be the transaction price after making the necessary adjustment for the price difference caused by such difference, pursuant to the provisions of the Cabinet Order.
(2) In the case where there is no transaction price pertaining to the same or similar goods at the same transaction stage and in the same transaction volume prescribed in the preceding paragraph, the transaction price pertaining to the same or similar goods prescribed in the same paragraph shall be the transaction price pertaining to the same or similar goods after making necessary adjustments, pursuant to the provisions of Cabinet Order, with regard to the price difference between the imported goods and the said same or similar goods due to differences in the transaction stage or transaction volume and differences in freight charges to the port of import. In this case, the transaction price pertaining to the same or similar goods prescribed in the same paragraph shall be the transaction price pertaining to the same or similar goods after making necessary adjustments, pursuant to the provisions of Cabinet Order, with regard to the price difference between the said imported goods and the said same or similar goods due to the difference in the transaction stage or transaction volume and the difference in freight charges, etc. to the import port.
Article 4-3 (Determination of Taxable Value Based on Domestic Selling Price or Manufacturing Cost) Where the taxable value of imported goods cannot be calculated pursuant to the provisions of the preceding two Articles, in the case where the domestic selling price of such imported goods (which has been taken over with the approval of the Directors-General of Custom-Houses pursuant to the provisions of Article 73(1) of the Customs Act (Taking Over of Goods Before Permission for Import) (iii) In the case where the taxable value of such imported goods cannot be calculated pursuant to the provisions of Article 2 of the Customs Tariff Act(Including domestic sales price. The same shall apply hereinafter in this paragraph) (i) Goods of the same kind or similar to said imported goods (limited to those produced in the country of production of said imported goods; hereinafter the same shall apply in this paragraph) or goods of the same kind or similar to said imported goods The same shall apply hereinafter in this paragraph). (i) When there is a domestic sales price for the imported goods (including the domestic sales price of the imported goods; hereinafter the same shall apply in this paragraph), the taxable value of said imported goods shall be the price specified in the following items for the category of domestic sales price listed in each of the following itemsHowever, the application of the provision of item (ii) shall be limited to cases where the provision of item (i) is not applicable and the person who intends to import said import goods has requested the application of the provision of item (ii) to the Directors-General of Custom-Houses.
1. at the time of filing the import declaration (in the case of goods listed in each item of Article 4(1) of the Customs Tariff Act (Time of Determination of Taxable Instruments), the time specified in the relevant item. (In the case of goods listed in each item of Article 4(1) of the Customs Tariff Act (Time of Determination of Taxable Instruments), the time specified in the relevant item. (i) Domestic sales price of said imported goods or goods of the same kind or similar goods sold in Japan to a buyer who has no special relationship with the seller in Japan within the period on or near the date of the time of determination of taxable articles of said imported goods, according to the nature and shape of said imported goods as of the time of determination of taxable articles (hereinafter referred to as the "time of determination of taxable articles" in this item and the next item) The price obtained by deducting the amount of the following commissions, etc. from the domestic sales price
(a) Goods of the same kind as said imported goods (meaning goods belonging to the same category of goods as said imported goods, which are produced in the same industrial sector. The same shall apply in the following paragraph) (b) Ordinary commissions or profits and general expenses (excluding expenses listed in (b)) pertaining to the sale in Japan of imported goods of the same kind as said imported goods (meaning goods belonging to the same category of goods as said imported goods that are produced in the same industrial sector)
(b) Ordinary freight charges, insurance premiums and other expenses related to the transportation of the imported goods sold in said country or goods of the same or similar kind from the arrival at the port of import to the sale in Japan
(c) Customs duties and other public charges imposed in Japan on imported goods sold in said country or goods of the same or similar kind
(ii) The domestic sales price of the said imported goods sold in Japan to a buyer who has no special relationship with the seller in Japan, after processing after the date when the taxable commodity is determined The price obtained by deducting from the said domestic sales price the value added by the said processing and the amount of fees, etc. listed in (a) to (c) of the preceding item The price obtained by deducting from the domestic sales price the value added by the said processing and the amount of fees, etc. listed in (a) to (c) above
(2) Where the taxable value of said imported goods cannot be calculated pursuant to the preceding paragraph, if the production cost of said imported goods can be ascertained (limited to cases where said imported goods are to arrive in Japan based on transactions pertaining to said imported goods between a person who intends to import said imported goods and a producer of said imported goods) (limited to cases where said import goods will arrive in Japan based on transactions pertaining to said import goods between the person who intends to import said import goods and the producer of said import goods. The same shall apply in the following paragraph) (limited to cases where said imported goods arrive in Japan based on transactions pertaining to said imported goods between a person who intends to import said imported goods and a producer of said imported goods)The price shall be the cost of production of the imported goods plus the normal profit and general expenses related to the sale for export to Japan of goods of the same kind as said imported goods produced in the country of origin of said imported goods, and the amount of freight, etc. to the port of import of said imported goods.
(3) Where the production cost of such imported goods can be ascertained, if the person who intends to import such imported goods requests the Director-General of Custom-Houses to do so, the taxable value of such imported goods shall be calculated pursuant to the preceding paragraph prior to the provision of paragraph (1).
(Determination of the taxable value of special imported goods)
*Taken from the e-Gov website

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