What deductions are allowed from the transaction value

Discounts mention on invoice
Packing Charges mention on invoice
Any amount paid by customer on behalf of the supplier
Freight charges mention on invoice

The correct answer is: A, B, C, and D.

According to the WTO’s Agreement on Customs Valuation, the following deductions are allowed from the transaction value:

  • Discounts actually allowed (e.g., trade discounts, quantity discounts, and cash discounts)
  • Packing charges
  • Any amount paid by the buyer on behalf of the seller, such as customs duties, taxes, and insurance
  • Freight charges

It is important to note that these deductions are only allowed if they are clearly shown on the invoice or other commercial documents.