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Customs and VAT valuation of “free samples” provided under supply contract (Supreme Court decision)

The Supreme Court held (2018DU47714 (17 November 2022)) that goods provided as “free samples” were not actually supplied without cost, and the value of such goods for customs and value added tax (VAT) purposes must be computed based on the total price paid under the supply contract by the total amount provided under the contract (including the free samples).

Source: KPMG

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