{'fraction_non_alphanumeric': 0.03212435233160622, 'fraction_numerical': 0.0, 'mean_word_length': 6.0510948905109485, 'pattern_counts': {'":': 0, '<': 0, '<?xml version=': 0, '>': 0, 'https://': 0, 'lorem ipsum': 0, 'www.': 0, 'xml': 0}, 'pii_count': 0, 'substrings_counts': 0, 'word_list_counts': {'cursed_substrings.json': 1, 'profanity_word_list.json': 0, 'sexual_word_list.json': 0, 'zh_pornsignals.json': 0}}
Forging a Translation: The “Circumstances of Sale” Criterion, Transfer Pricing, and Economics

The article discusses common difficulties that multinational enterprises (MNE), importers, and customs authorities face when attempting to reconcile transfer prices with the arm’s length “circumstances of sale” (COS) criterion contained in theWorld Trade Organization’s (WTO) customs valuation agreement. The discussion highlights the differences and commonalities that the customs rules share with the Organisation for Economic Co-operation and Development’s (OECD) arm’s length principle often employed for income tax purposes. Utilizing theWTO and OECD models and the U.S. customs and tax laws as specific points of reference, the article offers an analysis of certain aspects of existing international customs “related party” rules and makes suggestions to enhance compliance through the adoption of practical and quantifiable economic and accounting-based analysis.