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Singapore Customs

Transfer Pricing Adjustments on Imports

Learn how to handle transfer pricing adjustments for imported goods, including dutiable motor vehicles, documentary requirements and GST treatment.

Last updated 24 February 2026

What Transfer Pricing Means

Transfer pricing (TP) refers to how prices are determined for transactions between related parties.

These prices must follow the arm’s length principle, meaning they should reflect the price that independent parties would have been agreed under similar conditions.

For TP adjustments involving other dutiable goods (except for motor vehicles), non-dutiable goods, or GST treatment, refer to the IRAS e-Tax Guide on TP adjustments.

TP Adjustments for Dutiable Motor Vehicles

For TP relating to dutiable motor vehicles, companies must:

  1. Allocate TP adjustments (upward or downward) on a per-unit basis for each vehicle.

  2. Report the adjustments to Singapore Customs for verification before:

    • Declaring any short-payment permit(s) for underpaid excise duties, or

    • Submitting a refund claim for overpaid excise duties.

Documents Required for Customs Verification

Companies must submit the following:

  • TP Policy and Study

  • Explanation of how the adjustment results in an arm’s length value

  • Invoice(s) showing the TP adjustment amount

  • List of affected vehicles, including:

    • Make and model

    • Engine and chassis numbers

    • Corresponding permit number

    • Original customs value

    • TP adjustment amount

    • Final customs value

  • Any other supporting documents requested by Customs

You may submit these documents through the Singapore Customs Voluntary Disclosure Programme.

After TP Adjustments Are Accepted by Customs

Upward Adjustments

Upward adjustments mean that the vehicle value increases.

Companies shall:

Companies may wish to check with IRAS on whether the company satisfies IRAS’ conditions for input tax claim on GST.

Downward Adjustments

Downward adjustments mean that the vehicle value decreases.

Companies may:

  • Apply for a refund of duties and GST

  • Check with Check with on how to treat the GST overpaid in the GST return

  • Check with LTA on how to claim a refund for overpaid ARF