Us Code § 1059A - Limitation on taxpayer's basis or inventory cost in property imported from related persons
Full text of Us Code United States Code § 1059A — Limitation on taxpayer's basis or inventory cost in property imported from related persons, with citation guidance and answers to common questions.
§ 1059A. Limitation on taxpayer's basis or inventory cost in property imported from related persons
(a) In general
If any property is imported into the United States in a transaction (directly or indirectly) between related persons (within the meaning of section 482), the amount of any costs—
(1) which are taken into account in computing the basis or inventory cost of such property by the purchaser, and
(2) which are also taken into account in computing the customs value of such property,
shall not, for purposes of computing such basis or inventory cost for purposes of this chapter, be greater than the amount of such costs taken into account in computing such customs value.
(b) Customs value; import
For purposes of this section—
(1) Customs value
The term "customs value" means the value taken into account for purposes of determining the amount of any customs duties or any other duties which may be imposed on the importation of any property.
(2) Import
Except as provided in regulations, the term "import" means the entering, or withdrawal from warehouse, for consumption.
(Added Pub. L. 99–514, title XII, §1248(a), Oct. 22, 1986, 100 Stat. 2584.)
Statutory Notes and Related Subsidiaries
Effective Date
Pub. L. 99–514, title XII, §1248(c), Oct. 22, 1986, 100 Stat. 2584, provided that: "The amendments made by this section [enacting this section] shall apply to transactions entered into after March 18, 1986."
About This Section
26 U.S.C. § 1059A is part of Title 26 of the United States Code. The United States Code is the official codification of federal statutes maintained by the Office of the Law Revision Counsel of the U.S. House of Representatives. Congress amends the Code through new public laws, which are eventually incorporated into the relevant title.
This section may be cited in legal writing as 26 U.S.C. § 1059A. For the most current official text, including any recent amendments, use the official source links below. Do not rely on this page as the sole authority for legal citation or litigation.
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