Royalties and licence fees are to be added to the transaction price paid or payable for the goods. Payment of royalties and licence fees by the buyer is a requirement for the sale of the goods either directly or indirectly, provided that the charges are not included in the transaction price.
Royalties and licence fees concern import goods especially when the rights transferred according to the licence or royalties are an inseparable element of the goods.
If the method of calculating royalties and licence payments is based on the price of import goods, their payment is regarded as being connected with the goods, unless otherwise proven. If royalties or licence fees partly involve import goods, and on the other hand partly involve ingredients or elements added to the goods after import, or services performed after import, the matter must be revised in the appropriate way.
When one of the following conditions is met, royalties and licence fees are regarded as having been paid in order for the goods to be sold: