Kárdex sugerida

1. Assessment and collection of revenues from imported articles and all other impositions under the tariff and customs laws;

2. Control smuggling and related frauds;

3. Supervision and control over the entrance and clearance of vessels and aircraft engaged in foreign commerce;

4. Enforcement of TCC and related laws;

5. Supervision and control over the handling of foreign mails arriving in the Philippines;

6. Supervise and control all import and export cargoes for the protection of government revenue;

7. Exclusive original jurisdiction over seizure and forfeiture cases under the tariff and customs laws.

JURISDICTION OF COLLECTOR OF CUSTOMS OVER IMPORTATION OF ARTICLES

1. Cause all articles for importation to be entered in the customhouse, 2. Cause all such articles to be

appraised and classified,

3. Assess and collect the duties, taxes and other charges thereon, and 4. Hold possession of all imported

articles until the duties, taxes and other charges are paid thereon.

(Sec. 1206, TCC)

TERRITORIAL JURISDICTION OF THE BOC

1. All seas within the jurisdiction of the Philippines

2. All coasts, ports, airports, harbors, bays, rivers and inland waters whether navigable or not from the sea. (1^st par, Sec. 603, TCC)

CUSTOMS DUTIES

WHEN TARIFF AND CUSTOMS APPLIED Only after importation has begun but before importation is terminated.

Importation begins:

1) when the conveying vessel or aircraft

2) enters the jurisdiction of the Phil.

3) with intention to unload therein Importation is deemed terminated:

(a) upon payment of the duties, taxes and other charges due upon the articles.

(b) and legal permit for withdrawal shall have been granted.

• In case the articles are free of duties, taxes and other charges, until they have legally left the jurisdiction of the customs (Sec. 1202, TCC)

INTENTION TO UNLOAD

Even if not yet unloaded, and there is unmanifested cargo, forfeiture may take place because importation has already begun.

ARTICLES UNDER TCC May either be:

1. Subject to duty –

a. Live animals and animal products;

b. Vegetable products;

c. Animal or vegetable fats; oils and their cleavage products;

prepared edible fats; animal or vegetable waxes;

d. Prepared foodstuffs; beverages, spirits and vinegar; tobacco and manufactured tobacco

substitutes;

e. Mineral products;

f. Products of chemical or allied industries;

g. Plastics and articles thereof;

rubber and articles thereof;

h. Raw hides and skins; leather, etc.;

i. Wood and articles of wood, etc.;

j. Pulp of wood, etc.;

k. Textiles and textile articles;

l. Articles of stone; plaster, cement, etc.;

m. Footwear, headgear, etc.;

n. Natural or cultured pearls precious/semi-precious stones;

o. Base metals and articles of base metals;

p. Machinery and mechanical appliances; electric equipment;

sound recorders, etc;

q. Vehicles, aircraft, vessels and associated transport equipment;

r. Optical, photographic, medical, surgical instruments, etc.;

s. Arms, ammunition, parts and accessories;

t. Miscellaneous manufactured articles; and

u. Works of art, collector's pieces arid antiques (Sec. 104, Title 1, TCC).

2. Prohibited from being imported (Prohibited importation)

a. Absolutely prohibited such as:

weapons of war; gambling devices; narcotics or prohibited drugs; immoral, obscene or insidious articles; and those prohibited under special laws (Sec.102, TCC).

b. Qualifiedly prohibited

Where such conditions as to warrant a lawful importation do not exist, the legal effects of the importation of qualifiedly prohibited articles are the same as those of absolutely prohibited articles. (Auyong Hian vs. CTA, GR No. L-28782, September 12, 1974)

3. Conditionally-free from tariff and customs duties (conditionally-free importation)

• Those provided in Sec. 105, TCC;

• Those granted to government

agencies, GOCCs with

agreements with foreign countries;

• Those given to international institutions entitled to exemption by agreement or special laws; and

• Those that may be granted by the President upon NEDA’s recommendation.

4. Free from TC duties (duty-free) Imported goods must be entered in a customhouse at their port of entry otherwise they shall be considered as contraband and the importer is liable for smuggling (See

Sec. 101, TCC).

All articles when imported from any country into the Philippines shall be subject to duty upon each importation, even though previously exported from the Philippines, except as otherwise specifically provided for in the TCC or other laws.

Liability for Customs Duties

General Rule: All importations / exportations of goods are subject to customs duties (Sec. 105, TCC).

Exceptions:

(1) Exemptions under the TCC;

(2) Exemptions granted to

government agencies,

instrumentalities or GOCCs with

existing contracts,

commitments, agreements, or

obligations with foreign countries;

(3) Exemptions of international organizations pursuant to agreements or special laws; and (4) Exemptions granted by the Pres.

of the Phil. upon

recommendation of NEDA (Sec.

105, TCC).

LIABILITYOFIMPORTER FORCUSTOMDUTIES

• A personal debt which can be discharged only by payment in full thereof;

• A lien upon the imported articles while they are in custody or subject to the control of the government. (Sec. 1204, TCC).

Extent Of Importer’s Liability

The liability of an importer is limited to the value of the imported merchandise. In case of forfeiture of the seized material, the maximum civil penalty is the forfeiture itself.

(Mendoza vs. David, GR No. L-9452, March 27, 1961)

Drawback

A device resorted to for enabling a commodity affected by taxes to be exported and sold in foreign markets upon the same terms as if it had not been taxed at all. (Uy Chaco Sons vs.

Collector of Customs, GR No. 7618, March 27, 1913)

Import Entry

It is a declaration to the BOC showing particulars of the imported article that will enable the customs authorities to determine the correct duties. An importer is required to file an import entry. It must be accomplished from disembarking of last cargo from vessel.

Transaction value under RA NO. 8181

It is the invoice value of the goods plus freight, insurance, costs, expenses and other necessary expenses.

This replaces the Home Consumption Value as basis of valuation of goods.

CLASSIFICATION OF CUSTOM DUTIES A. Regular Duties – those which are

imposed and collected merely as a source of revenue.

1. Ad valorem duty: This is a duty based on the value of the imported article.

2. Specific duty: This is a duty based on the dutiable weight of goods (either the gross weight, legal weight, or net weight).

3. Alternating duties: This is a duty which alternates ad valorem and specific.

4. Compound Duty: This is a duty consisting of ad valorem and specific duties.

B. Special duties – those which are imposed and collected in addition to the ordinary customs duties usually to protect local industries against foreign competition.

1. Dumping duty 2. Countervailing duty 3. Marking duty 4. Discriminatory duty

NATURE OF SPECIAL CUSTOMS DUTIES Special customs duties are additional import duties imposed on specific kinds of imported articles under certain conditions.

PURPOSE OF SPECIAL CUSTOMS DUTIES The special customs duties are imposed for the protection of consumers and manufacturers, as well as Phil.

products from undue competition posed by foreign-made products.

SPECIAL DUTIES COMPARED

DUMPING DUTY COUNTERVAILING DUTY MARKING DUTY DISCRIMINATORY DUTY 1. Nature

Imposed upon foreign products with value lower than their fair market value to the detriment of local products.

Imposed upon foreign goods enjoying subsidy thus allowing them to sell at lower prices to the detriment of local products similarly situated.

Imposed upon

those not

properly marked as to place of origin of the goods.

Imposed upon goods coming from countries that discriminate against Philippine products.

2. Amount/Rate Difference between the actual price and the normal value of the article.

Equivalent to the bounty, subsidy, or subvention.

5% ad valorem

of articles Any amount not exceeding 100%

ad valorem of the subject articles

3. Imposing Authority Special committee on Anti-Dumping (composed of the Secretary of Finance

as Chairman;

Members: the

Secretary of DTI, and either the

Secretary of

Agriculture if article in question is agricultural product or the Secretary of labor if non-agricultural product

Secretary of Finance Commissioner of

Customs President of the Philippines

FLEXIBLE TARIFF CLAUSE

The President may fix tariff rates, import and export quotas, etc. under TCC (See Sec. 28, Art. VI, Constitution and Sec. 401, TCC)

1. to increase, reduce or remove existing protective rates of import duty (including any necessary change in classification).

The existing rates may be increased or decreased to any level, on one or several stages but in no case shall the increased rate of import duty be higher than a maximum of one hundred (100%) per cent ad valorem

2. to establish import quota or to ban imports of any commodity, as may be necessary; and

3. to impose an additional duty on all imports not exceeding ten (10%) per cent ad valorem whenever necessary:

LIMITATIONS IMPOSED REGARDING THE FLEXIBLE TARIFF CLAUSE

a. Conduct by the Tariff Commission of an investigation in a public hearing.

The Commission shall also hear the views and recommendations of any government office, agency or instrumentality concerned.

The Commission shall submit their findings and recommendations to the NEDA within thirty (30) days after the termination of the public hearings.

The NEDA thereafter submits its recommendation to the President.

1. The power of the President to increase or decrease the rates of import duty within the abovementioned limits fixed in the Code shall include the modification in the form of duty.

In such a case the corresponding ad valorem or specific equivalents of the duty with respect to the imports from the principal competing foreign country for the most recent representative period shall be used as bases (Sec. 401, TCC).

In document UNIVERSIDAD TÉCNICA DE AMBATO FACULTAD DE CONTABILIDAD Y AUDITORÍA CARRERA DE CONTABILIDAD Y AUDITORÍA (página 61-0)