LPU Presentation (CMTA, Feb 15, 2012)

8/2/2019 LPU Presentation (CMTA, Feb 15, 2012)

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STATUS OF

CUSTOMS

MODERNIZATIONAND TARIFF ACTANDITS IMPACT TO THE

CUSTOMS BROKERPROFESSION

By: ATTY. FERDINAND A. NAGUE


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SUMMARYSUMMARY

INTRODUCTIONBACKGROUND

STATUS OF THE CMTA

HIGHLIGHTS & SPECIALFEATURES

IMPACT TO THE CUSTOMSBROKER PROF

Q & A


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N RE I NALUNDERTAKINGSUNDERTAKINGS

Consolidated Bill filed by Reps.Rodriguez Jr., Rodriguez, Mandanas,Umali & Farinas.

House Ways & Means Committee Sub

Committee on Customs (??)conducted hearings to solicitcomments from stakeholders.

Comments submitted by privatesector and government agenciesincorporated in the final version DID.

House of Representatives already

finished deliberating and its already


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HIGHLIGHTS OF CMTAHIGHLIGHTS OF CMTA

A new Chapter containing Generaland Common Provision which

includes: Declaration of State Policy

General Customs Principles based on the Gen.Annex of RKC and some provision of the TCCP

Definition of Terms

Free, regulated & prohibitedimportation and exportation defined

Title 1 Preliminary Provision1


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New provisions: Declarant

Rights and Responsibilities of the Declarant

Lodgement and Registration Special Procedures for Authorized Persons

Examination of the Goods

Penalties for Errors in Goods Declaration

Release of Goods

Abatement of Duties and Taxes

Disposition of Abandoned Goods

Deferred Payment for Government Importation

Refund of Duties and Taxes




6/25

New provisions: Security Competent Customs Offices

Customs Control Application of Information and Communication

Technology

Relationship Between Customs and Third Parties

Information of General Application

Information of A Specific Nature Decisions and Rulings Right of Appeal, Forms and Ground

Types Of Importation

Free and Regulated Importations and Exportations Prohibited Im ortations and Ex ortations




7/25

Number of Deputy Commissionersopen

Trade Facilitation added as newfunction

A provision on the De Minimis valuebelow which no duty shall becollected

Title 2 - Bureau of Customs2


Title 3 - Customs Territory & Customs Control3

A new provision authorizing Customsto establish temporary storage prior

to goods declaration


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The value requiring the filing offormal entry increased to P50thousand FOB or FCA

Sec. 403 on Goods Declaration andSec. 406 on invoice revised toconform with the new valuation

systemRequest for classification & valuation

ruling revised

The general rule on the manner ofexamination laid down including the

Title 4 - Import Clearance & Formalities4



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As a general rule, presence ofimporter/broker is not required

during inspection (General Provision)New provisions on Travellers,

Passenger Baggage, Postal Mail &Relief Consignment provided (RKCSpecific Annex J)

Title 4 - Import Clearance & Formalities4

Title 5 Export Clearance & Formalities5

New provision on Export Clearance

Formalities



10/25

Customs Transit and Transshipmentdefined & incorporated to conformwith RKC Specific Annex E.

Provision for transshipment oftobacco products incorporated

Title 6 Customs Transit & Transshipment6

Title 7 Import Duty & Tax7

Provisions on Dumping, Safeguard &Countervailing incorporated with

reference to specific laws



11/25

Amount of guarantee/security for someconditionally-free imports set at 100% of

duties & taxes in conformity with RKC GAStandards 5.4 & 5.6

Provision on Outward Processing provided inParagraph X of Sec. 800

Storage period rule set at 1 year except forperishable goods which is 6 months & forcertain types of industries where storageperiod can be more than 1 year

New provision on Free Zones & Stores (RKCSpecific Annexes D & J)

Title 8 Tax & Duty Deferment, Preference &

Exemption8



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Prescriptive period for drawbackclaim provided

A new provision on abatement fordefective articles provided

Title 9 Drawback & Refund9

Title 10 Administrative & Judicial Procedures10

New provision identifying otherpersons who can exercise PoliceAuthority as deputized by the

Commissioner



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Sec. 1001 - A provision providing Customs unhampered access on

Customs Zone within the jurisdiction of Portauthorities

allowing BOC to exercise Police Authority withinFreeport zone subject to proper coordination

with the governing authority of the zoneSec 1005 Customs may force entry

into land or inclosure, or anywarehouse store not being principally

used as dwelling house




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Sec. 1010 -- Power to inspect & visitrevised to provide additional processto quash warrant

Sec. 1015 -- A provision - recognizing the exclusive authority of the

Collector to determine probable cause and issuewarrant

Allowing release of seized articles for legitimateuse under cash bond or sufficient security

Sec. 1021 Redemption value on

settlement set at 150% of landed




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Sec. 1023 reworded to conform with theexclusive authority of the Collector

Sec. 1024 Commissioner mandated toissue rules and regulations on seizure &forfeiture proceedings

Sec. 1026 Review of Commissioner

modified to specify period of appealSec. 1028 Supervisory Authority of

Commissioner & Secretary of Finance inCertain Cases




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Sec. 1029 Provision on Abandonment Period to file is within 15 days from receipt of

due notice

Period to pay is within 15 days from receipt ofassessment notice

Period to claim is within 30 days after paymentof duties & taxes

Provision on Compulsory Acquisitiondeleted

Sec. 1032 Authority of Commissionerto make compromise expanded to

include duties & taxes




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New provision on Civil Remedies forcollection of Duties & Taxes

New provision on Civil Remedies forcollection of Duties & Taxes Distraint of Goods

Civil or criminal action

Constructive distraint of propertyNew provision creating Forfeiture

Fund




18/25

Coverage of Audit expanded to includepersons or entities other than theimporters

Documents/records that may berequired revised as opposed to thelisting in RA 9135

New provision empowering Customs toissue summons in relation to PEAinvestigation

Penalty regime reduced to 2

(Negligence & Fraud). Amount of

Title 11 Post Clearance Audit11



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New provision on Customs FraudInvestigation & Prosecution

Title 12 Customs Fraud12

Title 13 Third Parties13

New provision on Third Parties Customs Brokers

Carriers, Vessels & Aircraft

Other Third Parties including AEOs



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Fees, dues & charges to be providedunder regulations

Title 14 Customs Fees & Charges14

Title 15 Offenses & Penalties15

Sec. 1502 Misdeclaration,Misclassification & Undervaluation

redefined to conform to theTransaction Value System

Amount of penalties for certainoffences increased



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Provision on rewards claim to includecollection of additional revenues;reward only limited to non-Customspersonnel

Provision on Outsourcing of non-sovereign customs functions to

private entities

Title 16 Miscellaneous Provisions16



22/25

(Need to insert rationale for therevisions under this title.... This is

different from CMTA)

Title 17 Tariff Administration Policy17



23/25

New provision creating CongressionalOversight Committee

Title 18 Congressional Oversight Committee18

Title 19 Final Provisions19

Repealing Clause

Transitory ProvisionSeparability Clause

Effectivity Date



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Q & A



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THANK YOU!


LPU Presentation (CMTA, Feb 15, 2012)

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