[CUSTOMS5 Customs Clearance] - MODULE 1 B.
Transshipment System (TSS)
CLEARANCE - refers to the completion of customs and other
government formalities necessary to allow goods to enter for
consumption, warehousing, transit, transshipment, to be
exported, or placed under another customs procedure.
TRADE FACILITATION - refers to a specific set of measures that
streamline and simplify the technical and legal procedures for
products entering or leaving a country to be traded
internationally.
e2m (electronic-to-mobile) Customs Project - is one of the
mission-critical and high-impact ICT projects of the national
government.
➔ it seeks to streamline BOC’s core processes (imports and
exports) and improve trade facilitation between the Bureau
and its stakeholders, including other government agencies,
through the development and integration of various systems
allowing Internet enabled and later SMS-enabled, thus less
face-to-face transactions.
FEATURES OF THE E2M CUSTOMS
1. Online submissions of declarations
2. Automatic advise on declaration status
3. Engagement of Value Added Service Providers (VASPs)
4. Online submission of manifests by airlines, shipping lines and
consolidators
5. Automated process for other types of import transactions
such as informal (including passenger baggages system
warehousing and transshipment entries)
6. Automated process for liquidation of raw materials
7. Centralized management of bonds transactions
8. Links with relevant government agencies; and
9. Online resource access through BOC website on issuances,
processes, policies, guidelines and other related information
AUTOMATED SYSTEMS UNDER THE E2M CUSTOMS
A. Import Assessment System (IAS)
E2m components implemented through IAS
● Client Profile Registration System (CPRS)
● Electronic Manifest System (EMS)
● Formal Entry System (FES)
● Warehousing Entry System (WES)
● Payment Abstract Secure System version 5.0
(PASS-5)
● Other Settlement Modes (OSM) consisting of Tax
Exemptions, Import Entry Declaration (IED) for
Advance Duties, Tax Debit Memos (TDM), Deferred
Payment of Government Account (DPGA)
● On-line Release Systems (OLRS)
● License and Clearance System (LCS) for government
agencies that are already connected to the National
Single Window (NSW)
B. Informal Entry System (IES)
C. Automated Bonds Management System (ABMS)
D. Raw Materials Liquidation System (RMLS)
E. Passenger Baggage Entry System (PBES)
F. Value Reference Information System (VRIS)
AUTOMATED SYSTEMS LINKED WITH OTHER GOVERNMENT
AGENCIES
A. Automated Export Documentation System
● Clark Development Corp. in Clark Freeport Zone uses
Electronic Export Declaration System (EEDS) instead of
AEDS
● Electronic Import Permit (eIPS) for PEZA
● Electronic Zone Transfer System (eZTS) for PEZA
● Electronic Transit Admission Permit System (e-TAPS) for
AFAB, CDC, SBMA
● Gatepass Management System (GMS) for SBMA
● Trade Automation & Facilitation System
NEWLY LAUNCHED BOC SYSTEMS
A. Modified Goods Declaration Verification System
B. Document Tracking System
C. Alert Order Monitoring System
D. National Value Verification System
E. Customer Care Portal (BOC Ticketing System)
F. Parcel and Balikbayan Box Tracking System
PHILIPPINE NATIONAL SINGLE WINDOW
The Philippine NSW is in realization of the ASEAN agreement to
establish an ASEAN Economic Community (AEC) by 2015 whose
mission is to develop a single market and production base that is
stable, prosperous, highly competitive and economically
integrated with effective facilitation for trade and investment,
thereby forming the ASEAN Single Window.
Objectives of Philippine NSW:
1. An internet application that allows parties involved in trade to
lodge information and documents with a single entry to fulfill all
import, export and transit-related regulatory requirements.
2. It aims to increase transparency in cargo processing by
providing more accurate, timely and cost-efficient exchange of
information by reducing more Customs operational costs and
improving revenue collection.
3. To avail of the easy on-line processing of permits/clearance
certificates an importer/exporter should be registered by
providing TIN Number and valid email address for notification
purposes.
CMTA PROVISIONS ON GOODS DECLARATION
GOODS DECLARATION - refers to a statement made in the manner
prescribed by the Bureau and other appropriate agencies, by
which the persons concerned indicate the procedure to be
observed in the application for the entry or admission of
imported goods and the particulars of which the customs
administration shall require.
SEC. 400. Goods to be Imported through Customs Office. All
goods imported into the Philippines shall be entered through a
customs office at a port of entry, or may be admitted to or
removed from a free zone as defined in this Act, as the case may
be.
SEC. 401. Importations Subject to Goods Declaration. Unless
otherwise provided for in this Act, all imported goods shall be
subject to the lodgement of a goods declaration. A goods
declaration may be for consumption, for customs bonded
warehousing, for admission, for conditional importation, or for
customs transit.
Types of Goods Declaration (for consumption)
1. INFORMAL ENTRY (value of less than PHP 50,000)
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 2. FORMAL ENTRY (value of not less than PHP 50,000)
SEC. 402. Goods Declaration for Consumption. – All goods
declaration for consumption shall be cleared through a formal
entry process except for the following goods which shall be
cleared through an informal entry process:
(a) Goods of a commercial nature with Free on Board (FOB) or
Free Carrier At (FCA) value of less than fifty thousand
pesos (P50,000.00), and
(b) Personal and household effects or goods, not in commercial
quantity, imported in a passenger's baggage or mail.
SEC. 403. Provisional Goods Declaration. Where the declarant
does not have all the information or supporting documents
required to complete the goods declaration, the lodging of a
provisional goods declaration may be allowed: Provided, that it
substantially contains the necessary information required by the
Bureau and the declarant undertakes to complete the information
or submit the supporting documents within forty-five (45) days
from the filing of the provisional goods declaration, which period
may be extended by the Bureau for another forty-five (45) days for
valid reasons.
If the Bureau accepts a provisional goods declaration, the
duty treatment of the goods shall not be different from that of
goods with complete declaration.
Goods under a provisional goods declaration may be
released upon posting of any required security equivalent to the
amount ascertained to be the applicable duties and taxes.
SEC. 404. Owner of Imported Goods. All goods imported into the
Philippines shall be deemed to be the property of the consignee
or the holder of the bill of lading, airway bill or other equivalent
transport document if duly endorsed by the consignee therein, or,
if consigned to order, duly endorsed by the consignor. The
underwriters of abandoned goods and the salvors of goods saved
from wreck at sea, coast, or in any area of the Philippines, may be
regarded as the consignees.
SEC. 405. Liability of Importer for Duties and Taxes. Unless
relieved by laws or regulations, the liability for duties, taxes, fees,
and other charges attached to importation constitutes a personal
debt due and demandable against the importer in favor of the
government and shall be discharged only upon payment of duties,
taxes, fees and other charges. It also constitutes a lien on the
imported goods which may be enforced while such goods are
under customs' custody.
SEC. 406. Importations by the Government. Except those
provided for in Section 800 of this Act, all importations by the
government for its own use or that of its subordinate branches or
instrumentalities, or corporations, agencies or instrumentalities
owned or controlled by the government, shall be subject to the
duties, taxes, fees and other charges under this Act.
SEC. 407. Goods Declaration and Period of Filing. As far as
practicable, the format of the goods declaration shall conform
with international standards. The data required in the goods
declaration shall be limited to such particulars that are deemed
necessary for the assessment and collection of duties and taxes,
the compilation of statistics and compliance with this Act. The
Bureau shall require the electronic lodgement of the goods
declaration.
The Bureau shall only require supporting documents
necessary for customs control to ensure that all requirements of
the law have been complied with. Translation of supporting
documents shall not be required except when necessary.
Goods declaration must be lodged within fifteen (15)
days from the date of discharge of the last package from the
vessel or aircraft. The period to file the goods declaration may,
upon request, be extended on valid grounds for another fifteen
(15) days: Provided, That the request is made before the
expiration of the original period within which to file the goods
declaration: Provided, however, That the period of the lodgement
of the goods declaration maybe adjusted by the Commissioner.
SEC. 408. Lodgement and Amendment of Goods Declaration. The
Bureau shall permit the electronic lodgement of the goods
declaration at any designated customs office. The Bureau shall, for
valid reason and under terms and conditions provided by
regulation, permit the declarant to amend the goods declaration
that has already been lodged: Provided, That the request to
amend the goods declaration, together with the intended
amendments, must be received prior to final assessment or
examination of the goods.
SEC. 409. Advance Lodgement and Clearance. The Bureau may
provide for the lodgement and clearance of goods declaration and
supporting documents prior to the arrival of the goods under such
terms and conditions as may be provided by rules and regulations
to be promulgated under this Act.
SEC. 410. Entry of Goods in Part for Consumption and in Part for
Warehousing. – Goods declaration covered by one bill of lading or
airway bill over goods which are meant in part for consumption
and in part for warehousing may be both entered simultaneously
for release at the port of entry.
SEC. 411. Contents of Goods Declaration. Goods declaration shall
contain the names of the consignee, importing vessel or aircraft
port of departure, port of destination and date of arrival, the
number and marks of packages, or the quantity, if in bulk, the
nature and correct commodity description of the goods contained
therein, its value as set forth in a proper invoice, and such other
information as may be required by rules and regulations.
Where the declarant does not have all the information
required to make the goods declaration, a provisional or
incomplete goods declaration shall, for certain cases and for
reasons deemed valid by the Bureau, be allowed to be lodged:
Provided, That it contains the particulars deemed necessary by
the Bureau for the acceptance of the entry filed and that the
declarant undertakes to complete it within forty-five (45) days
from the filing of the provisional goods declaration in accordance
with Section 403 of this Act.
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 [CUSTOSM5] MODULE 2
CLIENT PROFILE REGISTRATION SYSTEM
For new Customs Broker, the following pertinent documents are
to be submitted:
1. Application form (notarized and completely filled out);
2. Bureau of Customs Official Receipt (BCOR) evidencing
payment of Processing Fee (Php 1,000);
3. Photocopy of Valid Philippine Regulatory Commission
(PRC) Identification Card, back-to-back. For married
female brokers, if the name reflected in the PRC ID is that
of her maiden name, submit copy of Marriage Contract
issued by the Philippine Statistics Authority (PSA);
4. List of clients with complete addresses and contact
details (if no clients, submit affidavit of no clients);
5. List of representative/s with personal details, photos and
specimen signatures (if no representative/s, submit
affidavit of no representative/s);
6. Printed CPRS profile of applicant and updated notification
of “STORED” status;
7. BIR Registration (2303);
8. Latest Income Tax Return (ITR) duly received by the BIR;
9. Valid NBI Clearance of applicant; and
For renewal of Customs Broker’s application, the broker shall
submit the following pertinent documents:
1. Duly accomplished and notarized Application Form for
Renewal (if there are updates/changes)
2. Bureau of Customs Official Receipt (BCOR) evidencing
payment of Processing Fee (Php 1,000);
3. Photocopy of Valid Philippine Regulatory Commission
(PRC) Identification Card, back-to-back. For married
female brokers, if the name reflected in the PRC ID is that
of her maiden name, submit copy of Marriage Contract
issued by the Philippine Statistics Authority (PSA);
4. If there is no change in material information previously
declared and submitted, a duly accomplished and
notarized Affidavit of No Change in Information (i.e.,
Registered Name, Office Address, Contact Number/s,
Email Address, List of clients, List of representative/s)
using the prescribed form (Annex E-1 of CAO No. 5-2019):
5. In case of change/s in material information previously
declared and submitted, a duly accomplished and
notarized Affidavit of Change in Information (i.e.,
Registered Name, Office Address, Contact Number/s,
Email Address, List of clients, List of representative/s)
using the prescribed form (Annex E of CAO No. 5-2019)
with supporting documentary requirements.
6. Updated printed CPRS profile of applicant and updated
notification of “STORED” status;
7. Latest Income Tax Return (ITR); and
8. Certificate of Good Standing issued by a PRC accredited
national organization of Customs Brokers.
HOW TO APPLY FOR RENEWAL OF ACCREDITATION FOR
BROKERS?
Pursuant to CMO 19-2019, all brokers who are transacting with
the Bureau shall file an application for renewal of registration to
the CIIS District Office at the Collection District nearest the
Broker's principal place of business.
Alternatively, you may file your application online opening a ticket
and attaching the scanned copy of required documents. Just visit
https://client.customs.gov.ph/. Your ticket will be forwarded to
concerned CIIS District Office and you will be informed regularly of
the status of your application.
WHAT ARE THE ACCREDITATION REQUIREMENTS FOR NEW
IMPORTERS?
For new importers, the following pertinent documents are to be
submitted:
1. Duly notarized accomplished Application Form and
signed by owner (for Sole Proprietorship), responsible
Officer (for Corporation), Chairman (for Cooperative) and
authorized partner (for Partnership);
2. Bureau of Customs Official Receipt (BCOR) evidencing
payment of processing fee (Php1,000.00);
3. Corporate Secretary Certificate (Corporation) / Affidavit
(Sole Proprietorship) / Partnership Resolution
(Partnership) / BOD Resolution (Cooperative) designating
its authorized signatories in the import entries;
4. Two (2) valid government issued IDs (with picture) of
Applicant, President and Responsible Officers (i.e.,
passport, UMID Card, SSS ID, Driver’s License, Alien
Certificate of Registration and Alien Employment Permit
for aliens);
5. NBI Clearance of applicant (issued within three (3)
months prior to the application)
6. Photocopy of DTI Registration or SEC Registration/Articles
of Partnership and Latest General Information Sheet, or
Cooperative Development Authority Registration and
latest Cooperative Annual Progress Report, whichever is
applicable;
7. Personal Profile of Applicant, President and Responsible
Officers;
8. Company Profile with pictures of office with proper and
permanent signage and pictures of warehouse/storage
area;
9. Proof of Lawful Occupancy of Office Address and
Warehouse (i.e., Updated Lease Contract under the name
of the Corporation or Proprietor, Affidavit of Consent
from the owner and the Title of the Property under
his/her name in case the property is used for free,
Certification from the Lessor or Owner allowing the
sharing of office in case of Sublease);
10. Printed CPRS of the Company and updated notification of
“STORED” status;
11. BIR Registration (2303);
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 12. Income Tax Return (ITR) for the past three (3) years duly
received by the BIR, if applicable;
13. Valid Mayor’s Permit as certified by the Bureau of Permits
and Licensing Office;
14. Proof of Financial capacity to import goods (Bank
Certificate or other forms of financial certification) (Top
1000 Taxpayers and under SGL Companies are
exempted); and
15. Endorsement from the District Collector, if applicable.
16. Location map/sketch map of office and warehouse
address
For renewal of importer’s application, the importer shall submit
the following pertinent documents:
1. Duly accomplished and notarized Application Form for
Renewal;
2. Updated General Information Sheet (Corporation) / DTI
(Sole Proprietor) / Articles of Partnership / CDA
Registration or Cooperative Annual Progress report
(CAPR) (Cooperative.);
3. Bureau of Customs Official Receipt (BCOR) evidencing
payment of Processing Fee (Php 1, 000);
4. Affidavit of Change or No Change;
● If there are updates/changes in Company Information,
necessary supporting documents must be submitted.
Submit Affidavit of Change of Company information,
please specify changes;
● If there is no change in material information previously
declared and submitted, a duly accomplished and
notarized Affidavit of No Change in Company Information
(i.e. Business Name, Business Ownership, Office Address,
Warehouse/Storage address, Responsible Officers, Line of
Business, Contact Numbers, Email Address, Importable
Items and Designated Signatories in the Import Entry)
using the prescribed form (Annex A);
5. Updated Printed CPRS of the company and updated
notification of “STORED” status;
6. Latest Income Tax Return (ITR);
7. Valid Mayor’s Permit (certified true copy by the BPLO);
8. Financial Capacity to import (example: Bank Certificate,
Line of Credit etc.) - supporting documents of Affidavit of
No Change;
9. Updated List of Importables with declared Grand Total
Value of all items;
10. Previous Bureau of Customs Certificate of Registration
(BOC-COR);
11. Location map/sketch map of office and warehouse
address
Note: You may submit all required documents one (1) month
before the expiration.
SEC. 412. Statements to be Provided in the Goods Declaration .-
No entry of imported goods shall be allowed unless the goods
declaration has been lodged with the Bureau. The goods
declaration shall, under penalties of falsification or perjury,
contain the following statements:
a. The invoice and goods declaration contain an accurate and
faithful account of the prices paid or payable for the goods,
and other adjustments to the price actually paid or payable,
and that nothing has been omitted therefrom or concealed
whereby the government of the Republic of the Philippines
might be defrauded of any part of the duties and taxes
lawfully due on the goods; and
b. To the best of the declarant's information and belief, all the
invoices and bills of lading or airway bills relating to the
goods are the only ones in existence relating to the
importation in question, and that these documents are in
the same state as when they were received by the declarant,
and the declaration thereon are in all respecting genuine
and true.
Goods declaration shall be submitted electronically pursuant to
Republic Act No. 8792, otherwise known as the “Electronic
Commerce Act of 2000”. Such declarations when printed and
certified by a competent customs officer as a faithful reproduction
of the electronic submission shall be considered as actionable
documents for purposes of prosecuting a declarant if the
declarations are found to be fraudulent.
SEC. 413. Description of Goods .- Under such terms and
conditions prescribed under the rules and regulations, the
description of the goods in the goods declaration must be
sufficient and specific in detail to enable the goods to be identified
for customs valuation, statistical purposes, and classification to
the appropriate tariff heading and subheading in the currency of
the invoice, and in such other particulars necessary for the proper
assessment and collection of duties and taxes. The quantity and
value of each of the several classes of goods shall be separately
declared according to their respective headings or subheadings
and the totals of each heading or subheading shall be duly shown.
SEC. 414. Commercial and Non-Commercial Invoice .- Commercial
invoice of imported goods shall contain the following:
a. the agreed price paid or to be paid for the goods;
b. the adjustments to the price paid or to be paid as defined in
Section 701 (1) of this Act, if not yet included in the invoice,
as may be applicable;
c. the names of the buyer, seller, and the time and place of
sale;
d. the port of entry;
e. a sufficient description to enable the accurate identification
of goods for tariff classification, customs valuation, and
statistical purposes, indicating the correct commodity
description, in customary term or commercial designation,
the grade and quality, numbers, marks or symbols under
which they are sold by the seller or manufacturer, together
with the marks and number of packages in which the goods
are packed;
f. the quantities in the weights or measures of the goods
shipped; and
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 g. any other fact deemed necessary for the proper
examination, customs valuation,and tariff classification of
the goods as may be prescribed by rules and regulation.
To the extent possible, the above requirements shall also apply to
goods imported but not covered by sale, such as goods on
consignment or lease, samples, or donations, covered by a
consignment, pro forma invoice, or other non-commercial invoice.
SEC.415. Mode of Payment and Terms of Trade.- Subject to
existing laws and rules on foreign currency exchange, the
internationally accepted standards and practices on the mode of
payment or remittance covering import and export transactions,
including standards developed by international trading bodies
such as the International Chamber of Commerce (ICC) on trading
terms (Incoterms)and on international letters of credit such as the
Uniform Customs and Practice for Documentary Credits (UCP),
shall be recognized.
SEC.416. Examination of Samples .- Customs officers shall see to it
that representative samples taken during examination shall be
properly receipted for and retained within a reasonable period of
time. The quantity and value of the samples taken shall be noted
in the specified box of goods declaration or electronic form. Such
samples shall be duly labeled as will definitely identify them with
the importation for which they are taken.
SEC. 417. Forwarding of Cargo and Remains of Wrecked Vessel or
Aircraft .- When vessels or aircrafts are wrecked within the
Philippines, the original owners or consignees of the cargo, or by
its underwriters, in case of abandonment, may seek approval from
the Bureau to forward the goods saved from the wreck to the
ports of destination without going through the customs officer in
the district in which the goods were cast ashore or unloaded.
Upon approval, the goods may be forwarded with the particular
manifests and duly certified by a customs officer in charge of the
goods.
The owner of the vessel or aircraft may be permitted to
export the remains of the wreck upon proper examination and
inspection. The remains of a wrecked vessel shall include not only
its bull and rigging, but also all sea stores, goods, and equipment,
such as sails, ropes and chain anchors.
SEC.418. Derelicts and Goods.- Derelicts and all goods recovered
from sea or from abandoned wrecks shall be under the
jurisdiction of the port where the goods arrive, and shall be
retained in the custody of the Bureau. If not claimed by the
owner, underwriters or salvor, the same shall be deemed as
property of the government.
When such goods are brought into port by lighters or
other craft, each vessel shall submit a manifest of their respective
cargo.
The customs officer nearest the scene of the wreck shall
take charge of the goods saved and shall give immediate notice to
the District Collector or the nearest customs office.
In order to prevent any attempt to commit fraud, the
District Collector shall be represented at the salvage of the cargo
by customs officers who shall examine and receive the inventory
made on the cargo.
Derelicts and goods salvaged from foreign vessels or
aircrafts recovered from sea or wreck are prima facie dutiable and
may be entered for consumption or warehousing. If claimed to be
of Philippine production, and consequently conditionally
duty-free, proof must be submitted as in ordinary cases of
re-importation of goods. Foreign goods landed from a vessel or
aircraft in distress is dutiable if sold or disposed of in the
Philippines. Before any goods taken from a recent wreck are
admitted to the customs territory, the same shall be appraised,
and the owner or importer shall have the same right to appeal as
in ordinary importation. No part of a Philippine vessel or aircraft
or its equipment, wrecked either in Philippine or foreign waters,
shall be subject to duty.
[CUSTOMS5] MODULE 3
OPERATIONAL PROVISIONS ON INFORMAL ENTRY AND FORMAL
ENTRY
FORMAL ENTRY PROCESS - shall refer to the cargo clearance
process for imported shipments considered to be of commercial
nature which are those in excess of FOB or FCA value limitation for
informal entry and those for which the informal entry process may
not be used, subject to the exceptions provided under the CMTA.
INFORMAL ENTRY PROCESS - shall refer to the clearance process
for imported goods with FOB or FCA value of less than Fifty
Thousand Pesos (P50,000.00) and personal and household effects
or goods, not in commercial quantity, not for sale, lease, hire or
barter and other shipments covered under Section 4 of this CAO.
SHIPMENTS CLEARED THROUGH INFORMAL ENTRY PROCESS
A. Goods of Commercial Nature with FOB or FCA value of less
than Fifty Thousand Pesos (P50,000.00).
B. Personal and household effects or goods, not in commercial
quantity, whether or not subject to duties and/or taxes.
C. Conditionally Tax and/or Duty-Exempt Importations under
Section 800 of the CMTA
● Importation of Returning Residents and OFWs
● Balikbayan Boxes
● Shipments accompanying travelers, that are arriving
before or after the arrival of the traveler in the
Philippines.
● Shipments containing Personal and household effects
belonging to foreign consultants and experts for their
own use.
● Shipments containing personal and household effects of
any officer or employee of the DFA or employee of other
departments assigned to any Philippine consular office
abroad.
● Shipments containing professional instruments and
implements, tools of trade, occupation or employment,
wearing apparel, domestic animals, and personal and
household effects belonging to persons coming to settle
in the Philippines or Filipinos or their families and
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 descendants who are now residents or citizens of other
countries, such parties hereinafter referred to as
overseas Filipinos subject to conditions as may be
required by the DOF and the Bureau.
● Shipments containing Importations for the personal or
family use of members and attachés of representatives of
foreign governments and for official use.
● Coffins or urns containing human remains, bones or
ashes, used personal and household effects of a
deceased person.
>> Those falling under the remaining sub-paragraphs of
Section 800 of CMTA, Conditionally Tax and/or
DutyExempt Importations shall fall under Informal Entry
Process provided that its FOB or FCA value as determined
by the Bureau is less than fifty thousand pesos
(P50,000.00).
>> Clearance of previously imported diplomatic
supplies and equipment of foreign embassies
and tax-exempt institutions sold to a nonprivileged buyer
shall be manually processed under the Informal Entry
Division.
DOCUMENTARY REQUIREMENTS ON INFORMAL ENTRY
The goods declaration shall be signed by the declarant and/or the
customs broker, duly notarized and submitted to the IED or
equivalent office or unit through the Customer Care Center (CCC),
with the following supporting documents:
1. BL/HBL or AWB/HAWB
2. Commercial invoice or any other verifiable commercial
document evidencing value
3. Packing list or any other similar document that contains the
itemized specific information of the importation;
4. Gate Pass BC Form No. 201 for airport, in case of manual
filing; and
5. Import authority, permit, clearance or license for imported
goods listed in the official list of regulated goods as posted in
the BOC website. For this purpose, the Bureau shall
periodically update the official list of regulated goods;
6. Sanitary and Phytosanitary (SPS) certificate, if applicable;
7. Authority to Release Imported Goods (ATRIG), if applicable;
and
8. Tax Exemption Indorsement (TEI).
SHIPMENTS CLEARED THROUGH FORMAL ENTRY PROCESS
a. Goods of Commercial Nature with FOB or FCA value of more
than Fifty Thousand Pesos (P50,000.00).
b. Importation of motor vehicles, motorcycles and motor
scooters regardless of the consignees, including those under
Section 800 of the CMTA, shall be under the Formal Entry
Process.
DOCUMENTARY REQUIREMENTS ON FORMAL ENTRY
Unless and until the Bureau is operating in a paperless
environment, the printout of the SAD signed by the declarant and
the customs broker, if any, and duly notarized, must be submitted
to the Formal Entry Division (FED) or its equivalent office or unit,
together with the following documents which shall form an
integral part of the Goods Declaration:
1. Duly accomplished SDV form.
2. Duly endorsed BL or AWB, or in the absence thereof, a
written order (Delivery Order, Telex Release or Release
Order) by the carrier or agent of the vessel or aircraft;
3. Commercial invoice, letter of credit or any other verifiable
commercial document evidencing payment; in cases where
there is no sale for export, by any commercial document
indicating the commercial value of the goods
4. Packing list, or the commercial invoice, provided, it contains
the itemized specific information
Documents as may be required by rules and regulations, such as:
a. Import authority, permit, clearance or license for imported
goods listed in the official list of regulated goods as posted in
the BOC website. For this purpose, the Bureau shall
periodically update the official list of regulated goods;
b. Sanitary and Phytosanitary Import Clearance (SPSIC);
c. Authority to Release Imported Goods (ATRIG);
d. Certificate of Origin (for various Free Trade Agreements and
Economic Partnership Agreements) or other Proof of Origin
such as Invoice Declaration by Certified Exporter when the
Self Certification System is availed of by contracting
countries and Origin Declaration by Approved Exporter for
PH- EFTA FTA;
e. Advance Ruling, if the ruling was applied in the lodgement of
the goods declaration;
f. LPS or DPS report for bulk or break bulk importations;
g. TEI, if applicable; and
h. Other documents as may be required by the Bureau or
existing regulations
FILING OR LODGEMENT OF GOODS DECLARATION AND
PROVISIONAL GOODS DECLARATION
Lodgement of Goods Declaration: Goods declaration shall be
lodged with the Bureau's E2M system and shall be filed at the
Informal Entry Division (IED) or equivalent unit of the port
concerned. The declarant shall accomplish, submit and register
the goods declaration online following a prescribed format.
Pending implementation of the Informal Entry System, the
declarant shall file the goods declaration using the Informal
Import Declaration and Entry (IIDE) BC Form No. 177.
Period to Lodge Goods Declaration: Goods declaration must be
lodged within fifteen (15) calendar days from the date of
discharge of the last package from the vessel or aircraft. The
period for the lodgement of the goods declaration may be
adjusted by the Commissioner.
Extension of lodgement of goods declaration:
● written request
● may be extended another fifteen (15) calendar days, subject
to the approval of the Collector of Customs, as may be
authorized by the Commissioner.
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 ● Provided, that the request is made before the expiration of
the original period within which to lodge the goods
declaration and is based on the following grounds:
■ Fraud committed against the owner, importer or
consignee;
■ Accident;
■ Mistake
■ Excusable negligence
■ Force Majeure
■ Technical issues as certified by the Management
Information System Technology Group (MISTG); and
■ Other analogous circumstances
Provisional Goods Declaration
Provisional Goods Declaration (PGD) may be allowed in order to
facilitate trade and to prevent goods from being declared
abandoned.
The filing of Provisional Goods Declaration shall be allowed
under the following circumstances:
a. When no regulatory permit, clearance or license has been
presented at the time of lodgement, provided that the
importer has filed his application for such permit, clearance
or license, prior to the departure of the goods from the
country of origin or the arrival of the goods into the
Philippines, depending on the policy of the concerned
regulatory agency;
b. When the TEI has not been issued, provided an application
has already been filed at the time of lodgement; or
c. Any other situation where the declarant lacks certain
information or document to make a complete goods
declaration provided it is not due to the declarant's
negligence or fault.
Lodgement of Provisional Goods Declaration may be allowed
provided the following documents are presented:
a. Pro forma invoice;
b. Duly endorsed BL or AWB, or in the absence thereof,a
written order by the carrier or agent of the vessel or aircraft;
c. Advanced copies of Certificate of Origin, if applicable;and
d. Duly notarized undertaking by the declarant that the other
supporting documents required shall be submitted within
forty-five (45) calendar days from lodgement of Provisional
Goods Declaration. The 45- day period may be extended for
another 45 days for valid reasons upon approval of the
written request by the Collector of Customs, provided that
the said request for extension is made prior to the lapse of
the original 45-day period.
EFFECTS OF GOODS DECLARATION:
i. If the Collector of Customs accepts a provisional goods
declaration, the duty and tax treatment of the goods shall
not be different from that of goods with complete
declaration;
ii. Tentative assessment of duties, taxes and other charges
on goods covered by a provisional goods declaration shall
be completed upon final readjustment and submission by
the declarant of the additional information or
documentation required to complete the goods
declaration within forty-five (45) calendar days from the
lodgement of the provisional goods declaration, subject
to extension period of another forty-five (45) calendar
days for valid reasons.
The conditional release of goods under provisional goods
declaration shall be governed by the following rules:
a. In case of regulated shipments, the conditional release of
goods shall not be permitted unless the regulatory agency
concerned allows such release, subject to the following
conditions:
i. Goods shall be delivered to the importer's premises for
storage and shall not be disposed until the required permit,
clearance or license is issued and submitted to the Bureau
within the prescribed period.
ii. A specific and sufficient security shall be required to cover
the duties, taxes and other charges of the goods, except in
case of importers enrolled in any of the trade facilitation
programs of the Bureau where a general security or an
undertaking may be required in lieu of a security.
b. In all other cases, the conditional release of goods
provisionally declared shall be subject to the following rules:
i. A specific and sufficient security shall be required to cover
the amount of duties, taxes and other charges that shall be
collected when the lacking information or document is not
submitted within the prescribed period.
ii. In case of highly compliant importers such as those
enrolled in any of the trade facilitation programs of the
Bureau or when the ground for provisional goods declaration
does not affect the final computation of duties, taxes and
other charges, no security shall be required for the
conditional release of the goods.
Effects of the non-compliance with the conditions for the release
of goods under provisional goods declaration:
a. In case the declarant fails to submit the required permit,
clearance or license from the regulatory agency within the
prescribed period, the regulated goods shall be subject to
seizure, provided due notice is given to the declarant.
b. In case of release under the provisional goods declaration
due to the lack of import documents to assess the correct
duties, taxes and other charges, any security posted or
undertaking submitted shall be subject to forfeiture for
failure of the declarant to submit the required supporting
documents or information within the prescribed period;
Provided that due notice is given to the declarant, and
without prejudice to any other legal remedy to recover
duties, taxes and other charges that may be due on the
importation.
ELECTRONIC LODGEMENT
No entry of imported goods shall be allowed unless the goods
declaration has been lodged with the Bureau. All goods
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declaration shall be lodged through the BOC portal which allows
the declarant to accomplish, submit and register goods
declaration online at anytime, anywhere following a prescribed
format.
Who may be a Declarant?
A declarant is any person who makes a goods declaration or in
whose name a goods declaration is made, and may be:
● The importer, being the holder of the BL or AWB;
● A customs broker acting under the authority of the importer
or from a holder of the bill; or
● A person duly empowered to act as agent or attorney-in-fact
for each holder of the bill consistent with international
standards and customs best practices.
In case the importer is a juridical person, a responsible officer who
must be an official of the business, shall be authorized to sign the
goods declaration as declarant on its behalf.
● For corporations, the responsible officer must be authorized
by the Board of Directors to sign as the declarant on its
behalf, as shown by the corporate secretary's certificate.
● For partnerships, the responsible officer must be authorized
by the partners, as shown by the certification of the
managing partner.
● For sole proprietorships, the declarant may be the owner or
a responsible officer of the business authorized under oath
by the owner
Rights and Responsibilities of the Declarant
1. The declarant shall be responsible for the accuracy of the
goods declaration and for the payment of all duties, taxes
and other charges due on the imported goods.
2. The Customs Broker shall likewise be responsible for the
accuracy of the goods declaration but shall not be
responsible for the payment of duties, taxes and other
charges due on the imported goods.
3. The declarant shall sign the goods declaration, even when
assisted by a Customs Broker, who shall likewise sign the
goods declaration.
[CUSTOMS5] MODULE 4
SEC. 419. Examination of Goods - Examination of goods, when
required by the Bureau, shall be conducted immediately after the
goods declaration has been lodged. Priority in the examination
shall be given to live animals, perishable goods and other goods
requiring immediate examination.
Whenever necessary, a system of coordination and joint
examination of goods shall be established by the Bureau and
other regulatory agencies under existing laws and regulations.
As a general rule, the Bureau may examine the goods in
the presence of the declarant or the authorized representative.
Examination of the goods in theabsence of the declarant or
authorized representative may be allowed in exceptional
circumstance and valid justifiable grounds, as may be defined by
regulations promulgated by the Secretary of Finance, upon
recommendation of the Commissioner. The Bureau may require
the declarant to be present or to be represented at the
examination of the goods or to render any assistance necessary to
facilitate the examination.
The Bureau shall take samples of the goods only when
needed to establish the tariff description and the value of the
goods declared, or to ensure compliance with this Act. Samples
drawn shall be as minimal as possible.
SEC. 420. Conditions for Examination - Pursuant to internationally
accepted standards, the Bureau may adopt non-intrusive
examination of goods, such as the use of x-ray machines.
Physical examination of the goods shall be conducted when:
a. it is directed by the Commissioner on account of a
derogatory information;
b. the goods are subject to an Alert Order issued by the
competent authority;
c. the goods are electronically selected for physical
examination;
d. there are issues and controversies surrounding the goods
declaration and the import clearance process; or
e. the importer or declarant requests for the examination of
the goods.
The Commissioner may exempt from physical examination the
goods of authorized economic operators or of those provided
under any existing trade facilitation program of the Bureau.
Physical examination, when required, shall be conducted in an
expeditious manner.
SEC. 421. Duties of Customs Officer Tasked to Examine the
Imported Goods - In the examination, classification, and valuation
of the goods, the customs officers shall:
a. determine whether the packages for examination and
their contents are in accordance with the goods
declaration, invoice and other pertinent documents;
b. take samples of the imported goods for examination or
laboratory analysis when necessary;
c. issue a receipt for a sample taken and retained during
examination; and
d. report whether the goods have been correctly declared as
to value, quantity, measurement, weight, tariff
classification and not imported contrary to law
Failure on the part of the customs officer to perform the above
duties shall be penalized according to Section 1431 of Title XIV of
this Act.
SEC. 422. Customs Expenses Constituting Charges on Goods - The
cost of the examination shall be for the account of the importer or
exporter, subject to proper accounting and documentation. All
expenses incurred by the Bureau for the handling or storage of the
goods and other necessary operations shall be chargeable against
the goods, and shall constitute a lien thereon.
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