ALCOHOL PRODUCTS
Sample Problem:
DISTILLED SPIRIT
Brief Description:
Distilled Spirit, alcoholic
beverage (such as brandy,
whiskey, rum, or arrack)
that is obtained by
distillation from wine or
other fermented fruit or
plant juice or from a
starchy material (such as
various grains) that has
first been brewed. The
alcoholic content of
distilled liquor is higher
than that of beer or wine.
Sample Problem:
An importer will release
from Customs custody
1250 cases of Whisky
from Netherlands. Entry
showed an amount of P
594,720 specific tax
inclusive of VAT, if each
bottle has a volume
capacity of 750ml with
NRP/btl of Php 310.00
and degree of strength
of 40% which is the total
ET to be paid before said
shipment can be cleared
to Customs.
An imporation of 350
drums of Ethyl alcohol
with total volume of
1080 deciliters paid a
toal amount of
P2,357,504.46 for
specific tax with
degree of strength
60%. On the other
hand, computed
ETHANOL customs duty
Ethanol is a clear, amounted to P46,800
colourless liquid with a based on 10% rate of
characteristic pleasant duty while the
odour and burning NRP/drum is P465.50.
taste. It is highlyFind ad valorem tax
flammable. Ethanol is due and payable.
used to dissolve other
chemical substances
and mixes readily with
water and many organic
liquids. Ethanol is
considered a volatile
organic compound by
the National Pollutant
Inventory. CUD = P46,800 ÷ 0.10
DV = P 468,000
T.AVT = T.DV x %PF x
.22
T.AVT = 468,000 x 1.2 x
.22
T.ST = 594,720 ÷ 1.12 T.AVT = P123,552
T.ST = P531,000
T.AVT = NRP/BTL x
T.NOB x %PF x 0.22
T.AVT = 310 x 1250 x
12 x 0.8 x 0.22
T.AVT = P818,400
T.ET = T.ST + T.AVT
T.ET = 531,000 +
818,400
T.ET = P1,349,400
 FERMENTED CIGARS
LIQUORS Brief Description
Brief Description:
A cigar is defined as
Beverages produced a roll of tobacco
by, or which have wrapped in leaf
WINES undergone, a process tobacco or in a
Brief Description of alcoholic substance that
fermentation, to contains tobacco.
which they owe their Cigars differ from
Wine, Alcoholic intoxicating cigarettes in that
beverage made from properties, including cigarettes are a roll
the fermented juice beer, wine, hard of tobacco wrapped
of grapes. Wine may cider, and the like, in paper or in a
also be made from but not spirituous or substance that does
various fruits and distilled liquors. not contain tobacco.
plant parts. Though
known by the
ancients, wine was
not drunk in its
matured form until
the development of
the bottle and cork in
the late 17th century. Sample Problem:
Velvet Vibes imported Sample Problem:
Sample Problem:
Ale Beer from America Compute for the
A shipment of 300 with 1,500 boxes in 330 excise tax per box for
cases still wines ml cans, with each box 100 boxes for an
containing 12 bottles containing 24 cans with importation of cigars
per case arrived at 5% alcohol content. which specific tax
Port of Batangas. If Compute for the specific paid amounting to P
each bottle had a tax of the given 191,348.64 inclusive of
volume capacity of shipment. VAT. The NRP per
750 milliliters per
T.ST = T.NOB x Vol.Cap/L x cigars is P 525 while
bottle and alcohol each box consists of
41
content of 16%, how
T.ST = 1,500 x 24 x 0.33 x 41 50 cigars.
much is the total
T.ST = P487.080 T.AVT = NRP/CIGAR x T.NO.
specific tax, net of
OF CIGARS x 0.20
VAT. T.AVT = 525 x (100*50) x 0.20
T.ST = T.NOB x T.AVT = P525,000
Vol.Cap x RATE T.ST = 191,348.64 ÷ 1.12
(59.55) T.ST = P170,847
T.ST = 300 x 12 x .75 T.ET = T.AVT + T.ST
x 59.55 T.ET = 525,000 + 170,847
T.ST = P160,785 T.ET = P695.847
CIGARETTES Sample Problem:
How much excise tax is
Brief Description: to be paid to an
A cigarette is a narrow importation of
cylinder containing a tobacco products
combustible material, especially made for
typically tobacco, that is chewing with a total
rolled into thin paper for weight of 386,967.55
smoking. The cigarette is lbs. Compute based on
ignited at one end, vat inclusive value.
causing it to smolder;
the resulting smoke is
orally inhaled via the
opposite end. Cigarette TOBACCO
smoking is the most Tobacco is a plant
common method of (Nicotiana tabacum
tobacco consumption. and Nicotiana rustica)
that contains nicotine,
an addictive drug with
both stimulant and
depressant effects.
Tobacco leaves are
used to make products 386,967.55 x 0.4536
that can be consumed =175,528.48
in different ways: T.ET = No. of
smoked in cigarettes, Packages x WT/kg x
cigars or pipes. (P2.60/kg)
smoked in loose form (P2.22/kg)
in hookahs (water T.ET = 175,528.48 x
Sample Problem: pipe) 2.22
T.ET = P389,673.23 x
Compute for the total 1.12
specific tax inclusive of T.ET = P436,434.02
value-added tax for a
shipment that contains
60 boxes of Menthol
Cigarettes. Each box
contains 50 reams and
each pack has 15 sticks. T.ST = T.NO. OF
PACKS x RATES (60)
T.ST = 60 x 50 x 10 x
60
T.ST = 1,800,000 x
1.12
T.ST = P2,016,000
 SALT CONVENTIONAL
NICOTINE FREEBASE
Brief Description: Brief Description
Nicotine salt (or nic
salt) is a type of Free base (freebase,
free-base) is a
HEATED naturally forming
descriptor for the
nicotine found in leaf
TOBACCO tobacco and when neutral form of an
blended with e-liquids, amine commonly used
Brief Description in reference to illicit
is the most efficient
Heated tobacco drugs. The amine is
way to deliver nicotine
products heat often an alkaloid,
to your body. It is
processed tobacco such as nicotine,
blended with flavoured
leaf, allowing users to cocaine, morphine,
e-liquid in 10ml bottles
inhale nicotine into and ephedrine, or
for MTL (mouth-to-lung)
their lungs. Some derivatives thereof.
kits
brands of heated
tobacco products
permitted for sale in
the United States
include IQOS and
Eclipse. More
research is needed to
understand the short- Sample Problem:
and long-term health An importation of 550
effects of heated packs of vapor products
tobacco products. containing nicotine salt Sample Problem:
has been delivered last
Sample Problem:
month. How much would An importation of 550
How much excise tas be the specific tax paid packs of vapor
inclusive of vat is to if there are 2 pods per products containing
be paid to an pack in which the classic nicotine. How
importation of heated container can handle up much would be the
tobacco products for to 1.25cc. specific tax with the
shipment of 100 inclusion of VAT if
T.ST =T.no. of pods x rate
cases, each pack has there are 5 pods per
T.ST = 550 x 2 x 52*2
18 units. pack in which the
T.ST = P114,400 x 1.12
container can handle
T.ET = T.no. of packs T.ST = P128,128
up to 8ml.
x Rate (P32.50)
T.ET = 100 x 50 X 10 x T.ST =T.no. of pods x
32.5 rate
T.ET = P1,625,000 x T.ST = 550 x 5 x 60
1.12 T.ST = P150,000 x 1.12
T.ET = P1,820,000 T.ST = P168,000
PETROLEUM According to the
CDC, consumption of
Brief Description: sweetened
Petroleum, also called beverages is also
crude oil, is a naturally associated with
occurring liquid found unhealthy behaviors
beneath the earth's like smoking, not
surface that can be PETROLEUM getting enough sleep
refined into fuel. A fossil T.ST = T.no. of and exercise, and
fuel, petroleum is packages x kg/L per eating fast food
created by the pack x rate often and not
decomposition of T.ST = 600 x 22.68 x enough fruits
organic matter over time 10 regularly.
and used as fuel to T.ST = 136,080 x 1.12 Sample Problem:
power vehicles, heating T.ST = P152,409.6
units, and machines, and 2. Compute for the Find the specific
can be converted into total specific tax for a tax for a shipment
plastics. shipment that contains of 150 cases of four
100 liters of petroleum seasons powdered
coke. juice, having 55
T.ST = 1OO x 0 packs and each
T.ST = P0.00 pack weight in 15
grams and each
gram can make 1
liter.
T.ST = Number of
boxes/cases x
btls/case x
content/btl(L) x
Sample Problem:
rate
1. Compute for the total T.ST = 150 x 55 x 1 x
specific tax inclusive of 6
value-added tax for a T.ST = P49,500
shipment that contains SWEETENED &
600 boxes of waxes. BEVERAGES
Each box weighs 50lbs. A sweetened beverage is
50lbs x .4536kg = any beverage with added
22.68kg sugar. It has been
described as "liquid
candy". Consumption of
sweetened beverages has
been linked to weight
gain, obesity, and
associated health risks.
 MINERALS
Brief Description: Sample Problem:
Mineral products are
inorganic natural 1. Compute for the
materials that are excise tax
sold on markets. inclusive of VAT
NON-ESSENTIAL These are industrial for the
and commercial importation of
Brief Description minerals that are coal weighs
used in 335,876lbs.
Non-essential means manufacturing,
not absolutely construction and by T.ET = T.MT x Rate
necessary. The crisis the chemical industry. T.ET = 335,876lbs x
has led to the closure Some mineral .4536kg / 1000
of a number of non- products are also sold T.ET = 152.35 MT x
essential government directly to consumers 150 x 1.12
services. non- as gems and T.ET = P25,594.8
essential goods. gardening products
Synonyms:
unnecessary,
peripheral,
unimportant,
superfluous. More
Synonyms of non- Sample Problem:
essential. 1. An importation in Port of
Sample Problem: Manila containing of
1. An importation in Motorized Jet ski, if the
Port of Manila given the freight P1200 is
containing of La Vie and FOB of 25,000 ,
compute for the total 2. An importation
Est Belle perfume, if of Silica sand
the given the excise tax paid if the E/R
id P49.58/$1.00 weighs
insurance is P1,500 246,685,988lbs,
and FOB of 2000, DV =FOB + INS + FRT invoice value shows
compute for the DV = 25,000 + 1000 + 1200 $ 65,000, compute
total excise tax = 27,200 x 49.58 = DV for the AVT if the
paid if the E/R id P1,348,576 x .20 E/R is
P55.5/$1.00 T.ET = P269,715.2 P56.76/$1.00.
DV =FOB + INS +
FRT 65,000 x 56.76 = DV
DV = 2000 + 40 + P3,689,400
1500 = 3,540 x 55.5 DV = 3,689,400 x
= DV P196,470 x .04
.20 T.AVT = P147,576
T.ET = P39,294
SEMESTRAL
OUTPUT
CAD 314

Prepared by :
COLLARIN, LADY JOANNE S.
BSCA - 3104