CAO 1-2019 Flashcards
shall refer to any person who is a bona fide holder of a valid Certificate of Registration or Professional Identification Card issued by the Professional Regulatory Board and Professional Regulation Commission pursuant to Republic Act No. 9280, as amended, otherwise known as the “Customs Brokers Act of 2004”
Customs Broker
shall refer to the completion of customs and other government formalities necessary to allow goods to enter for consumption, warehousing, transit or transshipment, or to be exported or placed under another customs procedure under the following Customs regimes:
Customs Clearance
shall refer to the procedure of making the final payment of duties and taxes and other charges at the port of entry and the legal permit for withdrawal has been granted.
Customs Clearance for Consumption Entries
shall refer to the procedure of filing of goods declaration and the duties and taxes has been secured to be paid at the point of entry and the legal permit for withdrawal has been granted.”
Customs Clearance for Warehousing Entries
shall refer to the customs procedure under which goods, in its original form, are given permit to be transported under customs control from one customs office to another, or to a free zone.
Customs Clearance for Transit Entries
shall refer to the customs procedure under which goods are given permit to be transferred under customs control from the importing means of transport to the exporting means of transport within the area of one customs office, which is the office of both importation and exportation.
Customs Clearance for Transshipment Entries
shall refer to the commission or omission of any act resulting in material false statements such as, but not limited to, the submission of false or altered documents in connection with any importation knowingly, voluntarily and intentionally done to reduce the taxes and duties paid or to avoid compliance with government regulations related to the entry of Regulated?, Prohibited or Restricted goods into Philippine customs territory through Misdeclaration, Misclassification or Undervaluation,
Fraud
shall refer to special economic zones registered with the Philippine Economic Zone Authority (PEZA) under Republic Act No. 7916, as amended, duly chartered or legislated special economic zones and freeports such as Clark Freeport Zone; Poro Point Freeport Zone; John Hay Special Economic Zone and Subic Bay Freeport Zone under Republic Act No. 7227, as amended by Republic Act No. 9400; the Aurora Special Economic Zone under Republic Act No. 9490, as amended; the Cagayan Special Economic Zone and Freeport under Republic Act No. 7922; the Zamboanga City Special Economic Zone under Republic Act No. 7903; the Freeport Area of Bataan under Republic Act No. 9728; and such other freeports as established or may be created by law.
Free Zones
Importer-of-record or consignee, owner or declarant, or a party who
Importer
Importer-shall refer to the following:
Importer-of-record or consignee, owner or declarant, or a party
who:
a. imports goods into the Philippines or withdraws admitted goods from the Free Zones into the customs territory for consumption or warehousing; files a claim for refund or drawback; or transports or stores such goods carried or held under security; or
b. knowingly causes the importation or transportation or storage of imported goods referred to above, or the filing of refund or drawback claim.
3.5.2.A person ordering imported goods from a local importer or supplier in a domestic transaction if:12
a. the person placing the order controls the material terms and conditions of the importation;
b. the person placing the order and the Importer or supplier are related in such a way that the former may be considered as the beneficial or true owner of the imported goods, as may be exemplified by the following circumstances:
i. the person placing the order is the sole buyer of the goods imported by the Importer-of-record;
ii. the Importer-of-record is an affiliate of the juridical entity which placed the order; or
iii. the Importer-of-record and the entity which placed the order are owned by the same set of majority stockholders, whether nominal or beneficial, in both corporations;
c. the person or entity placing the order furnished the Importer or the exporter with technical data, molds, equipment, other production assistance, material, components, or parts with knowledge that these will be used in the manufacture or production of imported goods or the goods to be imported.
3.5.3. A person whose activities require the filing of a goods declaration;13 or
3.5.4. An agent of the Importer as described in Section 3.5.1. of this CAO 14
shall refer to a mechanical, electronic or clerical error committed unintentionally by the Importer and occurred notwithstanding the maintenance of internal controls necessary to avoid such errors. Inadvertent Error as used in this CAO amounts to simple Negligence.
Inadvertent Error
shall refer to persons authorized to bring imported goods into Free Zones, such as the special economic zones and free ports.
Locators
shall refer to the use of insufficient or wrong description of the goods or the use of erroneous tariff headings resulting in deficiency between the duty and tax that should have been paid and the duty and tax actually paid and/or to avoid compliance with government regulations related to the entry of Regulated, Prohibited or Restricted goods into Philippine Customs territory
Misclassification
shall refer to a false, untruthful, erroneous or inaccurate declaration as to quantity, quality, description, weight or measurement of the goods resulting in deficiency between the duty and tax that should have been paid and the duty and tax actually paid and/or to avoid compliance with government regulations related to the entry of Regulated, Prohibited or Restricted goods into Philippine customs territory
Misdeclaration
Negligence shall refer to failure to exercise reasonable care and competence, through act or acts of omission or commission, in ensuring that a statement made is correct resulting in a deficiency in taxes and duties paid
Negligence
