CAO 16-2019

Question 1

shall refer to the Bureau of Customs.

Answer 1

Bureau

Question 2

shall refer to the power of the government to acquire imported goods when the importers declared customs value is unconscionably low with reference to Section 4.2 hereof

Answer 2

Compulsory Acquisition

Question 3

shall refer to facilities for temporary storage of goods established and authorized by the Bureau pursuant to Title VIII, Chapter 2 of the CMTA. CFWs include yards, container freight stations, seaport temporary storage warehouses, airport temporary storage warehouses, and other premises for customs purposes

Answer 3

Customs Facilities and Warehouses (CFW)

Question 4

shall refer to the practice of paying uniform duty on certain categories of goods disregarding the quality, quantity and the actual value of the goods

Answer 4

Duty Benchmark

Question 5

shall refer to goods brought in from a foreign territory into Philippine territor

Answer 5

Imported goods

Question 6

shall refer to a public sale of goods by the Bureau in accordance with the Bureau of Customs and Commission on Audit’s rules and regulations.

Answer 6

Public Auction

Question 7

shall refer to wrongful declarations committed when: (a) the declared value fails to disclose in full the price actually paid or payable or any dutiable adjustment to the price actually paid or payable; or (b) when an incorrect valuation method is used or the valuation rules are not properly observed, resulting in a discrepancy in duty and tax to be paid between what is legally determined as the correct value against the declared value.

Answer 7

Undervaluation

Question 8

shall refer to the preliminary order issued by the Commissioner identifying the goods subject for Compulsory Acquisition. This notice shall ripen into a Warrant of Compulsory Acquisition (WCA) upon the affirmation of the Commissioner’s decision, or upon final resolution of the appeal.

Answer 8

Notice of Compulsory Acquisition

Question 9

shall refer to the decision of the Commissioner to acquire the goods subject for Compulsory Acquisition for a price equal to their declared customs value plus any duties already paid on the goods.”

Answer 9

Warrant of Compulsory Acquisition (WCA)

Question 10

Authority to Exercise Right of Compulsory Acquisition. The ___ of Customs has the sole authority to exercise, ___, or upon the recommendation of the District Collector, the power of ___.

Answer 10

Commissioner; motu propio, compulsory acquisition

Question 11

Badges of Undervaluation.

Answer 11

• duty benchmarking
• information from foreign customs administration, report based on valid industry complaint, recommendation of reputable and recognized organizations

Question 12

A commodity is valued unconscionably low when the Bureau, after applying all the methods of valuation, still finds a discrepancy of at least ___ in the value declared as against other reference.

Answer 12

THIRTY PERCENT