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2022 REVIEW ON ADVANCE RULING: DEFINITION

CUSTOMS LAW LECTURE RECORDING IS NOT ALLOWED
BOC (CAO 3-2016/CMO 30- TC (Commission Order No.
DAY 03 - OTHER CMTA PROVISIONS ON CUSTOMS CLaP Escolta lectures are protected under R.A. 2016) 2017-01)
ADMINISTRATION PRINCIPLES AND ADVANCE No. 4200 and other laws, rules and regulations An official written and binding An official written decision
RULING on recording of public communication. ruling issued by the issued by the Commission
Commissioner which provides which provides the Applicant
CLaP REVIEW MATERIALS ARE PROTECTED UNDER THE the requesting person with an
assessment of: (1) origin, or with the appropriate tariff
INTELLECTUAL PROPERTY LAW AND THE LAW OF KARMA. THE classification of goods under
MATERIALS ARE DISTRIBUTED TO THOSE ENROLLED IN THE CBLE (2) treatment to be applied on the AHTN prior to importation
REVIEW FOR THEIR EXCLUSIVE USE ONLY. ENROLLEES ARE NOT certain elements of customs
ALLOWED TO REPRODUCE, DISTRIBUTE, SHARE UNDER THE PAIN value, prior to an import or or exportation.
OF CRIMINAL PROSECUTION AND THE HARSH PUNISHMENT OF export transaction for a
KARMA OF DIFFICULTY IN PASSING THE CBLE AND DIFFICULTY IN specified period.
DEALING WITH CUSTOMS AND TARIFF MATTERS FOR LIFE.
UNAUTHORIZED RECIPIENTS ARE LIKEWISE FOREWARNED! Ruling only benefits the
requesting party.
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T C (C o m m is s io n O r d e r N o . 2 0 1 7 -0 1 )
T C (C o m m is s io n O r d e r N o . 2 0 1 7 -0 1 )
T C (C o m m is s io n O r d e r N o . 2 0 1 7 -0 1 )

TC (Commission Order No. BOC (CAO 3-2016/CMO 30- TC (Commission Order No. BOC (CAO 3-2016/CMO 30- TC (Commission Order No.
BOC (CAO 3-2016/CMO 30-2016) 2017-01) 2016) 2017-01) 2016) 2017-01)
• Condition: Must relate only • Shall cover only one Procedure for filing application Submit 3 copies of application Grounds for non-acceptance (1) Application is not in the
to one good or product product or goods and fee: An importer, a Foreign
Exporter or its authorized agent form together with supporting of an application: Any request prescribed application form;
• Period to file application: • Should be filed at least 90 shall apply electronically for an documents and samples, if that does not comply with (2) If it is not possible to
At least 90 calendar days days before the date of Advance Ruling to the Office of required. TC shall assess the requirements (one product, determine tariff classification
the Commissioner (Attn:
before the date of the importation or exportation Technical Support Team – sufficiency of the filled-up specific information required, based on the presented
importation in question Advance Ruling. form and its supporting proof of payment) will be information/documents; (3)
which is the date of Together with the presentation documents before payment of rejected and returned to the Request pertains to multiple
lodgment of goods of proof of payment of non- fees and assignment of a Applicant. goods under different sub-
refundable Advance Ruling
declaration Application Fee of P1,500.00 unique application reference A written order identifying headings as ascertained by TC;
• Persons who may apply: • Importer, Domestic Downloadable Advance Ruling number. the information missing from (4) The application is filed less
Exporter or Foreign Form in BOC Website and pay than 90 days before
Importer, Foreign Exporter • Current fee: P1,000 the request and with a clear
or Foreign Producer, or Exporter or apply thru their at BOC in-house bank (Land statement why a ruling cannot importation or exportation;
authorized representative. Bank of the Philippines)
apply thru their authorized Foreign applicants: payment be issued. (5) Non-payment of filing fees.
representative thru wire transfer
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BOC (CAO 3-2016/CMO 30- TC (Commission Order No. BOC (CAO 3-2016/CMO 30- TC (Commission Order No.
MAY B

BOC (CAO 3-2016/CMO 30- THE

TC (Commission Order No.
2016) 2017-01) 2016) 2017-01) 2016) 2017-01)
Time frame to issue ruling: TC may requests for addt’l Grounds for non-issuance, (1) Failure to provide the
Acknowledgment of Within 10 days, TC shall Within 30 working days from information anytime during the denial: (1) Issue involves a required additional
application: Within 15 acknowledge receipt of receipt of application or prescribed period to issue ruling. matter before the courts or is
additional documents or information within the
working days acknowledge application and notify information.
Applicant shall submit additional subject of administrative review,
information or allow on-site required period; (2) Goods
electronically receipt of the applicant of the need for At any time during the course of or under post clearance audit;
involved are subject of a
verification within 10 days from (2) A request for Ruling on the
application. additional information and an evaluation of a request, BOC
date of receipt of notice. pending court litigation or of
may require additional same goods is already filed by
on-site verification. an administrative review or
information which shall be Pending submission of the the same Applicant. (3) An
submitted within 30 days from additional information or on-site earlier request filed by an agent of an appeal involving tariff
the date of receipt of the notice. verification the running of the shall be declined if a latter classification; (3) Applicant
Such period may be extended 30-day period to issue ruling request is filed by the principal. did not allow on-site
upon request. shall stay. (4) A Ruling on the same goods verification; (4)
Within 30 days from receipt of has been issued to the same Misrepresentation; (5) other
Within three (3) days from requesting person. (5) Request is
issuance of a ruling, the issuing the application, sufficient in similar cases.
form and substance or upon the based on hypothetical situation.
authority shall notify the Applicant shall be promptly
requesting party of such ruling. submission of all additional Applicant shall be notified
documents required. through electronic means citing notified in writing and reasons
(Sec. 1501, CMTA)
the reasons for the denial. for non-issuance of ruling.
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BOC (CAO 3-2016/CMO 30- TC (Commission Order No. BOC (CAO 3-2016/CMO 30- YEARS
TC (Commission Order No. BOC (CAO 3-2016/CMO 30-2016) TC (Commission Order No.
2016) 2017-01) 2016) 2017-01) Revocation: Ruling may be 2017-01)
revoked or invalidated upon
Withdrawal of application: • An application may be Effectivity of Ruling and • Effective from the date of discovery the applicant
Modified whenever there is
Request is deemed withdrawn at any time Validity: Takes effect on the issuance an error, changes in material
withdrawn: date of issuance unless submitted incomplete, incorrect,
before the issuance of • Valid for 5 years from the false or misleading information. facts, change in law or judicial
Expressly: At the instance of Ruling another date is specified in decision or change in policy.
the applicant at any time ruling, provided that the facts date of issuance unless Revocation shall be retroactive.

before issuance of Ruling or circumstances on which the revoked or modified due to Modification: (a) clerical error; Modification is of prospective
Impliedly: (1) Applicant ruling is based remain changes in facts or (b) change of material facts and application.
imports less than 90 days unchanged as of the date of circumstances on which circumstances after issuance of
importation. Ruling was based. Ruling; (c) misleading
after filing of application or information based on excusable
submission of complete info Valid for 3 years from the
date of issuance, unless neglect or honest mistake; and
or documents. (2) Applicant (d) change of applicable law.
fails to submit additional shorter period is provided for
in the ruling due to the nature Prospective application.
information required within
prescribed period. of the application. Revalidation: Request for
revalidation shall be submitted
at least 90 days before expiration
of Ruling’s validity.
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BOC (CAO 3-2016/CMO 30- TC (Commission Order No. BOC (CAO 3-2016/CMO 30- TC (Commission Order No. BOC (CAO 3-2016/CMO 30- TC (Commission Order No.
2016) 2017-01) 2016) 2017-01) 2016) 2017-01)
Appeal procedures: Applicant Ruling Adverse to government: Appeal procedures: Applicant Ruling Adverse to Applicant: MR Publication and Confidentiality Published in TC website and
aggrieved by the issuance of Original copies of Ruling shall be aggrieved by the issuance of may be filed within 10 days from The publication shall contain copy deposited to its Records
furnished to the Applicant, BOC receipt of ruling for mistake of information on the goods
Ruling, modification, Ruling, modification, involved, the body or summary Section.
revocation or invalidation Commissioner and DOF revocation or invalidation fact and excusable negligence or of the ruling, particularly the
Secretary. Ruling is binding upon newly discovered evidence or grounds relied upon to support All information provided on
may, within 15 days from may, within 15 days from the ruling, but shall exclude the confidential basis shall be
BOC. information not discovered
receipt of Ruling, file a motion receipt of Ruling, file a motion name of the requesting party treated as confidential and
If BOC deems the ruling is during the application. TC shall and other information which by
for reconsideration. In case of for reconsideration. In case of resolve the MR within 10 days shall not be disclosed unless
adverse to government, it shall their very nature are
denial of MR, an appeal with denial of MR, an appeal with from receipt. Only 1 MR is confidential, including those upon written permission of
within 5 days from receipt of
CTA may be filed within 30 CTA may be filed within 30 allowed. Judicial Appeal: An which the requesting party Applicant or government
Ruling, elevate the same to the indicated in its application as
days from receipt of MR Secretary of Finance for review days from receipt of MR appeal may be filed with CTA confidential in nature. Except in agency who provided such
denial. who shall automatically review denial. within 30 days from receipt of the context of judicial information or to the extent
Ruling within 15 days from denial of MR, or of the decision proceedings, any disclosure of that it may be required to be
of the Sec. DOF in case of confidential information under
receipt of BOC notice. When no this section shall not be made disclosed in the context of
decision is rendered within the reversal of TC Ruling issued except upon the written consent
when BOC elevates a Ruling it
judicial proceedings.
period TC Ruling shall be deemed of the beneficiary of the advance
confirmed. deemed adverse to government. ruling. (Sec. 1502, CMTA)
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HANDLING OF CONFIDENTIAL PENALTIES

INFORMATION RECORDSKEEPING REQUIREMENTS
1. Commission of any of the following acts shall be
• If a requesting person has difficulty obtaining penalized as follows:
• Requesting person
proprietary information from the producer or foreign 1. Intentional misrepresentation of any material fact
– to keep all supporting records for a request for regarding an application for advance ruling shall be
supplier, they may request the producer or foreign not less than 3 years from the date request is penalized by the rejection of the request and the
supplier to electronically send the information directly submitted to BOC revocation of an advance ruling if already issued.
to BOC or to TC. • BOC 2. Submission of counterfeit or otherwise false or
• All proprietary information provided to BOC should be – all requests and supporting records to be kept inaccurate documents in support of a request shall
treated as confidential and shall only be used for that for not less than 3 years from the date the be panelized by the rejection of the request and the
request is submitted revocation of an advance ruling if already issued.
particular purpose. - Above penalties shall be without prejudice to the
imposition of other penalties under CMTA and the
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applicable laws, rules and regulations. 18

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DUTY OF DISTRICT COLLECTOR TO REPORT AUTHORITY OF OFFICIAL TO ADMINISTER

CUSTOMS FEES AND CHARGES
RULINGS TO THE COMMISSIONER OATHS AND TAKE TESTIMONY
• The Commissioner, District Collectors and their • For services rendered and documents issued by the
• When any new or unsettled question shall be
deputies, and other customs officers especially Bureau, dues, fees, and charges shall be collected as
determined by a District Collector,
deputized by the District Collector shall have may be provided under existing regulations:
– and if the matter is not otherwise appealed for
authority to administer oaths and take testimony in – issued by the Secretary of Finance,
review in the ordinary course,
connection with any matter within the jurisdiction • upon the recommendation of the
– the District Collector shall notify the
of the Bureau and, in connection therewith, may Commissioner.
Commissioner of the decision and submit an
adequate statement of the facts involved. (Sec. require the production of relevant papers, • The Secretary of Finance may, upon the
1503) documents, books and records in accordance with recommendation of the Commissioner, increase or
law. (Sec. 1505) decrease the dues, fees, and charges collectible by
the Bureau to protect the interest of the
government
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CUSTOMS SERVICE FEES CUSTOMS OFFICIALS NOT LIABLE IN RESPECT

TESTIMONY IN WRITING TO RULING IN CUSTOMS CASES
• Customs personnel may be assigned by a District • When testimony is taken in any proceeding or
Collector to render overtime work and other • Every District Collector or other officials of the
matter under the authority of the Bureau, either Bureau shall not be in any way personally liable
customs services and shall be paid for such services party may require that the testimony shall be made
by the Bureau according to service fees fixed by the on account of any official ruling or decision as to
in writing, and when so taken, the written which the person claiming to be aggrieved has
Commissioner and approved by the Secretary of testimony shall be filed in the Office of the District the right to obtain either an administrative or
Finance. Collector and to be preserved for use or reference judicial review.
• The Bureau may charge additional customs service until the final decision has been reached. (Sec. • Except for misdelivery of goods, a District
fees when applicable, subject to the rates 1509) Collector may not, in the absence of abuse of
prescribed under existing rules and regulations.
authority, be liable to any person for any loss
(Sec. 1508) occasioned either by the official act or the acts
of the subordinates. (Sec. 1510)
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INTEREST PROHIBITED TO BE HELD BY REWARD TO PERSONS INSTRUMENTAL IN THE

BOC REWARDS COMMITTEE
CUSTOMS EMPLOYEES ACTUAL COLLECTION OF ADDITIONAL DUTIES
ARISING FROM THE DISCOVERY OF CMTA
• Any person employed under the authority of the Chairman – Dep. Comm., IAG
VIOLATIONS
government in the assessment of duties, taxes, fees, Vice-Chairman – Dep. Comm., RCMG
and other charges in connection with imports or • A cash reward equivalent to 20% of the actual proceeds
Members:
exports, shall not own, either in whole or in part, any from the sale of smuggled goods and confiscated goods
vessel or aircraft or act as attorney, agent or consignee or actual collection of additional revenues shall be given Director – Administrative Office
for the owner of any vessel or aircraft or of any cargo to the customs and non-customs informers or whistle Director – Collection Service
loaded on board the vessel or aircraft; and shall not blowers who are instrumental in the collection of Director – Financial Management Office
import or be involved, directly or indirectly, in the additional revenues arising from the discovery of Chief – Auction and Cargo
importation of any goods for sale into the Philippines. violations of CMTA Disposal Division
(Sec. 1511) – in accordance with the rules and regulations to be
issued by the Secretary of Finance. (Sec. 1512)

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OUTSOURCING OF NON-SOVEREIGN
CUSTOMS FUNCTIONS TO PRIVATE CUSTOMS SOVEREIGN FUNCTIONS CUSTOMS SOVEREIGN FUNCTIONS
ENTITIES 1. Assessment and collection of customs revenues, dues, fees, 7. Supervision and control over the handling of foreign mails
charges, fines and penalties arriving in PH for the purpose of collecting revenues and
• Subject to the approval of the Secretary of Finance, 2. Prescribe simplified and harmonized customs procedures to preventing entry of contraband
the Bureau may outsource any of its non-sovereign facilitate movement of goods in international trade 8. Supervision and control of import and export cargoes on
and ancillary function to a qualified and competent 3. Border patrol and control to prevent entry of smuggled CFWs
private entity in accordance with government rules goods 9. Exercise exclusive original jurisdiction over forfeiture cases
on service procurement. (Sec. 1513) 4. Prevention and suppression of smuggling and other 10. Enforcement of CMTA and other laws, rules and regulations
customs fraud related to customs administration
5. Facilitation and security of international trade and 11. Such other sovereign functions as may be provided by law
commerce through an informed compliance program
6. Supervision and control over the entrance and clearance of
vessels engaged in foreign commerce
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POLICIES IN THE OUTSOURCING OF NON- INTERNATIONAL STANDARDS AND

NON-SOVEREIGN FUNCTIONS SOVEREIGN FUNCTIONS
BEST PRACTICES
1. Fuel marking services 1. Subject to conditions under R.A. No. 9184 or the
2. VASP “Government Procurement Reform Act;
• The Bureau may adopt international standards and
2. Those which involve direct financial or material assistance
best practices in customs administration laid down by
3. All other non-sovereign/ancillary functions as determined
to BOC or projects covered by R.A. No. 8182 or the ‘Official international agreement or convention pertaining to
1. E-TRACC
Development Assistance Act of 1996” shall be done in trade facilitation, supply chain security, and related
accordance with existing laws, rules and regulations. matters, whether or not the Philippines is signatory to
3. All outsourcing shall be approved by the Secretary of such international agreement or convention. (Sec.
Finance upon the recommendation of the Commissioner 1514)

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CONGRESSIONAL CUSTOMS AND TARIFF COMMITTEE FUNCTIONS COMMITTEE SHALL REQUIRE SUBMISSION
OVERSIGHT COMMITTEE OF PERTINENT INFORMATION
Composition: In aid of legislation: Included in the information that shall be submitted:
1. Chairperson, Senate Ways and Means Committee 1. Monitor and ensure the proper implementation of 1. Industry audit
2. Chairperson, House Ways and Means Committee CMTA;
2. Collection performance data; and
3. Four members from Senate and House 2. Review the collection performance of the Bureau
of Customs; and 3. Status report on administrative, civil and criminal
- to be designated by Senate President and actions initiated against persons. (Sec. 1700)
Speaker of the House of Representatives 3. Review the implementation of the programs of the
Bureau of Customs.

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TRANSITORY PROVISIONS SAVING CLAUSE REPEALING CLAUSE

• All other laws, acts, executive orders, and CAOs, • PD 1464, otherwise known as TCCP of 1978, as
• All suits, proceedings, or prosecutions whether civil
CMOs, orders, memoranda, circulars, rules and amended, and Presidential Decree No. 1853 which
or criminal, for causes arising or acts done or
regulations issued by the Bureau, under the require any applicant for letter of credit covering
committed prior to the effectivity of CMTA, shall be
provisions of Presidential Decree No. 1464, otherwise imports to deposit the full amount of duties due on the
commenced and prosecuted within the same time
known as the Tariff and Customs Code of the importation, are hereby expressly repealed.
in the same manner and with the same effect as if
Philippines, as amended, not inconsistent with the • All other laws, acts, presidential decrees, executive
CMTA had not been enacted and all rights acquired,
provisions of CMTA, shall remain valid unless the orders, rules and regulations or parts thereof
offenses committed, and penalties or forfeitures or
same will be repealed or amended accordingly, inconsistent with the provisions of CMTA are hereby
liabilities waived prior to the said effectivity shall
pursuant to the provisions of CMTA. (Sec. 1802) expressly repealed, amended or modified accordingly.
not be affected thereby. (Sec. 1801)
(Sec. 1803)

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SEPARABILITY CLAUSE

• If any provision of CMTA is declared invalid or

unconstitutional, the remaining provisions or parts
shall remain in full force and effect. (Sec. 1804)

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