CUSTOMS AND

TARIFF CODE OF THE

PHILIPPINES
BY: RONALYN M. DELOS SANTOS
 CUSTOMS
CUSTOMSAND
AND TARIFF
TARIFF CODECODE
OF THE
OF THE
PHILIPPINES
PHILIPPINES
BY: RONALYN M. DELOS SANTOS
BY: RONALYN M. DELOS SANTOS

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Nature of Tariff and Customs Duty

TARIFF CUSTOMS DUTIES

is the list or schedule of articles is the name given to taxes on
in which a duty is imposed the importation and exportation
upon the importation into the of commodities, the tariff or tax
country with the rates at which assessed upon merchandise
they are severally taxed. imported from, or exported to,
a foreign country.
 customs duties
 toll or tribute payable
 rate of customs
 list of articles liable to
duties.
Nature of Tariff and Customs Duty

TARIFF CUSTOMS
Concept of Good for Customs duty purposes:
As to Imported Articles:
All articles when imported from any foreign country into the Philippines shall be subject to duty upon
each importation even thought previously exported from the Philippines. Except as otherwise
specifically provided for in the code or other laws
As to Exported Articles
Certain articles like specific types of wood, mineral plant, vegetable and animal products are
subject to tariff and premium duties.
Note: Articles: When used with reference to importation or exportation includes goods, wares and
merchandise and, in general anything that maybe made the subject of exportation and importation.

Liability of Importer for Custom Duties:

A personal debt which can be discharged only by payment in full thereof;

A lien upon the imported article while they are in custody or subject to the control of the
government.
 Transactions Covered
Transportation of
Importation of Exportation of
Passengers and
Goods Goods
Cargoes

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Classification of Articles Under TCC
1. Free
- goods which may be freely imported into and exported from the Philippines without need for
import and export permits, clearances or licenses, unless otherwise provided by law or
regulation. (Section 116, CMTA)

2. Regulated
- goods that are subject to regulation and which shall be imported or exported only after
securing all the necessary requirements prior to importation or exportation. In case of
importation, submission of requirements after arrival of the goods but prior to release from
customs custody shall be allowed but only in cases provided for by governing laws or
regulations. (Sec. 117, CMTA)
Classification of Articles Under TCC
3. Prohibited
- goods enumerated under Section 118 of CMTA and all other goods, the importation and
exportation of which are explicitly prohibited by law or rules and regulations issued by the
competent authority.
 goods advocating treason, rebellion and etc. against the government of the
Philippines
 goods designed, intended or adapted for producing unlawful abortion
 Immoral, obscene or insidious goods
 goods classified as infringing under the Intellectual Property Code
 those prohibited under special laws

Note: Prohibited importations are subject to forfeiture whether the shipper and the
consignee are one and the same person.
Classification of Articles Under TCC
4. Restricted
- goods enumerated under Section 119 of CMTA, the importation and exportation of
which are prohibited except when authorized by law or regulation.

 weapons of war
 gambling devices
 gambling narcotics or prohibited drugs
 those prohibited under special laws
Classification of Customs Duties
Regular/ordinary duties
these are duties imposed on imported articles that enter
the country of the Philippines in avoidance with the
schedules and classifications provided under the CMTA.
Regular/ordinary duties
imposed in addition to regular or ordinary duties
principally in order to protect local industries against
unfair competition from foreign manufacturers or
producers, consumers against possible deceptions,
and national interest.

 Dumping duty
 Ad valorem duty  Safeguard duty
 Countervailing duty
 Specific duty
 Marking duty
 Discriminatory/Retaliatory duty
Bases of Assessment of Duty
Transaction Value System
The transaction value shall be the price actually paid or
payable for the goods when sold for export to the
Philippines adjusted in accordance with the provisions
of this section (Sec 701, CMTA).

When value cannot be ascertained?

 Bases of Assessment of Duty
Following values are to be utilized in their sequence:
2nd
Transaction Value of
3rd
Sum of the following: Identical Goods
• Direct materials &
labor
Transaction Value of "Identical goods"
• Operating expenses
4th Similar Goods refer to goods
it shall be determined which are the same
• Profit
by using other "Similar goods" in all respects,
• Freight
reasonable means and Deductive Value – refer to goods including physical
on the basis of data which, although not characteristics,
available in the based on the unit alike in all respects, quality and
Philippines. Computed Value price at which the have like reputation.
imported goods or characteristics and
5th identical or similar similar component
Fallback Value imported goods are materials which
sold in the enable them to
perform the same
6th Philippines
functions and to be
commercially
interchangeable.
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 Classification of Custom Duties

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unique zing and appeal to your Presentations.
You can simply impress your audience and add a
unique zing and appeal to your Presentations.
Get a modern PowerPoint Presentation that is
beautifully designed.

Get a modern PowerPoint Presentation that is

beautifully designed. Easy to change colors,
photos and Text.
 Contents A
Columns Get a modern PowerPoint Presentation that
is beautifully designed. I hope and I believe
that this Template will your Time, Money and
Reputation. Easy to change colors, photos
and Text. Get a modern PowerPoint
Infographic Presentation that is beautifully designed. I
hope and I believe that this Template will
your Time, Money and Reputation. Easy to
change colors, photos and Text. Get a
modern PowerPoint Presentation that is
beautifully designed. I hope and I believe
Columns that this Template will your Time, Money and
Infographic Reputation. Easy to change colors, photos
Simple and Text. Get a modern PowerPoint
Presentation that is beautifully designed. I
Portfolio hope and I believe that this Template will
Designed your Time, Money and Reputation.
You can simply impress your audience and
add a unique zing and appeal to your
Presentations.
Get a modern PowerPoint Presentation that
is beautifully designed.
Contents B
Get a modern PowerPoint Presentation that
is beautifully designed. I hope and I believe
that this Template will your Time, Money and
Reputation. Easy to change colors, photos
and Text. Get a modern PowerPoint
Presentation that is beautifully designed. I
hope and I believe that this Template will
your Time, Money and Reputation. Easy to
change colors, photos and Text. Get a
modern PowerPoint Presentation that is
beautifully designed. I hope and I believe
that this Template will your Time, Money and
Reputation. Easy to change colors, photos
and Text. Get a modern PowerPoint
Presentation that is beautifully designed. I
hope and I believe that this Template will
your Time, Money and Reputation.
You can simply impress your audience and
add a unique zing and appeal to your
Presentations.
Get a modern PowerPoint Presentation that
is beautifully designed.
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You can Resize without

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You can Change Fill
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 Fully Editable Icon Sets: C

You can Resize without

losing quality
You can Change Fill
Color &
Line Color

FREE
PPT
TEMPLATES
www.allppt.com