Holders of ATA Carnet, also known as “the passport for goods,” should take note of the regularization fee that the Bureau of Customs (BOC) will impose in case of failure to re-export goods imported under the ATA system.
Under Customs Administrative Order (CAO) No. 01-2023, a regularization fee shall be imposed “if evidence of re-exportation is not provided by the re-exportation counterfoil duly completed, signed, stamped, and dated by the Bureau.”
For the first offense, the regularization fee is Philippine peso amount equivalent to US$25. For the second or subsequent offenses, it is the peso amount equivalent to $50.
BOC in CAO 02-2022—the key order that prescribes the rules on implementing the ATA System in the country—says evidence of re-exportation of goods imported using ATA Carnet may be accepted if there is no re-exportation counterfoil completed and stamped by an authorized Customs officer of the Bureau.
One form of acceptable evidence is the particulars entered by the Customs authorities of another country in the Temporary Admission Papers on importation or re-importation or a certificate issued by those authorities based on the particulars entered on a voucher which has been detached from the papers on importation or on re-importation into their territory.
This is “provided that the particulars relate to an importation or re-importation which can be proved to have taken place after the re-exportation which it intended to establish,” states CAO 02-2022.
Another piece of acceptable evidence is “any other documentary proof that the goods (including means of transport) are outside the Philippines.”
This is provided that “a regularization fee shall be collected,” says CAO 02-2022.
With the launch of the ATA Carnet System in the country next month, it is important for those planning to apply for ATA Carnet to know the guidelines on the implementation of the system in the Philippines.
In general, importations into the Philippines are subject to duties and taxes. However, some goods may be allowed temporary admission with relief from the payment of duties and taxes under certain conditions. This is made possible under the World Customs Organization’s Customs Convention on Temporary Admission, also called the Istanbul Convention, which provides the mechanism for implementing the ATA Carnet system.
The ATA Carnet system allows the passage or free movement of goods temporarily admitted into a customs territory and conditionally free from duties and taxes. The goods are covered by temporary admission papers called the ATA Carnet.
The Philippines will roll out the ATA system on July 15, 2024, with the Philippine Chamber of Commerce and Industry as the authorized national issuing and guaranteeing association for the country.
Entrepreneurs and exporters wanting to access more markets through trade shows will save time and money through the ATA Carnet.
With the ATA Carnet, salesmen, exhibitors, and other business travellers can make advance customs arrangements at a predetermined cost, visit several countries, use the ATA Carnet for several trips during its one-year validity, and return to their home country with their goods without problems or delays.
The Philippines also benefits from being part of the ATA Carnet chain as importers will be allowed to bring in goods covered under the Istanbul Convention conditionally duty- and tax-free. For its part, the BOC will no longer need additional time and resources to process the temporary admission of scientific, professional and other goods and equipment.
