Question & AnswerQ&A (BOC CUSTOMS MEMORANDUM ORDER NO. 26 - 2008)
The order addresses importations entered under warehousing entries but subsequently converted to consumption entries, particularly concerning raw materials destined for customs manufacturing warehouses.
It seeks to prevent the defeat of the rationale of customs bonded warehouses due to the payment of taxes and duties and withdrawal of goods entered under warehousing entries without proper controls.
The warehouse operator must apply in writing for the payment of taxes and duties on the goods and their eventual withdrawal, providing valid reasons that are subject to approval.
The Customs Bonded Warehouse Committee, as recommended by the operating division and District collector concerned.
To conduct a review of the concerned customs bonded warehouse license and to consider removing items from the authorized list or reducing the volume of authorized importation based on domestic sales.
Except for Public and Private Customs Bonded Warehouses, the withdrawal for domestic consumption shall not exceed 30% of a particular shipment.
The Formal Entry Division or equivalent unit.
Clearance from VRIS-OCOM is required.
CMO 1-2005.
It took effect immediately upon its adoption on June 5, 2008.