QuestionsQuestions (LTO ADMINISTRATIVE ORDER NO. AVT-2014-023)
The scope includes the revision of rules and regulations on the accreditation and stock reporting of manufacturers, assemblers, importers, rebuilders, dealers, and other entities authorized to import motor vehicles and/or its components (MAIRDOEs). It also covers returning residents owning motor vehicles under the No-Dollar Importation Program, embassy officials, tax-exempt vehicles, government agencies authorized to import motor vehicles, and individuals importing for personal use with a written undertaking not to sell within three years.
Any natural person at least 18 years old or any juridical person not disqualified by existing laws or regulations to engage in manufacturing, assembling, importing, selling, and rebuilding of motor vehicles can apply for accreditation.
Key documentary requirements include a duly accomplished application form under oath, business registration documents, Mayor's Permit, BIR certificate, SSS membership, financial statements, location maps and pictures, lease contracts if applicable, and an undertaking under oath confirming compliance with laws on manufacture, assembly, importation, sale, registration, and use of vehicles.
A Certificate of Accreditation is an authority granted by the LTO that allows MAIRDOEs to transact with the LTO related to stock reporting, sales reporting, and registration of motor vehicles and/or components.
The penalty for the first offense is a fine of Php 100,000.00.
For the second offense, a fine of Php 500,000.00 and suspension of up to six months may be imposed. For the third offense, the Certificate of Accreditation may be canceled, the entity blacklisted, and the Certificate of Stocks Reported, sales report, and registration canceled if warranted.
They formulate policy guidelines for MAIRDOEs accreditation, evaluate and validate applications, issue Certificates of Accreditation, monitor performance of accredited MAIRDOEs, maintain the registry of accredited entities, and perform other relevant functions.
Authorized representatives submit documentary requirements to the LTO Central Office, upload stock reports electronically, validate stencil images, print transaction summaries and Payment Order Slips, pay fees, and then print the Certificate of Stock Reported (CSR). They are liable for all stocks reported.
The LTO may impose administrative penalties including fines, suspension, or cancellation of accreditation and blacklisting. Additionally, criminal actions may be pursued against the concerned persons or entities.
Fees include a non-refundable application fee of Php 500.00, accreditation fee of Php 3,000.00 plus a Php 10.00 Legal Research Fund (LRF) for new accreditation, renewal fee of Php 1,000.00 plus LRF, expired accreditation fees, change of address fees, and other certification fees as prescribed.
The LTO has visitorial powers to inspect MAIRDOEs anytime during office hours to ensure compliance with the order and related laws, upon written instructions of the Regional Directors or Assistant Secretary.
They must inform the LTO in writing, under oath, stating the reasons for closure. A cease of operations notice will be issued, and resumption of operations requires compliance with new application requirements.
They evaluate and inspect new applications, recommend approval or disapproval, monitor compliance within their regions, and perform other relevant functions related to accreditation.
They must submit an application form under oath, commercial invoice or certificate of title, certificate of payment from BOC, packing list, import entry declaration, bill of lading, tax exemption certificate if applicable, and an undertaking under oath that stocks reported and sold comply with Philippine laws.