Question & AnswerQ&A (Act No. 230)
Act No. 230 is an Act to revise and amend the tariff laws of the Philippine Archipelago, specifying customs duties on imports, exports, tonnage duties, and wharf charges.
Articles exempt from duty include natural mineral waters, trees and plants, copper, gold and silver ores, certain samples, Philippine products exported and returned without value added, precious metals in certain forms, fresh fruits and produce, fresh meat except poultry, fresh eggs and milk, certain precious stones, works of art, scientific and educational books, and articles imported for government use.
Textiles composed of two materials are dutiable based on the quantity and type of threads of each material, with specified threshold proportions (one-fifth) determining the applicable duty class and possible surtaxes.
The number of threads is the total of warp and weft threads in a six-millimeter square, counted usually on the obverse side; in woolly textiles or when threads are indistinct, on the reverse side after rasping or burning if necessary; in doubtful cases, the most closely and loosely woven parts are averaged; if impossible, it is dutiable at the highest applicable rate.
Prohibited importations include dynamite, gunpowder, similar explosives, firearms without authorization, obscene or indecent printed matter or objects, and gambling devices or machines dependent on chance.
Surtaxes apply for brocades, embroidery, metallic threads, and made-up articles, calculated on the duties leviable on the textile, and may be additive when multiple reasons for surcharge exist.
Gold, platinum, and their alloys in jewelry or plate pay duties per net weight in hectograms ranging from $3.00 to $25.00 depending on type; silver similarly ranges from $0.80 to $15.50; plated gold and silver wares pay about $2.00 to $2.40 per kilo.
Duties on multi-material goods are assessed based on the component material of chief value, and if the article resembles multiple enumerated items with different duties, the highest applicable duty rate is charged.
Goods exported abroad that are reimported due to non-sale at the destination are exempt from duty if accompanied by appropriate certification, with exceptions for abaca which requires no certificate.
Tonnage dues of six cents per net ton are levied on vessels entering from outside the Philippines; vessels can opt to pay twenty cents per thousand kilos of cargo in lieu of tonnage tax. Exemptions apply to government, distress, foreign non-trading vessels, and certain yachts.