Definitions Relevant to Tax and Duty-Free Importation
- Book: As per UNESCO, a printed non-periodical publication with at least 48 pages (excluding covers), produced domestically and publicly available.
- Expanded definition includes children’s books under 48 pages, educational comics, "boomics" (educational book-comics hybrid), professional journals, and book catalogs/indexes.
- Relevant tariff headings are specified for classification and import description.
- Textbook: A book presenting generally accepted principles on a subject, primarily for classroom instruction.
- Book Title: A specific book with multiple copies printed.
- Commercial Book Importer: A person or entity engaged in importing and selling books for profit.
Tax Incentives on Imported Books
- All imported books conforming to the definition are duty-free except those excluded by other laws (e.g., pornographic books).
- Customs releases require compliance with NBDB and Bureau of Customs regulations.
- Importers, whether commercial, non-commercial, or recipients of donations, are entitled to tax and duty exemptions.
- Commercial importers must register with the NBDB.
Procedures for Importation
- No need for tax exemption certificates from the Department of Finance or NBDB; importers deal directly with the Bureau of Customs.
- Commercial importation procedures at Customs include:
- Preparation of entry declaration upon shipment arrival.
- Payment of a P250 import processing fee.
- Submission of required documents (bill of lading, invoice, packing list) and payment of P30 for entry encoding.
- Entry forwarding to Entry Processing Unit or Collection Division.
- Final release after payment of arrastre and wharfage fees to port authorities.
- Bureau of Customs grants NBDB and Department of Finance access to import data for monitoring and decision-making.
Sanctions and Enforcement
- NBDB conducts administrative inquiries upon prima facie finding of violations related to these rules.
- When sufficient evidence exists, the NBDB recommends prosecution to appropriate authorities for breach of duty-free importation conditions.
Power to Amend and Effectivity
- The NBDB, with Bureau of Customs' concurrence, may amend, modify or repeal provisions of these rules.
- These Rules and Regulations become effective 15 days after publication in a newspaper of general circulation.