Law Summary

Purpose and Scope

• Legal Principle: This Order aims to streamline the accreditation process for importers to enhance tax mapping, minimize duplication of functions, and ensure productivity within the Bureau of Internal Revenue (BIR) and Bureau of Customs (BOC).
• Key Definitions:
  • Importer: An entity applying for accreditation to import goods into the Philippines.
  • BIR Importer Clearance Certificate (BIR-ICC): A certificate issued by the BIR that an applicant must obtain to complete the import accreditation process.

Accreditation Process

• Procedure:
  • The applicant must file an application with the BIR to receive the BIR-ICC.
  • The issuance of the BIR-ICC is subject to documentary requirements and verification as determined by the Commissioner of Internal Revenue.
• Key Requirements:
  • Completion of application form and submission of necessary documents as stipulated by the BIR.

Registration with Bureau of Customs

• Procedure:
  • After obtaining the BIR-ICC, the importer must present this certificate to the relevant customs office for registration.
• Commissioner's Role:
  • The Commissioner of Customs is tasked with issuing rules for:
    • The registration of importers accredited by BIR, which does not require renewal or additional accreditation.
    • The suspension, revocation, or cancellation of an importer's customs accreditation for any violation of customs laws and regulations.

Risk Profiling and Classification

• BOC Regulations:
  • The BOC may implement rules regarding risk profiling and criteria for the classification of importers, enhancing the assessment of importers based on their compliance history and risk factors.

Implementation Timeline

• Regulatory Framework:
  • The Commissioners of Internal Revenue and Customs must issue their respective rules and regulations within fifteen (15) days from the date of this Order’s issuance.
• Compliance Deadline:
  • All importers must comply with the new rules within ninety (90) days from the issuance of the regulations; failure to comply will result in automatic expiration of their accreditation.

Revocation of Previous Issuances

• Modification of Existing Regulations:
  • All previous orders, circulars, memoranda, and issuances that are contrary or inconsistent with this Order are hereby revoked or modified.

Effective Date

• Immediate Effectivity: This Order takes effect immediately upon issuance.

Key Takeaways

• The Order establishes a streamlined process for importer accreditation to enhance efficiency and compliance with tax and customs regulations.
• Importers must first secure a BIR-ICC before registering with the BOC.
• Strict timelines for regulatory issuance and importer compliance are set, with significant consequences for non-compliance.
• The Order revokes prior inconsistent regulations, ensuring clarity and uniformity in import accreditation practices.