Issues on Tax Credit and Debit Memo Application

The memorandum concerns the Tax Debit Memo Division of the One-Stop Shop Inter-Agency Tax Credit and Duty Drawback Center at the Department of Finance.
The memorandum is addressed to the Bureau of Customs for observance and implementation through its collecting functions.
The memorandum specifically directs attention to the Chief, Collection Division/Unit for close supervision and counter-initialing.
Compliance is required by all concerned within the operational chain handling TCC postings and TDM utilization at the port of entry.

The memorandum identifies four recurring problems in TDM applications handled by the Tax Debit Memo Division.
The first problem is non-posting of the last transactions/payments at the back of the TCC being applied for TDM.
The second problem is over application of TDM.
The third problem is non-attachment of the page showing the last balance of the TCC.
The fourth problem is failure of the authorized officer to countersign the postings showing the amount actually used at the back of the TCC.

The memorandum requires regular posting of the last transactions/payments at the back of the TCC.
The memorandum requires attachment of the page showing the latest balance of the TCC.
The memorandum requires that TDM utilization be supported by the correct sequence of postings and the latest balance page for the TCC.
The memorandum requires countersignature through the authorized officer’s signature and acceptance in the required manner at the operational point.

The memorandum requires utilization/application of the TCC only up to the amount of the TDM granted by the One-Stop Shop Inter-Agency Tax Credit and Duty Drawback Center.
The memorandum treats over application of TDM as a problem to be prevented through strict adherence to the granted TDM limit.

The memorandum requires the signature of the authorized officer accepting payments at the back of the TCC in the port of entry.
The memorandum requires countersigning the postings indicating the amount actually used at the back of the TCC.
The memorandum directs that the authorized officer’s acceptance signature and countersigning be tied to the amount actually used, thereby correcting prior instances of missing countersignature.

The memorandum requires the Chief, Collection Division/Unit to closely supervise TCC posting and TDM application handling.
The memorandum requires the Chief, Collection Division/Unit to counter-initialize the posting of the transaction/COR at the back of the TCC.
The supervision and counter-initialing rule is designed to ensure the accuracy of postings and to prevent mismatches between the TCC balance and the TDM applied.

The memorandum instructs that the enumerated controls must be strictly observed to prevent recurrence of the identified problems.
The memorandum advises that all concerned shall be guided accordingly in applying these operational requirements for TDM applications.
The memorandum reiterates a procedural checklist for proper processing: posting, attachment of latest balance, utilization within granted TDM, and authorized officer signature/countersigning.