The Senate and House bicameral conference committee has agreed on all but one of the provisions of the Customs Modernization and Tariff Act (CMTA), the controversial declarant clause, according to a customs official.
In a January 21 session, the committee reconciled all provisions of the CMTA except for that of the declarant, which will be finalized in a meeting early next week, according to Customs deputy commissioner Atty. Agaton Teodoro Uvero. Uvero has recently been detailed by Customs commissioner Alberto Lina to the Department of Finance to ensure passage of the CMTA, a priority measure under the Aquino administration.
The declarant provision allows any authorized importer’s representative, who need not be a customs broker, to be the goods declarant. The latest Senate proposal requires the services of customs brokers in the declaration of goods; the Lower House version makes this optional.
Customs brokers object to the declarant provision which, they said, will effectively do away with their services. They claim it goes against the national legislation enshrined under Republic Act No. 9280 or the Customs Brokers Act of 2004. Under R.A. 9280, the declarant is the customs broker.
They said the passage of the CMTA with the declarant provision intact will mean the “collapse” of customs brokerage in the country and affect those studying for the profession, since their services will be redundant when they pass the board and secure their license.
Senate Ways and Means committee chairman and CMTA bill sponsor Senator Juan Edgardo Angara said CMTA aims to amend the Tariff and Customs Code of the Philippines in compliance with the Revised Kyoto Convention, which is a blueprint for a modern and efficient customs procedures.
Angara said the passage of the bill into law would increase transparency and simplify procedures in the Bureau of Customs (BOC); increase the de minimis value (amount below which no duties and taxes will be collected) from P10 to P10, 000; raise the tax exemption ceiling for packages sent by balikbayans and returning residents from P10,000 to P150,000; and provide harsher penalties for smuggling.
The bill also aims to ingrain transparency and accountability into the BOC as it reduces human intervention due to the automation of customs procedures.
Senate President Franklin Drilon added that CMTA proposes the use of information and communications technology and other appropriate applications to reinforce the BOC’s functions towards simplified, secured and harmonized trade facilitation.
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