Customs Act Definitions

Questions and Answers

What is the term for the reduction or diminution of duties and taxes where payment has not been made?

Admission

Actual or Outright Exportation

Abatement (correct)

Clearance

What is the purpose of an Airway Bill (AWB)?

To serve as a receipt for goods stored in a warehouse

To certify the country of origin of the goods

To provide a detailed description of the goods being transported

To specify the holder or consignee of the bill who has the right to claim delivery of the goods (correct)

What is the term for the act of bringing imported goods directly or through transit into a free zone?

Admission (correct)

Actual or Outright Exportation

Abatement

Clearance

What is the term for the customs procedure applicable to goods which, being in free circulation, leave the Philippine territory and are intended to remain permanently outside it?

Actual or Outright Exportation Signup and view all the answers

What is included in an Airway Bill (AWB) as part of the contract of carriage?

Carrier conditions, such as limits of liability and claims procedures Signup and view all the answers

What is the primary purpose of a Bill of Lading (B/L)?

To serve as a contract of carriage between the shipper and the carrier Signup and view all the answers

Who is considered an Authorized Economic Operator (AEO)?

Any entity accredited by the Bureau based on the World Customs Organization (WCO) Framework of Standards Signup and view all the answers

What is the definition of Clearance?

The completion of customs and other government formalities necessary to allow goods to enter for consumption Signup and view all the answers

Who is a Customs Broker?

A person who is a bona fide holder of a valid Certificate of Registration/Professional Identification Card Signup and view all the answers

What is the definition of Conditional Importation?

The customs procedure known as temporary admission in which certain goods can be brought into a customs territory conditionally relieved from payment of import duties and taxes Signup and view all the answers

What is the definition of Customs Territory?

Areas in the Philippines where customs and tariff laws may be enforced Signup and view all the answers

What is the definition of Export Declaration?

A statement made in the manner prescribed by the Bureau to declare goods being exported Signup and view all the answers

Who is a Carrier?

The person actually transporting goods or in charge of or responsible for the operation of the means of transport Signup and view all the answers

What is the definition of Assessment?

The process of determining the amount of duties and taxes due on imported and exported goods Signup and view all the answers

What is the definition of Appeal?

The remedy by which a person who is aggrieved or adversely affected by any action, decision, order, or omission of the Bureau seeks redress Signup and view all the answers

Study Notes

Key Definitions in the Customs Act

Abatement: Reduction of duties and taxes on goods, applicable when payment hasn't been made.
Actual or Outright Exportation: Procedure for goods leaving the Philippines permanently while in free circulation.
Admission: Act of bringing imported goods into a free zone, either directly or via transit.
Airway Bill (AWB): A transport document for airfreight detailing the consignee's rights to claim goods, including terms of carriage and transportation charges.
Appeal: A process for individuals to seek redress for grievances related to decisions made by the Bureau of Customs or the Secretary of Finance.
Assessment: The determination of duties, taxes, and charges on imported or exported goods.
Authorized Economic Operator (AEO): Entities accredited by the Bureau of Customs that enhance secure global trade and facilitate the movement of goods across borders.
Bill of Lading (B/L): A transport document for water-borne freight, functioning as a contract that outlines rights and responsibilities of parties involved in freight transport.
Bureau: Refers specifically to the Bureau of Customs responsible for enforcing customs laws.
Carrier: The party responsible for transporting goods, which includes various transport operators like airlines and shipping lines.
Clearance: Completion of customs formalities required for goods to enter or exit the country.
Commission: Refers to the Tariff Commission, which handles tariff-related matters.
Conditional Importation: A customs process allowing goods to enter the territory on the condition of future re-exportation without substantial changes.
Customs Broker: A licensed professional responsible for facilitating customs transactions for importers and exporters.
Customs Office: Any administrative unit authorized to perform customs functions under relevant laws.
Customs Officer: Personnel whose duties involve decision-making and enforcement of customs regulations.
Customs Territory: Areas within the Philippines where customs laws apply.
Entry: The process and documentation involved in bringing imported goods into customs territory.
Exportation: The procedure and associated documentation for removing goods from the Philippines.
Export Declaration: A statement required to be made by exporters according to the Bureau's prescribed manner.