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Air express cargo operators may now open prepayment account for transit declarations, according to Customs Memorandum Order No. 27-2021
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The prepayment is meant to simplify payment of fees and charges for express shipments covered under transit procedures
Air express cargo operators may now open prepayment accounts for transit declarations, according to a new order by the Bureau of Customs (BOC).
Customs Memorandum Order (CMO) No. 27-2021 dated August 10 amends Section 3.3 of CMO 18-2021 to allow air express cargo operators–aside from just accredited importers–to open prepayment accounts for transit entries (including shipments from local ports to free zones) to “simplify payment of fees and charges for express shipments covered under transit procedures.”
Under another order, CMO 18-2021, air express cargo operators are also allowed to make prepayment accounts for informal entries. CMO 18-2021, which took effect last May 24, revises regulations on the opening and utilization of prepayment accounts, and aims to provide an alternative mode of payment of duties, taxes, and other charges for all goods declarations lodged in BOC’s Electronic-to-Mobile (E2M) System.
CMO 18-2021 covers goods declarations for consumption (formal), transit, warehousing, export, informal entry, and transshipment.
Under the order, any accredited importer or exporter is given an option to open prepayment accounts as an alternative to the Payment Application Secure System Version 5.0 (PASS5) system required to be used by all E2M users.
For consumption, transit (including shipments from local ports to free zones), and warehousing declarations, the accredited importer may open the prepayment account.
For export declarations, the accredited exporter may open the prepayment account while small-value importers and air express cargo operators may do so for informal entries.
Under CMO 18-2021, the importer or exporter may open and maintain one or more prepayment accounts in any collection district from which he or she will specify where payment should be made on a per-transaction basis.
The prepayment account can be used to make payments in any collection district regardless of where the account was opened.
Funds in any prepayment account cannot be withdrawn but can be transferred from one prepayment account to another prepayment account that is also under the same holder’s name. – Roumina Pablo