The Philippine Bureau of Customs (BOC) highlighted its several achievements in 2017, which included record monthly revenue collections and measures to stop corruption.
In a statement, BOC noted that the accomplishments of the country’s second top revenue-generating agency in 2017 stemmed from efforts to increase its revenue earnings and fight corruption under Customs commissioner Isidro Lapeña’s Five-Point Priority Program.
Aside from raising the revenue and combatting corruption, the program also includes improving trade facilitation; strengthening anti-smuggling efforts; and enhancing personnel incentives, rewards system and compensation benefits.
Lapeña has instituted various reforms since taking office in late August last year, including applying the correct valuation in assessing customs duties on imported goods, and putting a stop to benchmarking and giving of grease money (tara) as ways to improve revenue collection.
BOC reported that another milestone was the collection of P44.450 billion in December 2017, which exceeded the P40.673 billon target for the month by 9.2%.
Back in November 2017, BOC collected an all-time-high of P46.366 billion, 11.3% higher than the P41.66 billion target and P9 billion higher than the average monthly collection of P35 billion.
Preliminary figures from the Financial Service showed BOC posted a total collection of P457.533 billion from January to December 2017, which was lower by 2.2% than the target of P467.896 billion.
“Despite the P20 billion deficit when I assumed office on August 30, the BOC gained steady increase in its revenue collection growth during the last quarter, reducing the deficit down to P10 billion,” Lapeña said.
He noted that if not for work suspensions due to the Association of Southeast Asian Nations Summit, jeepney strikes, and typhoons, the agency could have surpassed its assigned 2017 target.
Last year, BOC also won a case settlement with First Nationwide Assurance Company, collecting P110 million from the company in unpaid customs duties and taxes.
BOC last year likewise started publicly awarding tax credit certificates and tax refunds that Lapeña said were being used previously as bribes or pasalubong (welcome gift) to new customs commissioners. From September to December 2017, a total of P414.3 million in tax credit certificates and tax refunds were awarded to 24 companies.
In an effort to eradicate the “suki system” and tara practice in the assessment division and enhance trade facilitation, the Port of Manila adopted the Status Verification System, while the Manila International Container Port (MICP) implemented the Goods Declaration Verification System last year. By randomly assigning appraisers and examiners to check the entries filed, these systems stop the possible collusion between customs officials and stakeholders. The new systems also provide timely updates on the status of import entries, making the process transparent.
Last December, customs examiners and appraisers in charge of assessing the value of import commodities underwent a series of refresher courses on valuation and commodity classification in line with the adoption of a systematic valuation of goods in line with the World Trade Organization (WTO) provision.
In a bid to end corruption, Lapeña signed a memorandum setting a five-day mandatory timeframe for BOC personnel to respond to all clients.
“Kapag may delay, may kita (If there’s a delay, there’s money to be made.). I am not taking these delaying tactics of some BOC personnel. I already know you by (name). Wait until I catch up with all of you. I am strict with my one-strike policy,” the customs chief said.
As part of the drive against corruption, the agency undertook a total of 641 BOC personnel movements from September 1 to December 31, 2017. Several employees were reassigned to other districts while 10 district collectors were transferred to the Control Monitoring Unit. The commissioner also relieved 25 employees from their current post and dismissed two for abuse of authority.
Under BOC’s campaign against smuggling, customs agents seized more than P5.4 billion worth of cigarettes with fake tax stamps from February 2017 to June 2017.
The successful apprehension of fake cigarettes resulted in a tax settlement with tobacco company Mighty Corporation, adding P30 billion revenue to government coffers.
READ: Duterte orders DOF to accept Mighty’s P25B tax liability deal
The bureau also apprehended P141.2 million worth of luxury cars at MICP and P263.2 million worth of agricultural products.
In his first four months in office, Lapeña visited 17 collection districts and 10 subports to assess the conditions of BOC offices and personnel, and address pressing concerns in these ports.
He also announced that BOC retirees would be given preferential assignments in the last six months of their service so they can prepare for their retirement.
“These public servants have dedicated 40 years of their life in public service. They deserve to be compensated and be given what is due to them come their retirement day,” Lapeña said.
The present administration also promoted a total of 566 customs employees and hired three new employees as part of the program to enhance personnel incentives and compensation benefits.
Lapeña lauded all the contributions of BOC personnel to the agency’s 2017 accomplishments, but noted that “we still have a lot more to work out.”
“I am optimistic that we will achieve our 2018 target and I still believe that there are more good men in the Bureau who are willing to work earnestly for public service,” the BOC chief said.
Image courtesy of taesmileland at FreeDigitalPhotos.net
