Bureau of Customs

Last updated

Bureau of Customs
Kawanihan ng Adwana
Bureau of Customs.svg
Seal of the Bureau of Customs
Philippine Customs Flag.svg
Ensign of the Bureau of Customs
Common nameBureau of Customs
AbbreviationBoC, BOC
Agency overview
FormedFebruary 6, 1902;122 years ago (1902-02-06)
Annual budget₱2.58 billion (2021) [1]
Jurisdictional structure
National agency Philippines
Operations jurisdiction Philippines
Specialist jurisdiction
Operational structure
HeadquartersPOM Building, Port Area,
Manila, Philippines
Agency executive
  • Bienvenido Y. Rubio, Commissioner
Parent agency Department of Finance
Website
www.customs.gov.ph

The Bureau of Customs (abbreviated BoC or BOC; Filipino : Kawanihan ng Adwana) is a Filipino government agency that is responsible for the collecting of customs duties, excise duties, and other indirect taxes in the Philippines. It is part of the Philippines Department of Finance.

Contents

The Bureau of Customs was established on February 6, 1902 by the Insular Government of the Philippine Islands when it was under control of the United States of America, during the American Colonial Era of the Philippines. [2]

History

Customs Building, Manila WTMP PhotoPhilia D9 Bureau of Customs.JPG
Customs Building, Manila
Manila North Harbor Manila skyline seen from Manila North Harbor.JPG
Manila North Harbor

Prior to European colonization, people in the Philippines traded with others from Southeast Asia. Since money was not yet the medium of exchange, people bartered commodities. The rulers of the barangays collected tributes from the people before they were allowed to engage in trade. The practice of collecting tributes became part of the Customs Law of the Land.

The Spanish colonial era

During the Spanish Colonial Era of the Philippines, Spain passed three important statutes:

The American colonial era

When the Americans came to the Philippines, the Military Government continued to enforce the Spanish Tariff Code of 1891, which remained in effect until the Philippine Commission enacted the Tariff Revision Law of 1901.

On October 24, 1900, the Philippine Commission passed Act No. 33 abolishing and changing the position of Captain of the Port to Collector of Customs in all ports of entry except the Port of Manila. The designation of the Captain of the Port in the Port of Manila was retained.

When the Civil Government was established in the Philippines, the most important laws passed by the Philippine Commission were the following:

When the Department of Justice became a separate office from the Department of Finance, the customs service remained under the umbrella of the latter which set-up remained up to this time.

The Commonwealth Government

After the Philippine Commonwealth was established, the Philippine Legislature enacted Commonwealth Act No. 613 forming the Bureau of Immigration as a separate office from the Bureau of Customs.

On May 1, 1947, the Bureau of Customs has as its head the Insular Collector of Customs. He was assisted by the Deputy Insular Collector of Customs. Both officials were concurrently Collector of Customs and the Deputy Collector of Customs of the Port of Manila. The Republic Pursuant to the Executive Order No. 94 of Republic Act No. 52, the President of the Philippines reorganized the different departments, bureaus, offices and agencies of the government of the Republic of the Philippines. Consequently, the Insular Collector of Customs was changed to Collector of Customs for the Port of Manila. The reorganization took effect on July 1, 1947.

In 1957, Congress enacted the Tariff and Customs Code of the Philippines known as Republic Act No. 1937, otherwise known as the “Tariff Law of the Republic of the Philippines”. This took effect on July 1, 1957. The passage of this act by the defunct Congress of the Philippines subject to the provisions of the Laurel-Langley Agreement, became the first official expression of an autonomous Philippine Tariff Policy.

Before the passage of Republic Act 1937, all importations from the United States enjoyed full exemptions pursuant to the Tariff Act No. 1902 which was adopted by Republic Act No. 3 as the Tariff Laws of the Philippines.

The Republic

Pursuant to the Executive Order No. 94 of Republic Act No. 52, the President of the Philippines reorganized the different departments, bureaus, offices and agencies of the government of the Republic of the Philippines. Consequently, the Insular Collector of Customs was changed to Collector of Customs for the Port of Manila. The reorganization took effect on July 1, 1947.

In 1957, Congress enacted the Tariff and Customs Code of the Philippines known as Republic Act No. 1937, otherwise known as the “Tariff Law of the Republic of the Philippines”. This took effect on July 1, 1957. The passage of this act by the defunct Congress of the Philippines subject to the provisions of the Laurel-Langley Agreement, became the first official expression of an autonomous Philippine Tariff Policy.

2017 drug smuggling scandal

On May 28, 2017, the Bureau of Customs (BOC) seized ₱6.4 billion worth of methamphetamine in two warehouses in Barangay Ugong of Valenzuela, Metro Manila. The BOC said that they acted on an intelligence report from the Chinese General Administration of Customs. The seizure was made in accordance to a Letter of Authority issued by BOC Commissioner Nicanor Faeldon. The BOC officials were accompanied by personnel of the National Bureau of Investigation and Philippine Drug Enforcement Agency who inspected the warehouses found the contraband in five metal cylinders. [3]

During the Senate and House hearings, details on how the shipment was smuggled into the Philippines were given. On May 16, 2017, the ship Guang Ping Voyage No. 1719S, which carried the container with the methamphetamine arrived at the Manila International Container Port (MICP) in Tondo, Manila. The cargo of the ship was lodged on the next day by Customs broker, Teejay Marcellana, who claims that the shipment contained kitchenware. The following day, the importer of the goods, EMT Trading, which is owned by Eirene Tatad, paid the customs and duties for the shipment. The firm says that they were not aware of the illegal drugs inside the shipment. The shipment was then passed through the green lane where shipments were not scanned through X-ray. According to protocol, shipments accepted by first-time importers or from China were not allowed to be passed through the green lane. A truck registered under Golden Strike Logistics transported the container from the MICP on May 23. [4] Chinese businessman Richard Tan, also known as Chen Ju Long, narrated during the congressional hearing that he called the Bureau of Customs at 11pm after he was informed about the illegal drugs shipment. Customs broker, Mark Taguba claims that Tan was behind the smuggling of the drugs who says that he was hired by the businessman to "fix" the shipment through a middle man named Kenneth Dong. [4]

The Philippine Senate Blue Ribbon Committee investigated and called the BOC personnel with links to the case as either incompetent or corrupt. [5]

Functions

The Bureau has the following duties under the 2015 Customs Modernization and Tariff Act (RA 10863): [6]

  1. Assessment and collection of customs revenues from imported goods and other dues, fees, charges, fines and penalties accruing under the CMTA;
  2. Simplification and harmonization of customs procedures to facilitate movement of goods in international trade;
  3. Border control to prevent entry of smuggled goods;
  4. Prevention and suppression of smuggling and other customs fraud;
  5. Facilitation and security of international trade and commerce through an informed compliance program;
  6. Supervision and control over the entrance and clearance of vessels and aircraft engaged in foreign commerce;
  7. Supervision and control over the handling of foreign mails arriving in the Philippines for the purpose of collecting revenues and preventing the entry of contraband;
  8. Supervision and control on all import and export cargoes, landed or stored in piers, airports, terminal facilities, including container yards and freight stations for the protection of government revenue and prevention of entry of contraband;
  9. Conduct a compensation study with the end view of developing and recommending to the President a competitive compensation and remuneration system to attract and retain highly qualified personnel, while ensuring that the Bureau remains financially sound and sustainable;
  10. Exercise of exclusive original jurisdiction over forfeiture cases under the CMTA; and
  11. Enforcement of the CMTA and all other laws, rules and regulations related to customs administration.

Organization

Office of the Commissioner (OCOM)

The Bureau of Customs is headed by a Commissioner, who is responsible for the general administration and management of the bureau. The Commissioner is assisted by six Deputy Commissioners and an Assistant Commissioner, who supervises the Internal Administration Group, Revenue Collection Monitoring Group, Assessment and Operations Coordination Group, Intelligence Group, Enforcement Group, Management Information System and Technology Group and Post Clearance Audit Group.

Customs Intelligence and Investigation Service (CIIS)

The Customs Intelligence and Investigation Service (CIIS) is the service of the Bureau mandated to the collection, collation, and evaluation of data and information on acts of economic sabotage and the conduct of surveillance, investigation and apprehension of cases involving violations of customs, tariff laws and regulations. [7]

Customs Districts

The Bureau of Customs has 17 Customs Districts (as enumerated below). Each Customs District is headed and supervised by a District Collector, assisted by as many Deputy District Collectors as may be necessary. A Customs District has a designated “principal port of entry”. Generally, a principal port of entry has its “sub-port(s) of entry”.

Customs DistrictPrincipal Port of EntryCity/Municipality
Customs District IPort of San Fernando San Fernando, La Union
Customs District II-A Port of Manila (POM) Manila (Port Area)
Customs District II-B Manila International Container Port (MICP) Manila (Tondo)
Customs District III Ninoy Aquino International Airport (NAIA) Pasay
Customs District IV Port of Batangas Batangas City
Customs District VPort of Legazpi Legazpi, Albay
Customs District VI Port of Iloilo Iloilo City
Customs District VII Port of Cebu Cebu City
Customs District VIIIPort of Tacloban Tacloban
Customs District IXPort Surigao Surigao City
Customs District XPort of Cagayan de Oro Cagayan de Oro
Customs District XI Port of Zamboanga Zamboanga City
Customs District XII Port of Davao Davao City
Customs District XIII Port of Subic Olongapo, Zambales / Morong, Bataan (Subic Freeport Zone)
Customs District XIV Port of Clark Mabalacat, Pampanga (Clark Freeport Zone)
Customs District XVPort of AparriAparri, Cagayan
Customs District XVIPort of Limay Limay, Bataan

Commissioners

Isidro Lapena was Customs Commissioner from 2017-2018. Isidro S. Lapena (2017).jpg
Isidro Lapeña was Customs Commissioner from 2017-2018.
Juan Ponce Enrile was Customs Commissioner from 1966-1968. Juan Ponce Enrile.jpg
Juan Ponce Enrile was Customs Commissioner from 1966–1968.
NameTerm
StartEnd
Insular Collectors of the Port of Manila (1902–1946)
Morgan Anhister19021916
J.S. Stanley19161918
Vicente Aldenese19181937
Guillermo Gomez19371945
Melencio Fabros19451946
Commissioners (1946–present)
Alfredo de Leon19471950
Alfredo Jacinto19501954
Jaime Velasquez19541955
Manuel Manahan 19551957
Eleuterio Capapas19571960
Timoteo Y. Aseron1960
Eleuterio Capapas19601961
Rolando G. Geotina1961
Cesar Climaco 1962
Norberto B. Romualdez, Jr.19621963
Rodrigo D. Perez, Jr.19631964
Jose B. Lingad 1964
Alfredo D. de Joya19641965
Pablo C. Mariano1965
Jacinto T. Gavino19651966
Juan Ponce Enrile 19661968
Rolando G. Geotina19681975
Alfredo Pio de Roda, Jr.19751977
Ramon J. Farolan19771986
Wigberto Tañada 19861987
Alexander A. Padilla1987
Salvador M. Mison19871991
Tomas Apacible 19911992
Guillermo L. Parayno, Jr.19921998
Pedro C. Mendoza, Jr.1998
Nelson A. Tan19981999
Renato A. Ampil19992001
Titus V. Villanueva20012002
Antonio M. Bernardo20022004
George M. Jereos20042005
Alberto D. Lina2005
Alexander M. ArevaloJuly 2005December 2005
Napoleon M. MoralesJanuary 2006July 2010
Angelito A. AlvarezJuly 2010September 2011
Rozanno Rufino B. Biazon September 2011December 2013
John Philip SevillaDecember 2013April 2015
Alberto D. LinaApril 2015June 30, 2016
Nicanor Faeldon [8] June 30, 2016August 30, 2017
Isidro S. Lapeña, Ph.D., CSEEAugust 30, 2017October 31, 2018
Ret. Gen. Rey Leonardo Guerrero, AFPOctober 31, 2018July 20, 2022
Yogi Filemon L. RuizJuly 20, 2022February 10, 2023
Bienvenido Y. RubioFebruary 10, 2023present

See also

Related Research Articles

<span class="mw-page-title-main">Insular area</span> U.S. territory that is neither a U.S. state nor the District of Columbia

In the law of the United States, an insular area is a U.S.-associated jurisdiction that is not part of the several states or the District of Columbia.

<span class="mw-page-title-main">United States Customs Service</span> U.S. federal government agency from 1789 to 2003

The United States Customs Service was a federal law enforcement agency of the U.S. federal government. Established on July 31, 1789, it collected import tariffs, performed other selected border security duties, as well as conducted criminal investigations.

<span class="mw-page-title-main">Customs officer</span> Law enforcement agent who enforces customs laws

A customs officer is a law enforcement agent who enforces customs laws, on behalf of a government.

<span class="mw-page-title-main">U.S. Customs and Border Protection</span> American federal law enforcement agency

United States Customs and Border Protection (CBP) is the largest federal law enforcement agency of the United States Department of Homeland Security. It is the country's primary border control organization, charged with regulating and facilitating international trade, collecting import duties, as well as enforcing U.S. regulations, including trade, customs and immigration. CBP is one of the largest law enforcement agencies in the United States. It has a workforce of more than 45,600 federal agents and officers. It is headquartered in Washington, D.C.

<span class="mw-page-title-main">Customs and Excise Department (Hong Kong)</span> Department of the Hong Kong Government

The Customs and Excise Department (C&ED) is a government agency responsible for the protection of the Hong Kong Special Administrative Region against smuggling; the protection and collection of revenue on dutiable goods on behalf of the Hong Kong Government; the detection and deterrence of drug trafficking and abuse of controlled drugs; the protection of intellectual property rights; the protection of consumer interests; and the protection and facilitation of legitimate trade and upholding Hong Kong's trading integrity.

<span class="mw-page-title-main">National Bureau of Investigation (Philippines)</span> Agency of the Philippine government

The National Bureau of Investigation is an agency of the Philippine government under the Department of Justice, responsible for handling and solving major high-profile cases that are in the interest of the nation.

<span class="mw-page-title-main">Border guard</span> Government service concerned with security of national borders

A border guard of a country is a national security agency that performs border security. Some of the national border guard agencies also perform coast guard and rescue service duties.

<span class="mw-page-title-main">HM Customs</span> Former customs department of the UK

HM Customs was the national Customs service of England until a merger with the Department of Excise in 1909. The phrase 'HM Customs', in use since the Middle Ages, referred both to the customs dues themselves and to the office of state established for their collection, assessment and administration.

<span class="mw-page-title-main">Balikbayan box</span> Box containing items sent home by overseas Filipinos

A balikbayan box is a corrugated box containing items sent by overseas Filipinos. Though often shipped by freight forwarders specializing in balikbayan boxes by sea, such boxes can be brought by Filipinos returning to the Philippines by air.

<span class="mw-page-title-main">Philippine Ports Authority</span>

Philippine Ports Authority is a government-owned and controlled corporation under the Department of Transportation as an attached agency. It is responsible for financing, management and operations of public ports throughout the Philippines, except the port of Cebu, which is under the Cebu Ports Authority.

<span class="mw-page-title-main">Bureau of Internal Revenue</span> Philippine government agency

The Bureau of Internal Revenue(Filipino: Kawanihan ng Rentas Internas, or BIR) is a revenue service for the Philippine government, which is responsible for collecting more than half of the total tax revenues of the government. It is an agency of the Department of Finance and it is led by a Commissioner.

<span class="mw-page-title-main">AGAP Partylist</span> Political party in Philippines

The Agricultural Sector Alliance of the Philippines, Inc. (AGAP) is a party-list in the Philippines. The organization was established in 2003 in order to protect and promote the welfare of farmers. Since then, it has been actively pursuing all endeavors that would benefit the entire agricultural industry nationwide.

<span class="mw-page-title-main">Philippine Drug Enforcement Agency</span> Law enforcement agency tasked with combating drug smuggling and distribution within the Philippines

The Philippine Drug Enforcement Agency is the lead anti-drug law enforcement agency, responsible for preventing, investigating and combating any dangerous drugs, controlled precursors and essential chemicals within the Philippines. The agency is tasked with the enforcement of the penal and regulatory provisions of Republic Act No. 9165, otherwise known as the Comprehensive Dangerous Drugs Act of 2002.

<span class="mw-page-title-main">Royal Malaysian Customs Department</span> Malaysian Government department

The Royal Malaysian Customs Department is a government department body under the Malaysian Ministry of Finance. RMCD functions as the country's main indirect tax collector, facilitating trade and enforcing laws. The top management of JKDM is led by the Director General of Customs and assisted by 3 deputies, namely, the Deputy Director General of Customs Enforcement/Compliance Division, the Deputy Director General of Customs Customs/Inland Tax Division and the Deputy Chief Director of Customs Management Division. The Royal Malaysian Customs Department consists of several divisions, namely the Enforcement Division, the Inland Tax Division, the Compliance Division, the Customs Division, and the Technical Services Division.

<span class="mw-page-title-main">Swedish Customs Service</span>

The Swedish Customs is the customs service of the Kingdom of Sweden. It is a department of the Government of Sweden. It is one of the oldest governmental agencies in Sweden, as it was founded in 1636. It is also Sweden's de facto border guard.

<span class="mw-page-title-main">Insular Government of the Philippine Islands</span> 1902–1935 U.S. territory of the Philippines

The Insular Government of the Philippine Islands was an unincorporated territory of the United States that was established in 1902 and was reorganized in 1935 in preparation for later independence. The Insular Government was preceded by the United States Military Government of the Philippine Islands and was followed by the Commonwealth of the Philippines.

Fiscal policy are "measures employed by governments to stabilize the economy, specifically by manipulating the levels and allocations of taxes and government expenditures". In the Philippines, this is characterized by continuous and increasing levels of debt and budget deficits, though there were improvements in the last few years of the first decade of the 21st century.

<span class="mw-page-title-main">Batangas International Port</span> Port in Philippines

The Batangas International Port or locally known as the Batangas Pier is a seaport in Barangay Santa Clara, Batangas City primarily serving the Calabarzon region of the Philippines. The seaport covers an area of about 150 hectares.

<span class="mw-page-title-main">Bureau of Immigration (Philippines)</span> Agency of the Philippine government

The Bureau of Immigration, also known between 1972 and 1987 as the Bureau of Immigration and Deportation, is the immigration regulatory and control body of the Philippines. It was established by the Philippine Immigration Act in 1940, although a predecessor agency had existed as part of the Bureau of Customs since 1899.

<span class="mw-page-title-main">March 2022 Infanta drug seizure</span>

On March 15, 2022, law enforcement agents intercepted three vans in Brgy. Comon, Infanta, Quezon, Philippines, seized ₱11 billion worth of illegal drugs. The operation was described as the "biggest drug haul in Philippine history".

References

  1. https://www.dbm.gov.ph/wp-content/uploads/GAA/GAA2021/TechGAA2021/DOF/B.pdf [ bare URL PDF ]
  2. "Speech of President Corazon Aquino on the 86th Foundation Anniversary of the Bureau of Customs, February 5, 1988". Official Gazette of the Republic of the Philippines. Presidential Museum and Library. Archived from the original on September 24, 2015. Retrieved August 24, 2015.
  3. "Customs seizes P6.4-B worth of shabu in Valenzuela". Rappler. May 28, 2017. Retrieved August 17, 2017.
  4. 1 2 Gavilan, Jodesz (August 14, 2017). "TIMELINE: How P6.4-B worth of shabu was smuggled into PH from China". Rappler. Retrieved August 17, 2017.
  5. Parpan, Lara; Lardizapal, Cecille (July 31, 2017). "Senate alleges corruption and incompetence in customs bureau over biggest haul yet of shabu smuggled into PH". CNN Philippines. Archived from the original on August 17, 2017. Retrieved August 17, 2017.
  6. "Customs Modernization and Tariff Act". Republic Act No. 10863 of 2015 (PDF).
  7. "Customs intelligence group reorganized". Official Gazette.
  8. "Faeldon is Customs chief: source". ABS-CBN News. May 31, 2016. Retrieved May 31, 2016.