MANILA -- The Bureau of Customs (BOC) elaborates procedure in the processing of Tax Payment Certificate (TPC) transactions through CAO 04-2021.
CAO 04-2021, entitled “Processing of Tax Payment Certificate transactions with the Bureau of Customs under the Comprehensive Automotive Resurgence Strategy (CARS) Program”, laid down the general provisions and operational procedures in the utilization of TPC as payment of customs duties and taxes due on importations by Eligible and Registered Participants.
Eligible and Registered Participants (ERPs) are Participating Car Makers (PCMs), parts makers and shared testing service providers registered and granted with fiscal support under the CARS Program.
A Tax Payment Certificate can only be used on importations of ERPs. It is a non-transferable certificate issued by the Department of Trade and Industry-Board of Investments (DTI-BOI), upon the recommendation of the CARS Inter-Agency Committee and based on the third-party audit of the ERP’s applications to determine compliance with all the conditions for the availment of incentives. The certificate shall be used to defray the tax and duty obligation of ERP to the government as it is recognized and accepted by the Bureau as payment of duties and taxes upon verification and validation with the Online Facility System (OFS) especially established by DTI-BOI for the purpose. Fees and other charges, penalties and surcharges shall not be covered by the TPC.
Under the CAO, the TPC shall have a validity period of thirty (30) days counted from the date of issuance which is indicated in the TPC. It shall be immediately presented to the Bureau for payment to ensure that it is valid within the statutory deadlines for payment of duties and taxes on its importation.
