Sec. 102 (Definition of Terms)

• What is the definition of abatement?


  Reduction or diminution in whole or part in part, of duties and taxes in which payment has not been made.
• What is the definition of actual or outright exportation?


  Customs procedure of goods being in free circulation, leave the Philippine territory and are intended permanently remain outside.
• What is the definition of admission?


  Act of bringing imported goods into a free zone.
• What is an airway bill (AWB)?


  A transport document for airfreight used by airlines & international freight forwarders, which the holder or consignee has the right to claim delivery of goods upon arrival at the port of destination. Also contains transport instructions to airlines, good description, and transportation charges.
• What is the definition of an appeal?

  A remedy by which a person is aggrieved and adversely affected by an action, decision, order of the Bureau, seeks redress before the Bureau, Sec. of Finance, or competent court, as the case may be.
• What is the definition of assessment?


  The process of determining the amount of duties, taxes and other charges due on imported/exported goods.
• What is an authorized economic operator (AEO)?


  An importer, exporter, customs broker, freight forwarder, forwarder, transport provider, and any other entity duly accredited by the Bureau.
• What is a bill of lading (B/L)?


  A transport document issued by shipping lines, carriers, and international freight forwarders or NVOCCs for water-borne freight. The holder/consignee of the bill has the right to claim the delivery of goods. The contract of carriage includes carrier conditions (limits of liability and claims procedures).
• What is the definition of the Bureau?


  The Bureau of Customs.
• What is the definition of a carrier?


  The person actually transporting goods or in charge or responsible of the means of transportation.
• What is the definition of clearance?


  The completion of customs and other government formalities necessary to allow goods to enter, exported, or placed under another customs procedure.
• What is the definition of the Commission?


  The Tariff Commission.
• What is the definition of a customs broker?


  A bona fide holder of a valid Certificate of registration/professional identification card issued by the Professional Regulatory Board and Professional Regulation Commission.
• What is the definition of a customs office?


  Any customs administrative unit competent and authorized to perform all or any functions under customs and tariff laws.
• What is the definition of a customs officer?


  A person that exercises discretion in performing the function of the Bureau (not being clerical or manual in nature).
• What is the definition of customs territory?


  The areas in the Philippines where customs and tariff laws may be enforced.
• What is the definition of entry?


  The act, documentation, and process of bringing imported goods into customs territory, including goods from free zone.
• What is the definition of exportation?


  The act, documentation and process of bringing goods out of the Philippines.
• What is an export declaration?


  A statement of procedure for taking out or causing to be taken out any exported goods, prescribed by the Bureau and other appropriate agencies.
• What is the flexible clause?


  The power of the President upon recommendation of the (NEDA) National Economic and Development Authority to:

  (1) increase, reduce or remove existing protective tariff rates of import duty but not higher than one hundred (100%) ad valorem.

  (2) establish import quota or ban importation of any commodity as may be necessary

  (3) impose additional duty on all import not exceeding (10%) ad valorem, whenever necessary.
• What is the definition of a foreign exporter?


  One whose name appears on documentation attesting to the import of the product to the Philippines.
• What is the definition of a free zone?


  Special economic zones registered with the Philippines Economic Zone Authority (PEZA), such as: Clark Freeport Zone, Poro Point Freeport Zone, John Hay Special Economic Zone and Subic Bay Freeport Zone.
• What is the definition of goods?


  Articles, wares, merchandise, and any other items which are subject to importation or exportation.
• What is the definition of a goods declaration?


  A statement made in a manner prescribed by the Bureau and any other appropriate agencies by which the person indicates the procedure in the application for the entry or admission of imported goods and the particulars of which the customs may require.
• What is the definition of importation?


  The act of bringing in of goods from a foreign territory into Philippine territory.
• What is the definition of a freight forwarder?


  A local entity that acts as a cargo intermediary and facilitates transport of goods on behalf of its client.
• What is the definition of international freight?


  Persons responsible for the assembly and consolidation of shipments into single lot, full responsibility for the international transport of shipment.
• What is the definition of jurisdictional control?


  The power and rights of the Bureau in exercising supervision and police authority within the Philippine territory.
• What is the definition of lodgement?


  The registration of goods declaration with the Bureau.
• What is the definition of a non-vessel operating common carrier (NVOCC)?


  An entity, which may or may not own or operate a vessel, that provides point-to-point service.
• What is the definition of outright smuggling?


  The act of importing goods into the country without complete customs prescribed importation documents, or without being cleared, to evade payment of taxes, duties, and other government charges.
• What is the definition of a perishable good?


  Goods liable to perish or goods that depreciate greatly in value while stored.
• What is the definition of a port of entry?


  A domestic port open to both domestic and international trade.
• What is the definition of a principal port of entry?


  The chief port of entry of a Customs District.
• What is the definition of a sub-port of entry?


  A port of entry subordinate to the principal port of entry.
• What is the definition of a port of discharge?


  The place where a vessel, ship, aircraft or train unloads its shipments.
• What is the definition of reexportation?


  The exportation of goods which have been imported.
• What is the definition of the release of goods?


  The action by the Bureau to permit goods undergoing clearance to be placed at the disposal of the party concerned.
• What is the definition of a refund?


  The return, in whole or part, of duties and taxes paid on goods.
• What is the definition of security?


  Any form of guarantee, cash bond, standby letter of credit or other instrument accepted by the Bureau as a condition for the release of goods.