TITLE I
PRELIMINARY PROVISIONS
CHAPTER 1
SHORT TITLE
SECTION 100. Short Title. — This Act shall be known as the "Customs Modernization and Tariff Act (CMTA)".
CHAPTER 2
GENERAL AND COMMON PROVISIONS
SEC. 101. Declaration of Policy. — It is hereby declared the policy of the State to protect and enhance government revenue, institute fair and transparent customs and tariff management that will efficiently facilitate international trade, prevent and curtail any form of customs fraud and illegal acts, and modernize customs and tariff administration. Towards this end, the State shall:
(a) Develop and implement programs for the continuous enhancement of customs systems and processes that will harmonize customs procedures;
(b) Adopt clear and transparent customs rules, regulations, policies and procedures, consistent with international standards and customs best practices;
(c) Establish a regime of transparency of and accessibility to customs information, customs laws, rules, regulations, administrative policies, procedures and practices, in order to ensure informed and diligent compliance with customs practices and procedures by stakeholders;
(d) Consult, coordinate and cooperate with other government agencies and the private sector in implementing and developing customs policy;
(e) Provide a fair and expeditious administrative and judicial appellate remedy for customs related grievances and matters;
(f) Employ modern practices in customs administration and utilize information and communications technology in the implementation of customs functions; and (g) Institute professionalism and meritocracy in customs tax administration by attracting and retaining competent and capable customs officers and personnel to enforce the provisions of this Act.
SEC. 102. Definition of Terms. - As used in this Act:
(a) Abatement refers to the reduction or diminution, in whole or in part, of duties and taxes where payment has not been made;
(b) Actual or Outright Exportation refers to the customs procedure applicable to goods which, being in free circulation, leave the Philippine territory and are intended to remain permanently outside it;
(c) Admission refers to the act of bringing imported goods directly or through transit into a free zone;
(d) Airway Bill (AWB) refers to a transport document for airfreight used by airlines and international freight forwarders which specify the holder or consignee of the bill who has the right to claim delivery of the goods when they arrive at the port of destination. It is a contract of carriage that includes carrier conditions, such as limits of liability and claims procedures. In addition, it contains transport instructions to airlines and carriers, a description of the goods, and applicable transportation charges;
(e) Appeal refers to the remedy by which a person who is aggrieved or adversely affected by any action, decision, order, or omission of the Bureau, seeks redress before the Bureau, the Secretary of Finance, or competent court, as the case may be;
(f) Assessment refers to the process of determining the amount of duties and taxes and other charges due on imported and exported goods;
(g) Authorized Economic Operator (ABO) refers to the importer, exporter, customs broker, forwarder, freight forwarder, transport provider, and any other entity duly accredited by the Bureau based on the World Customs Organization (WCO) Framework of Standards to Secure and Facilitate Global Trade, the Revised Kyoto Convention (RKC), the WCO Supply Chain Management Guidelines and the various national best practices to promote trade facilitation and to provide a seamless movement of goods across borders through secure international trade supply chains with the use of risk management and modern technology;
