International Purchases Less Than Php10K No Longer Taxable

Have you been dying to buy that gadget, blu-ray copy of a movie, clothes or any goods that are only available outside of the country but has been thinking twice at the same time as you are afraid how much customs tax it will cost you? Well, there is good news for you coming from the Bureau of Customs.

All purchases outside of the country that are sent to the Philippines or imported goods with value not more than Php10,000 will no longer be subject to tax and duties. Good news right? For tech enthusiasts like me, sometimes it very annoying to realize that some of the gadgets we would like to purchase can only be bought outside of the country which when we buy them it will also cost us additional tax for sending them in.

Bureau of Customs gladly announces that the first Customs Administrative Order (CAO) that will implement a salient feature of the Customs Modernization and Tariff Act (CMTA) has already been signed and approved. This implements Section 423 of CMTA which provides that no duties and taxes shall be collected on goods with freight on board (FOB) or free carrier (FCA) value of Php10,000 or below. That's from the original set amount of Php10.

"This is good news for Filipinos, who can now fully enjoy their small purchases from other countries. I trust that everyone will strictly abide by the provisions of the CAO," Commissioner Nicanor Faeldon said. 

However, not every goods is included in this new provision. Values of tobaccos, wines and spirits that are within the Php10,000 limit will still be subject to payment of excise tax based on the National Internal Revenue Code.

Source: BOC
Powered by Blogger.