Vel Villanueva Customs Review

1) The Professional Regulatory Board and Professional Regulation Commission issues valid Certificates
of Registration/Professional Identification Card pursuant to: (reference: CMTA Section 101 (n))
a) Republic Act 9280
b) Customs Broker Act of 2010
c) Executive Order 805
d) Executive Order160
2) “(1)The Commissioner shall have the power of assignment or reassignment of any customs officer
(2)subject to the approval of the Secretary of Finance; (3)Provided, That the Collectors and other
customs officers that perform clerical functions (4)shall not remain in the same area of assignment
for more than three years.” Which of the clauses is incorrect? (reference: CMTA Section 200 (f))
a) (1)
b) (2)
c) (3)
d) (4)
3) What is the appropriate information to replace the incorrect clause in #4? (reference: CMTA Section
200 (f))
a) “(1)The President shall have the power of assignment or reassignment of any customs officer”
b) “(2)subject to the approval of the Commission on Appointments”
c) “(3)Provided, That the District Collectors and other customs officers that perform assessment
functions”
d) “(4)Shall not remain the same area of assignment for more than three months”
4) “The commissioner can delegate the power to issue, revoke, and modify rulings to any customs
officer.” (reference: CMTA Section 200 (e))
a) Absolutely true.
b) Absolutely false.
c) True, only if the said customs officer has a rank equivalent to division chief or higher.
d) True, but only for the power to modify rulings which can be delegated to District Collectors
when necessary.
5) The Department of Finance and the Department of Social Welfare and Development shall jointly
issue the rules and regulations for the implementation of which provision?
a) Section 120 Relief Consignment
b) Section 115 Treatment of Importation
c) Section 204 Promulgation of Rules and Regulations
d) Section 403 Provisional Goods Declaration
6) The Commissioner is tasked to submit an annual report on the performance of the Bureau on or
before March 31st of the following year to: (reference: Section 203)
a) The President, the Congress of the Philippines, and the NEDA
b) The Congress of the Philippines, the NEDA, and the Tariff Commission
c) The NEDA, the Philippine Statistics Authority, the BIR, and the Tariff Commission

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 d) The Commission on Audit, The Secretary of Finance, and the NEDA
7) The Commissioner shall furnish the following with electronic copies of department orders,
administrative orders, circulars, and rules and regulations promulgated pursuant to the CMTA:
(reference: Section 204)
a) The President, the Congress of the Philippines, and the NEDA
b) The Congress of the Philippines, the NEDA, and the Tariff Commission
c) The NEDA, the Philippine Statistics Authority, the BIR, and the Tariff Commission
d) The Commission on Audit, The Secretary of Finance, and the NEDA
8) Electronic copies of all customs goods declaration processed and cleared by the BOC shall be
regularly furnished by the Commissioner to: (reference: Section 205)
a) The President, the Congress of the Philippines, and the NEDA
b) The Congress of the Philippines, the NEDA, and the Tariff Commission
c) The NEDA, the Philippine Statistics Authority, the BIR, and the Tariff Commission
d) The Commission on Audit, The Secretary of Finance, and the NEDA
9) One of the more well-known privileges recognized under Section 800 is the duty and
tax-free importation of personal and household effects by “returning residents” which
has been defined as:
a) Nationals who have stayed in a foreign country for a period of at least six
months.
b) Foreign residents of the Philippines who have stayed for more than three years
c) Foreign residents of the Philippines who married natural born Filipinos
d) None of the above
10) Residents of the Philippines, OFWs or other Filipinos, while residing abroad or upon
their return to the Philippines, are also allowed to bring in or send to their families o r
relatives in the Philippines “balikbayan boxes” (containing personal and household
effects only) duty and tax-free, provided that the FCA value shall not exceed P150,000
and the items are:
a) not in commercial quantities or
b) not intended for barter, sale or for hire
c) a and b
d) in commercial quantities or intended for barter, sale or for hire
11) Any misdeclaration, misclassification or undervaluation of imported goods resulting in
a discrepancy (in duty and tax to be paid) between what is legally determined upon
assessment and what is declared will be subject to a fixed surcharge rate of
a) 250% of the duty and tax due
b) 750% of the duty and tax due
c) 200% of the duty and tax due
d) None of the above
12) Previous rates for surcharge is
a) 100% to 200% of the duty due
b) 100% to 50% of the duty due
c) 30% to 60% of the duty due

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 d) None of the above
13) Surcharge, however, will not be imposed when
a) The discrepancy in duty is less than 10%
b) The importer’s declared value and/or tariff heading/classification relied on an
official government ruling
c) a and b
d) none of the above
14) In order to avail conditionally-free and duty-exempt importations, if the stay is less than five
years, the FCA or FoB value shall not exceed_______ and that the privilege is not
availed of within six months prior to the returning r esident’s arrival.
a) P150,000
b) P350,000
c) P250,000
d) None of the above
15) If the stay is at least five years, the FCA or FOB value shall not exceed _______ and
that the privilege is not availed of within five years prior to the returning resident’s
arrival.
a) P150,000
b) P350,000
c) P250,000
d) None of the above
16) For those who have stayed in a foreign country for a period of at least 10 years, the
Free on Board (FoB) or Free Carrier Arrangement (FCA) value shall not exceed ______
and that the privilege is not availed of within 10 years prior to the returning
resident’s arrival.
a) P150,000
b) P350,000
c) P250,000
d) None of the above
17) Overseas Filipino Workers (OFWs) shall have the privilege to bring in tax and duty free
home appliances and other durables (limited to one of every kind) once in a given
calendar year accompanying them on their return or arriving within a reasonable
time. What is considered a reasonable time?
a) not exceeding 60 days after every returning OFWs return
b) not exceeding 3 months after every returning OFWs return
c) not exceeding 30 days after every returning OFWs return
d) none of the above
18) President Benigno S. C. Aquino III signed RA No. 10863, which
a) amends the Tariff and Customs Code of the Philippines.
b) Reorganized the Department of Finance
c) codified customs laws for the country, superseding the 48-year colonial regime of
the Tariff Act of 1909

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 d) strengthened the punitive force of the TCCP against smuggling and other forms of
customs fraud.
19) The new CMTA aims to modernize customs laws, rules and procedures to take into
consideration the mandatory standards of the
a) Revised Penal Code
b) US Constitution
c) Revised Kyoto Convention
d) Brussels Nomenclature
20) All imported goods will be subject to the lodgment of a goods declaration which may
be for
a) Consumption
b) Warehousing
c) Conditional importation or for customs transit
d) All of the above
21) As a general rule, goods declarations for consumption are cleared through a _______
process
a) formal entry
b) informal entry
c) warehousing entry
d) split entry
22) A goods declaration must be lodged within 15 days; previousl y, ____________ from a
BoC notice sent through electronic or personal service informing the importers of the
date of discharge of the last package from the vessel or aircraft
a) 30-days extendible for 15 days
b) 30-day non-extendible period
c) 15 days, non-extendible
d) None of the above
23) The importer has a period of 15 days from receipt of notice of assessment (of duties
and taxes payable) within which to pay the corresponding duties and taxes. In effect,
this is also the period within which the importer may ________________. Otherwise,
the assessment will be deemed final after the lapse of the 15 -day period.
a) contest the assessment issued by the BoC at the border
b) request for advanced assessment
c) follow up with an additional importation
d) none of the above
24) After____________, the importer will then have a non-extendible period of 30 days to
claim the goods from customs custody.
a) selling the goods for auction
b) payment of duties and taxes
c) declaring the goods as abandoned
d) none of the above

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25) If, at the time of importation, an importer does not have all the information or
supporting documents required to complete a goods declaration, the CMTA now
allows the lodging of a ______
a) Complaint of unfair practices in the bureau
b) provisional goods declaration
c) request for extension of period for goods declaration
d) none of the above
26) An assessment by the BoC at the border of a PGD shall be deemed _____ and shall be
completed upon final readjustment and submission of the additional information or
documentation required to complete the dec laration
a) final and binding
b) unconstitutional
c) tentative
d) none of the above
27) The CMTA acknowledges the e-commerce trend of increasing number of small value
consignments and thus, retained the provision on de minimis values below which no
duties and taxes will be collected and with minimal clearance procedures, including
data requirements. Thus, if the value of an importation does not exceed _______there
will be no duties and taxes that will be collectible by the BoC.
a) 10,000php
b) 2,000php
c) $500
d) 150,000php
28) Goods such as food, medicine, equipment and materials for shelter, donated or lease
to government institutions and accredited private entities for free distribution to or
use of victims of calamities shall be treated as
a) conditionally free importations
b) conditionally prohibited importations
c) relief consignment
d) none of the above
29) “The CMTA likewise adopts the previous rule under the TCCP, as amended, on the
existence of a prima facie evidence of fraud if the discrepancy (in duty and tax to be
paid) amounts to more than 30%.” What makes the statement incorrect?
a) 30%
b) Fraud
c) more than
d) the statement is fully correct
30) The CMTA provides stiffer penalties for smuggling which has been defined as
a) act of importing goods into the country without complete customs -prescribed
importation documents, or without being cleared by customs or other regulatory
government agencies

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 b) the fraudulent act of importing any goods into the Philippines, or the act of
assisting in receiving, concealing, buying, selling, disposing or transporti ng such
goods, with full knowledge that the same has been fraudulently imported.
c) the act of importing goods into the country by means of a fraudulent, falsified or
erroneous declaration of the goods as to its nature, kind, quality, quantity or
weight
d) taking place through undervaluation, misclassification or underdeclaration of the
goods shipped.
31) The general rule under the CMTA is that goods entered for warehousing may remain
in a CBW for a fixed period of one year from the time of their arrival
a) Correct, with exceptions
b) Absolutely correct
c) Absolutely incorrect
d) It depends on the discretion of the collector of customs
32) Upon declaration of a state of calamity, the clearance of such goods will be a matter
of priority.
a) conditionally free importations
b) conditionally prohibited importations
c) relief consignment
d) none of the above
33) The storage period in a CBW is a maximum one year period, regardless of whether the
goods are perishable or not. Goods not withdrawn after the expiration of the
prescribed period shall be deemed abandoned.
a) Both statements are incorrect
b) Neither statements are incorrect
c) Only the first statement is incorrect
d) Only the second statement is incorrect
34) __________bypasses the usual and normal procedure and process of clearing the
cargo at the BoC
a) Smuggling
b) Outright smuggling
c) Technical smuggling
d) Small-scale smuggling
35) If the BoC has not disposed of goods that are implied to be abandoned, the owner or
importer of goods may, within 30 days after the lapse of the prescribed period to file
the declaration ,still reclaim the goods by complying with all legal requirements and
paying the corresponding duties, taxes, and other charges.
a) Absolutely correct
b) Absolutely false
c) Correct, but it must be within 15 days
d) None of the above

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36) If an importer needs to amend a goods declaration already filed, the CTMA, for valid
reasons and with the approval of the BoC, also permits the filing of an amended goods
declaration. The amendment, however, must be done _________by the BoC.
a) prior to final assessment or examination of the goo ds
b) after the final assessment or examination of the goods
c) 30 days after final assessment or examination of the goods
d) prior to initial assessment or examination of the goods
37) Special procedures are now provided to facilitate the unimpeded entry of relief
consignments. Said procedures include
a) lodging of a simplified or provisional goods declaration
b) pre-arrival clearance
c) both a and b
d) none of the above
38) The BOC and the Department of Social Welfare and Development shall jointly issue
implementing rules on relief consignments.
a) Absolutely true
b) Absolutely false
c) True, with exceptions
d) False, with exceptions
39) The BoC Commissioner, in consultation with the _________, shall also establish
reasonable storage period limits beyond the general one -year period for bonded
goods
a) Secretary of Trade and Industry
b) Tariff Commission
c) NEDA
d) All of the above
40) The _________of imported goods from the CBW shall be subject to a surcharge of 50%
of duties, taxes, customs fees and charges, found to be due and unpaid.
a) unauthorized withdrawal
b) express abandonment
c) implied abandonment
d) none of the above
41) This system effectively eliminates the need to present a Certificate of Origin (CO) to
claim preference under FTAs as it allows accredited exporters to self -declare that
their products have satisfied the ASEAN origin criteria by simply affixing a declaration
on the commercial invoice.
a) self-certification system
b) advance customs rulings
c) both a and b
d) none of the above
42) Advanced customs rulings are required to be issued within _____ receipt of the
application and supporting documents as may be required by regulation.

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 a) 30 days from
b) 30 days before
c) 15 days from
d) 15 days before
43) The BoC, in accordance with international standards, is mandated under the CMTA to
utilize in ___ enhancing custom s control and efficiency in customs operations geared
towards a paperless customs environment. Electronic documents, permits, licenses or
certificates will now be acceptable and will have the legal effect, validity or
enforceability as any other document o r legal writing.
a) SCIM
b) ICT
c) Single Window Policy
d) None of the above
44) If an importer who, after receiving a lawful demand in writing, fails or refuses to
produce relevant records, accounts or invoices necessary to determine and assess the
correct value and classification of the imported goods at the border, the CMTA
empowers a District Collector to impose a _______
a) 100% surcharge based on the dutiable value of such goods.
b) 500% surcharge based on the dutiable value of such goods.
c) 50% surcharge based on the dutiable value of such goods.
d) 20% surcharge based on the dutiable value of such goods.
45) Under the CMTA, the Commissioner may, subject to the further approval of_______,
compromise any administrative case involving the imposition of fines and surcharges,
including those arising from the conduct of a post clearance audit, unless otherwise
specified by law.
a) the Finance Secretary
b) NEDA
c) Tariff Commission
d) RTC
46) Cases involving forfeiture of goods shall, however, always be subject to any
compromise.
a) Absolutely true
b) Absolutely false
c) False, with exceptions
d) None of the above
47) During post clearance audit, if it was determined that an importer auditee failed to
keep the required records of importation, this shall constitute a waiver of the
importer’s right to contest the results of the audit based on records kept by the BoC.
a) False
b) True
c) It depends on the discretion of the collector
d) Both b and c

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48) Manufacturers and exporters in Metro Manila can send in their application to _____
a) SCIMS
b) Commissioner of Customs
c) Any port they are near to
d) None of the above
49) SCIMS is under which customs group?
a) AOCG
b) RCMG
c) MISTG
d) None of the above
50) Only members in good standing with the BOC can qualify for self-certification accreditation
a) Absolutely true
b) Absolutely false
c) True, with exceptions
d) False, with exceptions