Article 107p. 107

NATIONAL INTERNAL REVENUE CODE TAXATION, TARIFF and CUSTOMS LAWS

CHAPTER 2 Special Duties and Trade Remedy

Measures

SECTION 709. Government's Right of Compulsory

Acquisition. — In order to protect government revenues

against undervaluation of goods, the Commissioner may,

motu proprio or upon the recommendation of the District

Collector, acquire imported goods under question for a

price equal to their declared customs value plus any

duties already paid on the goods, payment for which shall

be made within ten (10) working days from issuance of a

warrant signed by the Commissioner for the acquisition

of such goods.

An importer who is dissatisfied with a decision of the

Commissioner pertaining to this section may, within

twenty (20) working days after the date on which notice

of the decision is given, appeal to the Secretary of

Finance, and thereafter if still dissatisfied, to the CTA as

provided for in Section 1136 of this Act.

Where no appeal is made by the importer, or upon

reaffirmation of the Commissioner's decision during the

appeals process, the Bureau or its agents shall sell the

acquired goods pursuant to existing laws and regulations.

Nothing in this section limits or affects any other

powers of the Bureau with respect to the disposition of

the goods or any liability of the importer or any other

person with respect to an offense committed in the

importation of the goods.

SECTION

710.

Marking

of Imported Goods and

Containers.

—

(A) Marking of Goods. — Except as

hereinafter provided, all goods of foreign origin imported

into the Philippines or their containers, as provided in

subsection (B) hereof shall be conspicuously marked in

any

official

language

of

the

Philippines

as

legibly,

indelibly and permanently as the nature of the goods or

container will permit and in such manner as to indicate to

an ultimate purchaser in the Philippines the name of the

country of origin of the goods. Pursuant thereto, the

Commissioner shall, with the approval of the Secretary of

Finance:

(1) Determine the character of words and phrases or

abbreviation

thereof

which

shall

be

acceptable

as

indicating

the

country

of

origin

and

prescribe

any

reasonable method of marking, whether by printing,

stenciling, stamping, branding, labeling or by any other

reasonable method, and in a conspicuous place on the

goods or container where the marking shall appear;

(2) Require the addition of other words or symbols

which

may

be

appropriate to prevent deception or

mistake as to the origin of the goods or as to the origin of

any other goods with which such imported goods is

usually combined subsequent to importation but before

delivery to an ultimate purchaser; and

(3) Authorize the exception of any goods from the

requirements of marking if:

(i) Such goods are incapable of being marked;

(ii) Such goods cannot be marked prior to shipment

to the Philippines without injury;

(iii) Such goods cannot be marked prior to shipment

to the Philippines, except at an expense economically

prohibitive of their importation;

(iv) The marking of a container of such goods will

reasonably indicate the origin of such goods;

(v) Such goods are crude substances;

(vi) Such goods are imported for use by the importer

and not intended for sale in their imported or any other

form;

(vii) Such goods are to be processed in the Philippines

by the importer or for the importer's account other than

for the purpose of concealing the origin of such goods

and in such manner that any mark contemplated by this

section would necessarily be obliterated, destroyed, or

permanently concealed;

(viii) An ultimate purchaser, by reason of the character

of such goods or by reason of the circumstances of their

importation, must necessarily know the country of origin

of such goods even though they are not marked to

indicate their origin;

(ix) Such goods were produced more than twenty (20)

years prior to their importation into the Philippines; or

(x) Such goods cannot be marked after importation

except at an expense which is economically prohibitive,

and the failure to mark the goods before importation was

not due to any purpose of the importer, producer, seller

or shipper to avoid compliance with this section.

(B) Marking of Containers. — Whenever goods are

exempt under paragraph (3) of subsection (A) of this

section

from

the

requirements

of

marking,

the

immediate container, if any, of such goods, or such other

container or containers of such goods, shall be marked in

such manner as to indicate to an ultimate purchaser in

the Philippines the name of the country of origin of such

goods in any official language of the Philippines, subject

to all provisions of this section, including the same

exceptions as are applicable to goods under paragraph (3)

of subsection (A).

(C) Fine for Failure to Mark. — If, at the time of

importation any good or its container, as provided in

subsection (B) hereof, is not marked in accordance with

the requirements of this section, there shall be levied,

collected, and paid upon such good a marking duty of

five percent (5%) of dutiable value, which shall be deemed

to have accrued at the time of importation.

(D) Release Withheld until Marked. — No imported

goods

held

in

customs

custody

for

inspection,

examination, or assessment shall be released until such

goods or their containers shall have been marked in

accordance with the requirements of this section and

until the amount of duty estimated to be payable under

subsection (C) of this section shall have been deposited.

(E) The failure or refusal of the owner or importer to

mark the goods as herein required within a period of

thirty (30) days after due notice shall constitute as an act

of abandonment of said goods and their disposition shall

be governed by the provisions of this Act relative to

abandonment of imported goods.

SECTION 711. Dumping Duty. —

The provisions of Republic Act No. 8752 , otherwise

known as the " Anti-Dumping Act of 1999 ", are hereby

adopted.

SECTION 712. Safeguard Duty. —

The provisions of Republic Act No. 8800 , otherwise

known as the " Safeguard Measures Act ", are hereby

adopted.

SECTION 713. Countervailing Duty. —

The provisions of Republic Act No. 8751 , otherwise

known as "An Act Strengthening the Mechanisms for the

Imposition

of

Countervailing

Duties

on

Imported

Subsidized

Products,

Commodities

or

Articles

of

Commerce in Order to Protect Domestic Industries from

Unfair Trade Competition, Amending for the Purpose

Section 302, Part 2, Title II, Book I of Presidential Decree

No. 1464 ", otherwise known as the " Tariff and Customs

Code

of

the

Philippines ,

as

Amended",

are

hereby

adopted.

SECTION 714. Discrimination by Foreign Countries.

— Without prejudice to the Philippine commitment in

any

ratified

international

agreements

or

treaty,

the

following

recourse

shall

be

applicable

in

case

of

discrimination by foreign countries:

(a) When the President finds that the public interest

will

be

served

thereby,

the

President

shall,

by

proclamation,

specify and declare new or additional

duties in an amount not exceeding one hundred percent

© Compiled by RGL

107 of 201