Article 111p. 111

NATIONAL INTERNAL REVENUE CODE TAXATION, TARIFF and CUSTOMS LAWS

Provided, finally , That the animals and plants are certified

by the NEDA as necessary for economic development;

(t)

Economic,

technical,

vocational,

scientific,

philosophical,

historical

and

cultural

books

or

publications, and religious books like Bibles, missals,

prayer books, the Koran, Ahadith and other religious

books of similar nature and extracts therefrom, hymnal

and hymns for religious uses: Provided , That those which

may have already been imported but are yet to be

released by the Bureau at the effectivity of this Act may

still enjoy the privilege herein provided upon certification

by

the

DepED

that

such

imported

books

and/or

publications

are

for

economic,

technical,

vocational,

scientific, philosophical, historical or cultural purposes or

that the same are educational, scientific or cultural

materials covered by the International Agreement on

Importation

of

Educational

Scientific

and

Cultural

Materials

(IAESCM)

signed

by

the

President

of

the

Philippines

on

August 2, 1952, or other agreements

binding upon the Philippines. Educational, scientific and

cultural materials covered by international agreements or

commitments binding upon the Philippine government

so certified by the DepED.

(u) Philippine goods previously exported from the

Philippines and returned without having been advanced

in value or improved in condition by any process of

manufacturing or other means, and upon which no

drawback

or

bounty

has

been

allowed,

including

instruments and implements, tools of trade, machinery

and equipment, used abroad by Filipino citizens in the

pursuit of their business, occupation or profession; and

foreign goods previously imported when returned after

having been exported and loaned for use temporarily

abroad solely for exhibition, testing and experimentation,

for

scientific

or

educational

purposes;

and

foreign

containers previously imported which have been used in

packing exported Philippine goods and returned empty if

imported

by

or

for

the

account

of

the

person

or

institution who exported them from the Philippines and

not for sale, barter or hire subject to identification:

Provided ,

That

Philippine

goods

falling

under

this

subsection upon which drawback or bounty have been

allowed shall, upon reimportation thereof, be subject to a

duty under this subsection equal to the amount of such

drawback or bounty;

(v) Aircraft, equipment and machinery, spare parts,

commissary and catering supplies, aviation gas, fuel and

oil, whether crude or refined except when directly or

indirectly used for domestic operations, and such other

goods

or

supplies imported by and for the use of

scheduled

airlines

operating

under

congressional

franchise: Provided , That such goods or supplies are not

locally available in reasonable quantity, quality and price

and are necessary or incidental to the proper operation of

the scheduled airline importing the same;

(w) Machineries, equipment, tools for production,

plans to convert mineral ores into saleable form, spare

parts,

supplies,

materials,

accessories,

explosives,

chemicals,

and

transportation

and

communications

facilities imported by and for the use of new mines and

old mines which resume operations, when certified to as

such by the Secretary of the Department of Environment

and

Natural

Resources

(DENR),

upon

the

recommendation

of

the

Director

of

Mines

and

Geosciences Bureau, for a period ending five (5) years

from the first date of actual commercial production of

saleable mineral products: Provided , That such goods are

not locally available in reasonable quantity, quality and

price and are necessary or incidental in the proper

operation

of

the

mine;

and

aircrafts

imported

by

agro-industrial companies to be used by them in their

agriculture and industrial operations or activities, spare

parts and accessories thereof, when certified to as such

by the Secretary of the Department of Agriculture (DA) or

the Secretary of the Department of Trade and Industry

(DTI), as the case may be;

(x) Spare parts of vessels or aircraft of foreign registry

engaged

in

foreign

trade

when

brought

into

the

Philippines

exclusively

as

replacements

or

for

the

emergency repair thereof, upon proof satisfactory to the

District Collector that such spare parts shall be utilized to

secure the safety, seaworthiness or airworthiness of the

vessel or aircraft, to enable it to continue its voyage or

flight;

(y) Goods exported from the Philippines for repair,

processing

or

reconditioning

without

having

been

substantially

advanced

in

value,

and

subsequently

reimported in its original form and in the same state:

Provided , That in case the reimported goods advanced in

value, whether or not in their original state, the value

added shall be subject to the applicable duty rate of the

tariff heading of the reimported goods; and

(z)

Trailer

chassis

when

imported

by

shipping

companies

for

their

exclusive

use

in

handling

containerized

cargo,

upon

posting

a

security

in an

amount equal to one hundred percent (100%) of the

ascertained duties, taxes and other charges due thereon,

to cover a period of one (1) year from the date of

acceptance of the entry, which period, for meritorious

reasons, may be extended by the Commissioner from

year to year, subject to the following conditions:

(1)

That

they

shall

be

properly

identified

and

registered with the Land Transportation Office (LTO);

(2) That they shall be subject to customs supervision

fee to be fixed by the District Collector and subject to the

approval of the Commissioner;

(3) That they shall be deposited in the customs

territory when not in use; and

(4) That upon the expiration of the period prescribed

above, duties and taxes shall be paid unless otherwise

reexported.

(aa) Any officer or employee of the DFA, including any

attaché, civil or military or member of the staff assigned

to

a

Philippine

diplomatic

mission

abroad

by

the

Department or any similar officer or employee of other

departments assigned to any Philippine consular office

abroad,

or

any

AFP

military

personnel

accorded

assimilated diplomatic rank or on duty abroad who is

returning

from

a

regular

assignment

abroad,

for

reassignment to the home office, or who dies, resigns, or

is retired from the service, after the approval of this Act,

shall be exempt from the payment of all duties and taxes

on personal and household effects, including one (1)

motor car which must have been ordered or purchased

prior to the receipt by the mission or consulate of the

order of recall, and which must be registered in the name

of the officer or employee: Provided , That this exemption

shall apply only to the value of the motor car and to the

aggregate assessed value of the personal and household

effects, the latter not to exceed thirty percent (30%) of the

total amount received by the officer or employee in salary

and allowances during the latest assignment abroad, but

not to exceed four (4) years: Provided, however , That this

exemption shall not be availed of more than once every

four

(4)

years: Provided, further , That the officer or

employee concerned must have served abroad for not

less than two (2) years.

The provisions of general and special laws, to the

contrary

notwithstanding,

including

those

granting

franchises, there shall be no exemption whatsoever from

the payment of duties except as provided for in this Act;

those granted to government agencies, instrumentalities

or

government-owned

or

-controlled

corporations

(GOCCs)

with

existing

contracts,

commitments,

agreements,

or

obligations

with

foreign

countries

requiring such exemption; those granted to international

institutions,

associations

or

organizations

entitled

to

exemption pursuant to agreements or special laws; and

those that may be granted by the President upon prior

recommendation of the NEDA in the interest of national

economic development.

© Compiled by RGL

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