ELECTRONIC TRANSMISSION OF THE CERTIFICATE OF PAYMENT/CLEARANCE (E-CPC) TO THE LAND TRANSPORTATION OFFICE

I. OBJECTIVES

1. To replace the existing printed Certificate of Payment (CP)
with e2m Customs System-generated or electronic certificate of
payment/clearance (e-CPC).

2. To adopt a secured system of electronic transmission of the e-CPC
to the Land Transportation Office (LTO), to be known as the e-CPC
System.

3. To implement the Memorandum of Agreement entered into by the LTO and the Bureau of Customs (BOC) on April 26, 2008.

4. To prevent Customs fraud.

II. SCOPE

This covers all imported motor vehicles, parts and/or components
that are required to be registered with the LTO under existing laws,
rules and regulations.

III. GENERAL PROVISIONS

1. Lodgment of entries shall be in accordance with the details of
the motor vehicle, parts and/or components as provided in CAO 8-2007.

2. A Formal Import Entry shall be filed for all motor vehicles, parts and/or components.

3. Transmittal of the e-CPC to the LTO shall be through a secured electronic means.

I V. OPERATIONAL PROCEDURES A. CONSUMPTION ENT RY

1. A Single Administration Document-Import Entry and Internal
Revenue Declaration (SAD-IEIRD) shall be lodged following the existing
rules and regulations on electronic lodgment through a Value Added
Services Provider (VASP) and CAO 8-2007.

2. The printed SAD-IEIRD and its supporting documents such as but
not limited to, commercial invoice, packing list and B/L, shall be
submitted to the Entry Processing Unit (EPU) or its equivalent office
for document verification. The processing of the SAD-IEIRD and the
assessment of duties and taxes shall be in accordance with the
procedures prescribed under existing laws, rules and regulations.

3. Upon submission of the stencils of the chassis/VIN and/or Engine
Numbers, the examiner shall encode and check the necessary details
required in the e-CPC, viz:

a. BOC CP Number and Date x x x
b. Manufacturer x x x
c. Make x x x

d. Series x x x
e. Color x x x
f. Body Type x x x
g. Year Model x x x
h. Gross Vehicular Weight x x x
i. Net Vehicular Weight x x x
j. Piston Displacement x x x
k. Number of Cylinders x x x
l. Engine Number x x x
m. Chassis Number x x x
n. VIN Number x x x
o. Fuel Type x x x
p. e-CPC Classification x x x

4. The e-CPC shall have the following CODED Classification:

5. After extracting and checking all required data, the Examiner
shall register the e-CPC to the e-CPC System. The e-CPC shall then be
forwarded to the Principal Appraiser or Principal Examiner.

6. The Principal Appraiser or Principal Examiner shall check the
encoded data. If the same are found complete and correct, he shall tag
the e-CPC as “EVALUATED”. Otherwise, he shall encode the instructions
in the remarks box and return the data to the Examiner by pressing the
“RESEND” button.

7. The e-CPC shall be electronically transmitted by the Principal
Appraiser/Principal Examiner to the Chief, Cash Division. After
validating the payment of duties and taxes, the Chief, Cash Division
shall tag the e-CPC as “ PAID”. He shall also encode the Official
Receipt Number, Amount paid and Payment Date.

8. The e-CPC shall be electronically transmitted to the Deputy
Collector for Assessment who shall check the encoded data. If the same
are found complete and correct, he shall tag the e-CPC as “APPROVED”. If
not, he shall encode the instruction in the remarks box and send the
data back to the Examiner by pressing the “RESEND” button.

9. All e-CPC shall be forwarded to the Office of the Commissioner
(OCOM) for clearance and transmission to the LTO. The e-CPC System shall
thereafter electronically transmit the e-CPC to the LTO IT system.

B. OTHER e-CPCs for TRANSMISSION TO LTO

1 . Al l other imported motor vehicles, parts and/or components
either ACQUIRED through public auction or negotiated sale or TRANSFERRED
from tax-exempt to tax-exempt/ non-tax exempt or QUALIFIED under CMO
23-2007 (Buyer in Good Faith) or CMO 15-2007 (Rebuilt trucks and buses)
and motor vehicles covered by Memorandum Receipts shall be part of the
e-CPC System.

2. All working documents and/or requirements of the motor vehicle,
parts and/or components described in the preceding paragraph shall be
reviewed and validated by the Port/Office concerned.

3 . All e-CPCs shall be forwarded to OCO M for clearance and
transmission to the LTO. The e-CPC System shall thereafter
electronically transmit the e-CPC to the LTO IT System.

V . SANCTIONS

Non-compliance with this Order shall merit the following sanctions:

1. Non-registration of the imported motor vehicle/s, parts and/or components with the LTO.

2. Disciplinary action against Customs personnel, importers and brokers in accordance with existing laws, rules and regulations.

VI. EFFECTIVITY

This Order shall take effect immediately.

Adopted: 10 Feb. 2009

(SGD.) NAPOLEON L. MORALES
Commissioner