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Philippines
Wednesday, March 26, 2025
27.2 C
Philippines
Wednesday, March 26, 2025

BOC urges luxury car owners to pay taxes to avoid seizure

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The Bureau of Customs (BOC) is urging importers and claimants of luxury cars valued at P2.8 billion, which were impounded following a series of raids in four cities in south Metro Manila, to settle their duties and taxes through voluntary payment.

BOC Commissioner Bien Rubio said this approach would prevent the cars from being subjected to a Warrant of Seizure and Detention.

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Rubio cited Section 224 of the Customs Modernization and Tariff Act (CMTA), which allows owners or claimants to exercise this option within 15 days from the issuance of the Letter of Authority (LOA).

He said that making a voluntary payment would spare both the agency and the affected parties from the complicated and lengthy process involved in Warrant and Seizure proceedings while the imported goods are held and at risk of government forfeiture.

The commissioner explained that Section 5 of the Customs Administrative Order (CAO) 10-2020 permits the immediate release of goods upon presentation of proof of payment for the correct duties and taxes, as well as proof of local purchase by the owners or claimants.

“If the claimant cannot produce proof of payment for the correct duties and taxes by the original importer despite diligent efforts, they may voluntarily offer to pay the duties and taxes due on the imported items… This option is available to claimants who can demonstrate that they are bona fide purchasers of the imported goods,” Rubio said.

The Customs chief issued a notice indicating that the payment of the correct duties and taxes can be made voluntarily in light of the recent operations that led to the seizure of P2.8 billion worth of high-end vehicles, including brands such as Ferrari, Porsche, and McLaren, from warehouses in Makati, Taguig, Parañaque, and Pasay this month.

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