De minimis increase to P10,000
Export Development Council News
October 18, 2016

Imported goods valued at P10,000 and below are no longer subject to duties and taxes pursuant to the Customs Administrative Order (CAO) No. 2-2016. The CAO implements the de minimis provision of the Customs Modernization and Tariff Act (CMTA) or Republic Act (RA) No. 10863.

Importations at de minimis value shall be lodged and processed using a simplified and enabled electronic system to allow advance clearance and ensure proper customs monitoring and control to capture and preserve pertinent data on de minimis importation.

Imported goods within the de minimis value are entitled to immediate release. However, following importations are not entitled for immediate release as de minimis importations:

1. Importation declared as “without commercial value”;

2. Tobacco and liquor products carried by passengers in excess with allowable limits but within de minimis value;

3. Goods subject to requirements or conditions imposed by the concerned regulatory agency, unless for personal use and within the limits allowed by regulations;

4. Prohibited and restricted importations; and

5. Importations to be entered conditionally free, for warehousing, for transit, and/or admission to free zone.

The CAO also provides that based on internationally accepted customs administration risk management principles, customs examiners may physically inspect the imported goods. For more details, please click CAO No. 2-2016□