CAO 4-2019

Question 1

shall refer to reduction of duties and taxes payable on imported goods on account of loss, damage, shortage, defect and other similar circumstances as defined in the law

Answer 1

Abatement

Question 2

shall refer to the Refund or credit of duties, and may include internal revenue taxes, actually paid for the importation, in whole or in part.

Answer 2

Duty Drawback

Question 3

shall refer to the return, in whole or in part, of duties and taxes resulting from an overpayment or erroneous payment or overcharged as a result of an error in assessment

Answer 3

Refund

Question 4

shall refer to certification duly issued to the grantee-importer named therein by the Commissioner or his duly authorized representative acknowledging that the grantee-importer named therein is legally entitled tax credit, the money value of which may be used in payment or in satisfaction of any of his customs duty or tax obligations or may be converted as a cash refund

Answer 4

Tax Credit Certificate (TCC)

Question 5

shall refer to the document authorizing the utilization of the TCC as payment for customs duties or tax obligations of the grantee-importer. A TCC cannot be utilized as payment for duty or taxes without a duly approved TDM6

Answer 5

Tax Debit Memorandum (TDM)