wco revenue package - phase ii
TRANSCRIPT
The WCO Revenue Package Phase II
Varsha SinghLeonardo Macedo
Is Revenue Collection still a Strategic Priority for Customs Today?
Question
1. Revenue Collection •Traditional role of Customs 2.Community Protection •Public health •Drugs •Environment … 3.Security •Terrorism •Firearms… 4.Trade Facilitation •Compliant; non-compliant trader 5.Collecting trade data •Import, Export…
Responsibilities of Customs
Declining revenue - global financial crisis &falling duty rates
Collection of revenue historically cornerstone & continues to be an area of concern for Customs administration’s
Customs - protection of society and trade facilitation
Expanded role of Customs: fight against counterfeiting, counter-terrorism activities and the protection of the environment
June 2012: Phase I Revenue Package; June 2013: Phase II; June 2015
a second series of tools and materials
Background
In response, the WCO Council passed the following Resolution in June 2009: “The WCO Secretariat and Members should enhance even further the delivery of effective capacity
building, especially as a response to declining revenue collection and obstacles to trade facilitation caused by the global economic downturn”.
What has been the WCO Response?
Question
Revenue Package – Phase II
Diagnostic tools
Classification; valuation &
origin
PCA Infrastructure
Diagnostic FW; route map; self
assessment
Tech. GuidelinesAdvance rulings -
classification; origin;
valuation
Origin toolsIrregularity typology;
comparative study &
guidelines on cert. of origin
Tools for reducing revenue risks and
gapsMirror analysis
guide; undervaluation textiles/Italian
experience
Informal Trade Policies
Good practice guide; case
studiesAssist. Members – termination of private sector
inspection contract
Good practice guide; case
studies
Customs Valuation &
Transfer PricingWCO Guide; update e-
learning module; tech. discussions
- TCCV
What is the link between the Revenue Package and the TFA?
Question
Advance rulings (Art. 3) Inconsistency of
decisions RKC std 9.9 (binding
ruling) Bring about certainty
and predictability
Agreement on Trade Facilitation
Risk management (Art. 7.4) Gate keeper to risk
manager Risk management
system (skills, process, technology, information)
Move to faster release and clearance
PCA (Art. 7.5) Audit skills Appropriate
legislation Records
Agreement on Trade Facilitation
Termination of inspection contracts (Art. 10.5) End tariff classification
& customs valuation PSI
Encourage not to extend the practice
Exchange of information (Art.12.2) Specific information on imports & export WCO DM GNC Legal basis
Agreement on Trade Facilitation
If Customs administrations want to meet the provisions of the TFA and ensure revenue collection – how will they benefit?
Question
Fair & efficient revenue collection Improved compliance levels Effective risk management Facilitating compliant trade
Benefits
Discussion