Circular No. 86/2013/TT-BTC stipulates on the application of preferential regimes in customs administration for enterprises meeting the required conditions.

CIRCULAR

Provisions on the application of preferential treatment regimes in the field of state management regarding customs for enterprises meeting the required conditions.

 Provisions on preferential treatment regimes in the field of state management regarding customs for enterprises meeting the required conditions.

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Pursuant to Decree No. 83/2013/NĐ-CP dated July 22, 2013 of the Government detailing the implementation of certain Articles of the Law on Tax Administration and the Law amending and supplementing certain Articles of the Law on Tax Administration;

Pursuant to the Law on Tax Administration No. 78/2006/QH11 dated November 29, 2006, the Law Amending and Supplementing Certain Articles of the Law on Tax Administration No. 21/2012/QH13 dated November 20, 2012, and detailed regulations implementing the Law on Tax Administration;

Pursuant to Decree No. 154/2005/NĐ-CP dated December 15, 2005 of the Government detailing certain articles of the Law on Customs regarding customs procedures, customs inspection, and supervision;

Considering the proposal of the General Director of the General Department of Customs;

The Minister of Finance prescribes the level of collection,

At the proposal of the Director General of the General Department of Customs,

The Minister of Finance issues this Circular to specifically regulate the application of preferential treatment regimes in state management regarding customs for enterprises meeting the required conditions as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Application

1. Application of preferential treatment regimes in state management regarding customs for enterprises meeting the required conditions as stipulated in this Circular.

2. In addition to the preferential treatments enjoyed according to this Circular, enterprises also enjoy other preferential treatments in the field of state management regarding customs for exported and imported goods as provided by law.

3. Enterprises applying preferential treatment regimes in the field of state management regarding customs (hereinafter referred to as preferential enterprises) shall enjoy the preferential regimes specified in this Circular at all customs units nationwide, both during the customs clearance procedure phase and the post-clearance inspection phase.

4. When recognized as a preferential enterprise, all exported and imported goods of the enterprise specified in Article 2 below shall enjoy corresponding preferential regimes as stipulated in Chapter 4 of this Circular (except goods exported or imported on behalf of other enterprises).

Article 2. Types of Preferential Enterprises

Preferential enterprises include three types:

1. Enterprises enjoying preferential treatment in exporting and importing all kinds of goods and types of export and import activities.

2. Enterprises enjoying preferential treatment in exporting agricultural products, aquatic products, textiles, footwear, and importing raw materials and components for producing the aforementioned exported goods.

3. Enterprises certified by the Ministry of Science and Technology as high-tech enterprises under the High-Tech Industry Law shall enjoy preferential treatment in importing goods for production purposes and exporting high-tech products.

Chapter II

CONDITIONS FOR PREFERENTIAL ENTERPRISES

Enterprises eligible for preferential treatment under this Circular must meet all the conditions from Article 3 to Article 9 below:

Article 3. Conditions Regarding Compliance with Laws

1. The period for evaluating the enterprise's compliance with laws is twenty-four months prior to the date when the General Department of Customs receives the enterprise's document requesting recognition as a preferential enterprise.

2. Within the period specified in Clause 1 of this Article, the enterprise does not violate tax and customs laws to the extent that it is subject to administrative penalties for any of the following acts, which shall be considered as meeting the condition of compliance with laws:

2.1. Exporting or importing goods listed in the prohibited export and import list in violation of the law.

2.2. Being administratively penalized for tax evasion, tax fraud, smuggling, or illegal cross-border transportation of goods.

2.3. Being administratively penalized more than three times by customs authorities or tax authorities for incorrect declarations leading to underpayment of taxes due or overpayment of tax exemptions, reductions, or refunds, with each penalty exceeding the authority of the District Tax Commissioner or equivalent positions as prescribed by the Law on Administrative Penalties.

2.4. Being administratively penalized by customs authorities for failing to comply with customs inspection requirements, information provision, or submission of business records.

Article 4. Payment Conditions

Payments for export and import consignments must be made in accordance with the regulations of the State Bank. Taxes shall be paid through banks or state treasuries.

Article 5. Accounting and Financial Conditions

Apply accounting standards accepted by the Ministry of Finance. All economic activities must be fully reflected in accounting books. Annual financial reports must be accepted by an auditing company qualified to assess the effectiveness of business operations and ensure there are no overdue tax debts for two consecutive years prior to the year under review.

Article 6. Turnover Conditions

1. For enterprises specified in Clause 1, Article 2 of this Circular: The minimum turnover for exports and imports must reach 200 million USD annually.

2. For enterprises specified in Clause 2, Article 2 of this Circular: The minimum turnover for exports must reach 50 million USD annually.

3. For enterprises specified in Clause 3, Article 2 of this Circular, there is no requirement for export and import turnover.

4. The turnover for exports and imports stipulated in Clauses 1 and 2 of this Article refers to the average turnover over two consecutive years under review.

Article 7. Conditions for Implementing Customs Procedures and Electronic Tax Procedures

1. At the time when the customs authority reviews and evaluates, the enterprise must have implemented electronic customs procedures with the customs authority and electronic tax procedures with the tax authority.

2. The enterprise must have technical infrastructure that meets the requirements for electronic data exchange between the enterprise and the customs authority.

Article 8. Reliability Conditions

1. The customs authority determines the reliability of future compliance with the law by the enterprise based on criteria regarding the internal control system of the enterprise, financial control mechanisms, cooperation with the customs authority and tax management agencies (according to the evaluation criteria of the General Department of Customs).

2. For enterprises meeting the conditions stipulated from Article 3 to Article 7 of this Circular, but where the customs authority does not yet have sufficient grounds to determine the reliability of future compliance with the law by the enterprise, such enterprises will not be recognized as priority enterprises.

Article 9. Voluntary Application for Recognition as a Priority Enterprise

1. An enterprise wishing to apply for priority treatment must compare itself against the conditions, submit a written request to the General Department of Customs for examination and recognition as a priority enterprise, and commit to strictly comply with legal provisions.

2. The enterprise has the responsibility to develop programs and plans, organize personnel, invest in equipment to ensure compliance with and maintenance of the conditions required for priority enterprises.

Chapter III

PROCEDURES FOR REVIEWING, RECOGNIZING, EXTENDING, TEMPORARILY SUSPENDING, AND SUSPENDING PRIORITY ENTERPRISES

Article 10. Authority for Recognizing, Extending, Temporarily Suspending, and Suspending Priority Treatment

1. The Director-General of the General Department of Customs has the authority to decide on recognizing, extending, temporarily suspending, and suspending the application of priority treatment.

2. The Post-Clearance Audit Department leads and assists the Director-General of the General Department of Customs in reviewing conditions, recognizing, extending, temporarily suspending, suspending, and managing priority enterprises.

3. Units under the General Department of Customs and Provincial/City Customs Departments are responsible for coordinating, providing information, commenting, and evaluating the enterprise's compliance with laws and its export/import activities.

Article 11. Documents for Application to Recognize Priority Enterprises

1. The General Department of Customs (Post-Customs Clearance Inspection Department) shall be the unit receiving the application documents for recognizing priority enterprises.

2. Documents include:

2.1. Requesting document: 01 original copy (in accordance with Form 01/DNUT issued together with this Circular) in which the enterprise self-determines and requests the type of priority enterprise.

2.2. Report on the situation and statistics of export and import figures of the enterprise in the last two years: 01 original copy.

The period of statistics is the whole year, from January 1 to December 31 of the year. For the current year being implemented: if it has been carried out for six months or less, then take the data of the previous two years; if it has been carried out for more than six months, then take the data of the months already implemented and estimate the annual data (in accordance with Form 02/DNUT issued together with this Circular).

2.3. Compliance report on laws for the last two years (if there have been violations, specify the number of times, the acts, the form of punishment, the level of punishment, the enforcement authority, and the compliance status with the decision on punishment): submit 01 original copy.

2.4. Audited financial statements for the last two years: submit 01 certified copy.

2.5. Audit conclusion and inspection report (if any) of the most recent period (not exceeding one year): submit 01 certified copy, present the original.

2.6. Self-analysis and assessment report on business operations and financial status of the enterprise.

2.7. Self-assessment report on the internal control system of the enterprise; internal operational procedures, including a detailed description of the operational procedures of all relevant departments in the supply chain (such as departments related to customs clearance procedures: logistics, accounting, purchasing, sales, product quality management).

2.8. Other documents that the enterprise deems necessary to provide to the customs authorities to support them during the evaluation process (such as certificates of awards, international and national certifications, management standards applied).

Article 12. Evaluation of Conditions for Priority Enterprises

1. Evaluation Object: The enterprise and its branches and subsidiaries under the same accounting system.

2. Evaluation methods include document review and on-site inspection.

2.1. Document review is conducted:

- Based on the documents provided by the enterprise, checking databases and other sources of information regarding the enterprise's compliance with Customs Law and export-import turnover.

- Opinions and comments from relevant agencies include:

+ The agency responsible for evaluating compliance with Customs Law (including tax compliance for imported and exported goods) is the Provincial/City Customs Office where the enterprise has its headquarters, conducts export-import activities, and subordinate units of the General Department of Customs.

+ The agency responsible for verifying commodity codes for export-import goods is the Provincial/City Customs Office where the enterprise has its headquarters. Commodity codes for goods exported and imported by the enterprise (excluding imported goods under non-taxable categories such as bonded imports and exports) have been verified and agreed upon by the enterprise and the Provincial/City Customs Office, serving as the basis for the Memorandum for the enterprise to declare customs when handling export-import procedures nationwide.

+ The agency confirming compliance with domestic tax laws and electronic tax procedures is the tax authority where the enterprise is registered and fulfills domestic tax obligations.

+ Agencies responsible for evaluating compliance with laws according to their respective functions and authorities. Within ten working days from the date of receipt of the requesting document from the General Department of Customs, these agencies must respond in writing.

If the application documents do not meet the conditions stipulated in Chapter II of this Circular, the General Department of Customs will issue a response to the enterprise.

2.2. On-site inspection: The Post-Customs Clearance Inspection Department directly conducts or collaborates with the Provincial/City Customs Office where the enterprise is headquartered to conduct on-site inspections.

On-site inspections are conducted after the enterprise's document review results meet the stipulated conditions or simultaneously with the document review process. The contents include:

- Evaluating compliance with Customs Law and tax laws for the enterprise's export-import activities;

- Assessing the enterprise's internal control capabilities;

- Inspecting the enterprise's technical infrastructure for information technology applications to meet requirements for electronic data exchange between the enterprise and customs and tax authorities.

3. Handling Evaluation Results:

Based on the evaluation results, opinions from internal and external units and agencies, audit conclusions and inspection reports (if any), and other collected information, comparing with the conditions for priority enterprises stipulated from Article 3 to Article 9 of Chapter II of this Circular, the Post-Customs Clearance Inspection Department prepares an evaluation report, submits it to the General Director of the General Department of Customs for consideration and decision.

4. The time limit for considering recognition of priority enterprises does not exceed forty-five working days from the date of receipt of complete application documents. For complex cases involving large enterprises, the deadline may be extended once but not exceeding thirty working days. If the enterprise is assessed as not meeting the conditions for priority enterprises, the General Department of Customs will notify the enterprise in writing.

Article 13. Establishment of Memorandum of Understanding (MOU)

1. In cases where enterprises are assessed to meet the conditions for priority enterprises and are approved by the Director General of the General Department of Customs, the Post-Customs Clearance Inspection Department and the enterprise shall establish the MOU (Form 03/DNUT) and submit it to the Director General of the General Department of Customs for signing the MOU.

2. The MOU, in addition to other contents depending on the characteristics and operational situation of each enterprise, must include the following main contents:

- Name, address, telephone, fax, email of the enterprise;

- Type of priority enterprise;

- Responsibilities of the enterprise;

- Responsibilities of the General Department of Customs;

- Agreement on determining the codes of goods that the enterprise has exported and imported (excluding imported goods under non-taxable forms such as export processing and import processing).

Article 14. Decision Recognizing Priority Enterprises

1. The person signing the decision recognizing priority enterprises is the Director General of the General Department of Customs.

2. The time limit for issuing the decision recognizing priority enterprises shall not exceed fifteen working days from the date of completing the review.

3. The model of the Decision Recognizing Priority Enterprises issued together with this Circular (Form 04/DNUT).

Article 15. Re-evaluation and Extension

1. The initial period during which an enterprise enjoys preferential treatment is twenty-four months from the date the Director General of the General Department of Customs signs the Decision Applying Preferential Treatment to the Enterprise. After this period, the General Department of Customs will conduct a re-evaluation; if the enterprise still meets the prescribed conditions, it will be extended the application of preferential treatment.

2. Sixty days before the expiration date of the Decision Recognizing Priority Enterprises, the General Department of Customs will notify the enterprise to request an extension of preferential treatment.

3. Procedures for re-evaluation:

- Reviewing the file as stipulated in Point 2.1, Article 12 of this Circular;

- On-site verification is carried out according to risk management principles.

The time for reviewing and re-evaluating shall not exceed thirty working days. If the procedures for re-evaluation and re-recognition have not been completed by the expiration date of the Decision Recognizing Priority Enterprises, the enterprise will still apply all preferential treatments fully.

4. If the result of the re-evaluation shows that the enterprise still meets the prescribed conditions, the General Department of Customs will base on the level of compliance with the law of the enterprise and issue a decision extending the application of preferential treatment for the enterprise within a period of thirty-six to sixty months according to Form 05/DNUT issued together with this Circular:

- Sixty months for enterprises without violations being processed or having one violation in each tax and customs field and being administratively fined with a fine amount not exceeding the authority of the District Tax Office Director;

- Thirty-six months for priority enterprises with more than one violation in each tax and customs field and being administratively fined with a fine amount each time not exceeding the authority of the District Tax Office Director, but still meeting the conditions for compliance with the law as stipulated in Article 3 of this Circular.

Article 16. Temporary Suspension of Priority Regime Application

1. The Director of the General Department of Customs shall issue a decision to temporarily suspend the priority regime stipulated in Chapter IV of this Circular when determining that a business has committed one of the following violations:

1.1. The business violates one of the provisions set forth in Article 3 of this Circular.

1.2. The business does not meet the requirements set forth in Article 8 of this Circular.

2. The temporary suspension period ranges from 60 (sixty) to 180 (one hundred eighty) days. In cases with legitimate reasons (due to objective causes), if the business has not yet fully rectified the errors by the end of the aforementioned period, the suspension period may be extended once but not exceeding 60 (sixty) days.

Based on the violation assessment report of the provincial or city customs office, and the clarification report of the business (detailing improvement measures and methods for implementing customs authorities' recommendations), if the business still meets all conditions for a priority enterprise or after relevant agencies evaluate the business's violation behavior and determine it still complies with the legal requirements stipulated in Article 3 of this Circular, the Director of the General Department of Customs shall consider and decide to revoke the Decision on Temporary Suspension.

3. Units under and affiliated with the General Department of Customs, upon discovering a business's violation, shall report to the General Department of Customs (Post-Clearance Inspection Bureau) for consideration and issuance of a decision to temporarily suspend the application of the priority regime (Form 06/DNUT), and the Decision to Revoke the Decision on Temporary Suspension (Form 07/DNUT issued together with this Circular).

Article 17. Suspension of Priority Regime Application

1. The Director of the General Department of Customs shall issue a decision to suspend the priority regime stipulated in Chapter IV of this Circular (Form 08/DNUT) in the following cases:

1.1. The business no longer meets the conditions for a priority enterprise as prescribed in this Circular.

1.2. The business cannot rectify the errors and violations notified by the customs authority; at the end of the temporary suspension period for the priority regime application, the business still fails to correct the errors and deficiencies.

1.3. The business requests withdrawal from the priority regime; or after the recognition period expires, the business does not apply for recognition as a priority enterprise.

2. If a business has been suspended from the priority regime, it will not be accepted by the General Department of Customs for applications to recognize a priority enterprise for the next two years.

Chapter IV

PREFERENTIAL REGIMES

Article 18. Priorities During Clearance

1. Exemption from customs document inspection and physical examination of goods (except in cases of clear evidence of violation):

- The business is responsible before the law and the customs authority for the legality, validity, and content of the customs declaration.

- Physical examination of goods includes exemption from manual and machine inspections. In cases requiring inspection, pre-inspection using technical means is allowed, and the business can be requested to have the goods inspected at a location chosen by the business.

2. Use of a set of documents including commercial invoices, packing lists, delivery orders, and tax declarations stamped and signed by the business representative for clearance of goods in cases where the customs authority's data system encounters technical issues or is temporarily out of operation.

In such cases, the customs sub-department where the declaration is registered, which has encountered technical issues or is temporarily out of operation, shall notify the customs sub-department at the port of entry to coordinate implementation.

3. No need to register with the customs authority the quota of raw materials consumed, nor submit liquidity reports to the customs authority, provided that the business has a management software for export and import goods that meets the customs authority's management and inspection requirements.

Quarterly, the business must submit to the customs authority a report on the importation, exportation, and inventory of raw materials based on self-established quotas. The business bears legal responsibility for the accuracy of its self-established quotas.

Article 19. Priorities in the post-clearance phase

1. During the period when enterprises are applying for preferential treatment, customs authorities shall not conduct post-clearance inspections at the enterprise's premises (except in cases where there are clear signs of violations).

In cases where the customs authority notifies errors or issues that need clarification, the enterprise shall be responsible for rechecking and explaining to the customs authority. The form of explanation and the location for such explanations shall be carried out according to the provisions of Article 145 of Circular 194/2010/TT-BTC dated December 6, 2010, issued by the Ministry of Finance.

2. Inspections conducted to serve the recognition, extension, or suspension of preferential treatment. The scope and content of the inspection shall vary according to the management oversight requirements of the customs authority.

Article 20. Single Declaration

1. The implementation of single declaration and the deadline for settlement of single declaration shall be carried out according to the provisions of Article 9 of Decree 154/2005/ND-CP dated December 15, 2005, issued by the Government.

2. Enterprises with preferential status may declare customs in two forms:

- For goods exported or imported through border gates, declarations shall be made before the export or import of goods;

- For goods imported for immediate consumption; raw materials, spare parts, and components for production purchased from bonded warehouses, the goods shall be imported first (under the supervision of the customs authority, evidenced by a delivery receipt between the enterprise and the bonded warehouse operator), followed by declaration.

Article 21. Preferential Procedures for Taxation

1. Enterprises are entitled to apply self-settlement, advance tax refund, and subsequent inspection.

Enterprises calculate the actual quantity of goods used in production, remaining stock, and the amount of additional tax payable or non-payment. Enterprises bear responsibility under the law and the customs authority for the content of the settlement. Based on the results of the self-settlement by the enterprise, the customs authority will issue decisions on settlement, tax refunds, and non-collection of taxes.

2. No late payment penalties or administrative sanctions for customs or tax violations shall be imposed in cases where taxes are determined due to incorrect commodity codes previously agreed upon and verified by the customs authority, provided that the enterprise is still considered compliant with the law.

Chapter V

MANAGEMENT OF PRIORITY ENTERPRISES

Article 22. Responsibilities of Customs Authorities

1. The Post-Clearance Inspection Department is the specialized unit assisting the General Director of the General Customs Department in performing the following tasks:

1.1. Advising on the establishment and improvement of preferential regimes;

1.2. Leading the review and organizing opinions from related units and agencies;

1.3. Conducting annual surveys to assess the maintenance of conditions by preferential enterprises;

1.4. Being the focal point for advising on handling emerging issues; advising on international cooperation regarding preferential enterprises;

1.5. Assigning and notifying preferential enterprises of the list of customs officials responsible for managing preferential enterprises;

Continuously monitoring, collecting, and analyzing the operational situation and export-import data of enterprises to assist them in enhancing their compliance capacity, identifying early mistakes for timely correction. If an enterprise is found to have errors or issues requiring clarification, the customs authority shall notify the enterprise to conduct self-inspection:

- If the enterprise acknowledges the findings of the customs authority as correct, it shall be required to rectify the situation (such as supplementary declarations; providing additional documentation; paying additional taxes);

- If the enterprise disagrees with the notification of the customs authority, the enterprise shall submit a written explanation (accompanied by supporting documents and evidence).

1.6. Being ready to respond and explain the policies and laws on customs and taxation to enterprises;

1.7. Training knowledge about preferential enterprises for provincial and municipal customs offices and focal points of enterprises recognized as preferential enterprises.

2. At provincial and municipal customs offices, depending on the number of preferential enterprises within their jurisdiction, a group of customs officials shall be assigned to perform the following tasks:

2.1. Guiding enterprises in preparing applications for recognition as preferential enterprises;

2.2. Organizing on-site inspections of enterprise conditions as required by the General Customs Department (Post-Clearance Inspection Department);

2.3. Preparing evaluation reports on enterprises;

2.4. Continuously monitoring the export-import activities of enterprises, helping them maintain conditions, and promptly identifying and correcting errors. Regularly reporting monitoring results to the General Customs Department;

2.5. Cooperating with enterprises to handle emerging issues within the jurisdiction managed by the provincial or municipal customs office.

Article 23. Responsibilities of Priority Enterprises

1. Strict compliance with laws.

2. Establishing a department or appointing a dedicated person to implement the priority regime. This department shall be responsible for: serving as the point of contact for information exchange, providing information, coordinating with the dedicated department of priority enterprises at customs authorities; implementing reporting procedures; coordinating all activities of the enterprise under the priority regime.

3. Developing and implementing a regular self-inspection system and reporting on export and import operations to the General Department of Customs. Regularly providing information and data on exported and imported goods to customs authorities:

- Quarterly, the enterprise shall provide the General Department of Customs with the situation and data on exported and imported goods of the previous quarter (in accordance with Form 09a/DNUT, 09b/DNUT issued together with this Circular).

- Method of provision: Through a computer network connected between the General Department of Customs and the enterprise.

4. Drafting and notifying in writing to customs authorities information about the department/person responsible for the dedicated liaison role of the enterprise.

5. Being responsible for regularly exchanging information with customs authorities. Ready to cooperate and clarify any doubts according to the requirements of customs authorities or specialized customs officers managing the enterprise.

6. Regularly conducting self-inspections, identifying and rectifying errors. In cases where new export or import items have not been agreed upon with unified codes, the enterprise shall propose item codes, notify the Customs Office of the province/city where the enterprise's headquarters is located for review and agreement.

7. Cooperating well with customs authorities when they conduct inspections. When notified of errors or unclear issues in customs documents, the enterprise shall be responsible for rechecking, responding, and explaining fully and promptly the issues reported by customs authorities.

8. In cases where customs authorities conduct inspections at the enterprise's premises or the enterprise requests customs authorities to visit regarding unclear issues, the enterprise shall be responsible for creating favorable conditions and fully cooperating with the inspection team; for issues with differing opinions, both parties shall seek appropriate solutions in accordance with the law.

9. Prior to implementing the priority regime as stipulated in this Circular, priority enterprises shall notify the General Department of Customs and the Customs Sub-department handling export and import procedures for the enterprise's goods about the customs agent handling such procedures and commit to their compliance with the law. If there is a change in the customs agent, it must be reported to the aforementioned customs authority. Priority enterprises must regularly monitor the compliance of the customs agent with the law to identify any errors (if any) and immediately report them to the customs authority.

Chapter VI

VIOLATIONS, COMPLAINTS, REPORTS, IMPLEMENTATION ORGANIZATION

Article 24. Handling of violations

1. If priority enterprises violate the law, they will be subject to legal sanctions depending on the nature and severity of the violation.

2. It is strictly prohibited for organizations and individuals to take advantage of this priority regime to violate policies and laws; if violations occur, they will be subject to administrative or criminal sanctions according to the law based on the nature and severity of the violation.

Article 25. Complaints and Reports

1. Any individual or organization has the right to file complaints; every citizen has the right to report violations of the law during the implementation of this Circular.

2. Complaints and reports, as well as the resolution of complaints and reports, shall be carried out in accordance with the law on complaints and reports.

Article 26. Responsibilities for Implementation

1. The Director-General of the General Department of Customs shall direct and guide customs units to implement in accordance with the provisions of this Circular.

2. The General Department of Customs shall be responsible for closely coordinating with relevant agencies and units to ensure strict and effective implementation of the provisions of this Circular.

Article 27. Effective Date

1. This Circular replaces Circular No. 63/2011/TT-BTC dated May 13, 2011 and Circular No. 105/2011/TT-BTC dated July 12, 2011 of the Ministry of Finance, and shall take effect 45 days from the date of signature.

2. Priority enterprises currently applying under Circular No. 63/2011/TT-BTC dated May 13, 2011 and Circular No. 105/2011/TT-BTC dated July 12, 2011 of the Ministry of Finance shall continue to apply the priority regime as stipulated in this Circular. Re-evaluation and extension for these enterprises shall be implemented in accordance with Article 15 of this Circular. In case a priority enterprise requests to change the type of priority enterprise as stipulated in Article 2 of this Circular, the Director-General of the General Department of Customs shall consider and decide, following the appraisal procedures stipulated in this Circular./.