Imported fuel
(conclusion)
IN the event that the said Freeport/Economic zone registered enterprise shall subsequently sell/introduce the petroleum or petroleum products, or part of the volume thereof, into the customs territory (except sales of fuel for use in international operations) or another Freeport/Economic zone registered enterprise not enjoying tax privileges, no refund for excise taxes shall be granted to the importer for the product sold.
In any event, the possessor of petroleum or petroleum products must be able to present sufficient evidence that the excise taxes due thereon have been paid, otherwise the excise taxes due on said goods shall be collected from said possessor/user.
In case of sale/introduction of petroleum and petroleum products, or part of the volume thereof, by a Freeport/Economic zone registered enterprise, or part/volume thereof, into the customs territory or to a Freeport/Economic zone registered enterprise not enjoying tax privileges, or any sale to an entity not enjoying 0 percent VAT rate, the seller shall be liable for 12 percent VAT.
In this instance, no refund for VAT shall be allowed the importer or an assessment for VAT shall be issued to the said importer, if the refund has already been granted, and another assessment for VAT shall be made against the seller.
For each and every importation of petroleum and petroleum products, the importer thereof shall secure the prescribed ATRIG from the BIR’s Excise Tax Regulatory Division (ETRD), and pay the Value-Added and excise taxes, as computed, before the release thereof from the BOC’s custody.
In case of subsequent sale/introduction to customs territory by a Freeport/Economic zone-registered enterprise of petroleum and petroleum products, the importer shall secure the necessary Withdrawal Certificate.
For excise tax purposes, all importers of petroleum and petroleum products shall secure a Permit to Operate with the BIR’s ETRD.
Such permit shall prescribe the appropriate terms and conditions which shall include, among others, the issuance of a Withdrawal Certificate and the submission of liquidation reports, for the Permitee’s strict compliance.
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