OTO No.

630

Classification

MOF-117

Date of Acceptance

December 18, 2000

Respective Office Receiving Complaint

Cabinet Office (Economic Planning Agency)

Responsible Ministries

Ministry of Finance

Related Laws

Customs Law

Complainant

Hiroshima Chamber of Commerce and Industry (Proxy complaint)

Exporting Countries

Subject

Improvement of identification of cargo subject to the simplified declaration system

Description of Complaint

The simplified declaration system will be introduced in March 2001 to allow qualified importers to separate tariff declarations from import receipt declarations for duly identified import cargoes and make tariff declarations after receiving cargo on condition of their full compliance with law. Cargo subject to the system must be identified as "cargo that is imported continuously." Specifically, the identification is given to cargo that has been imported 24 or more times in the past year. Under this frequency requirement, importers cannot take advantage of the system unless their imports are very frequent. The import frequency for the identification should be cut to 30 times in three years, for example.

Details of Measures

The ministry replied as follows:

The simplified declaration system admits simplified import procedures for importers who have good records of compliance with law.

Since tax-related inspection may be omitted on cargo subject to the system in principle, importers who can take advantage of the system should have good records of compliance with law. Specifically, they are required to have had no Customs Law or other violations and have been rich with experience in importing cargo subject to the system to ensure their appropriate declarations.

As for experience in importing cargo subject to the system, the ministry believes that importers cannot be considered rich with experience in importing cargo subject the system unless "24 or more import permits have been issued in the past one year for the cargo."

Status of Processing

Processed  (January 25, 2001)

Classification of Action

 D

Remarks

A written reply was made on January 11, 2001.