Previous Story
Excise tax payment required prior to release of cargo
|
Posted on Mar 10 2021
Taxpayers and their agents in the Commonwealth must pay the excise tax prior to the release of cargo; however, deferred payment is available for qualified importers.
Public Law 21-42 requires that excise tax payment shall be made upon entry and prior to the release of goods, commodities, resources, or merchandise.
There is an exception for qualified importers: an importer must have a CNMI business license for at least two years; a valid tax identification number; a minimum of one-year compliance with Customs import laws and regulations; and a tax clearance from the Division of Revenue & Taxation for a two-year period.
“Applications for approval to qualify as a low-risk importer must be submitted on a form, and will be available through our website and emailed upon request,” said Customs Service director Jose C. Mafnas. He adds that any violation of CNMI law or regulation will result in immediate revocation of qualified low-risk importer status.
“This law has been in the works for more than a year, with feedback from members of the Saipan Chamber of Commerce and other stakeholders. I support this because we can work eliminate fly-by-night importers,” said Mafnas.
Finance Secretary David DLG Atalig also supports this law. “The 30-day grace period is the current practice and will now be a privileged service accorded to companies that are compliant in the matters of taxation and customs,” said Atalig.
Public Law 21-42 was signed into law and becomes effective on May 6. To access the application for tax deferment, visit, https://finance.gov.mp/forms.php or send an email to cnmicustoms@dof.gov.mp. (PR)
