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RMO No. 20-2022: Prescribes the modified guidelines and procedures in the issuance of Authority to Release Imported Goods (ATRIG) for Value-Added Tax (VAT)-Exempt Drugs and Medicines covered under Section 109(AA) of the National Internal Revenue Code of 1997 (Tax Code), as amended by RA No. 11534

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Summary

RMO No. 20-2022 prescribes modified guidelines and procedures for issuing the Authority to Release Imported Goods (ATRIG) for VAT-exempt drugs and medicines under Section 109(AA) of the Tax Code, as amended by RA No. 11534.

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Key points

  1. Covered imports. The changes apply to ATRIG processing for imported drugs and medicines for diabetes, high cholesterol, hypertension, cancer, mental illness, tuberculosis and kidney diseases. They modify RMO No. 35-2002.
  2. Processing and acceptance. The ATRIG is processed, approved and issued within one (1) day from actual receipt if the documents are complete and there is no legal or factual issue on taxability. The BIR stamps the application as received only when documents are complete with no discrepancy, and the drug description must exactly match the published FDA list or the RDO will not accept the application.
  3. Approving officials. The Assistant Commissioner for Large Taxpayers Service approves ATRIGs processed by Large Taxpayers Assistance Division II. The Regional Director approves those processed by RDOs and EXTAs co-located in Regional Offices, and Revenue District Officers approve those of RDOs over the port of entry that are not co-located.
  4. Release of approved ATRIG. The Releasing Officer emails a scanned copy to the dedicated email of the BOC Revenue Collector’s office, which may be enough for the BOC to release the goods. A scanned copy also goes to the taxpayer or its authorized representative, such as brokers, with an SPA or Secretary’s Certificate. Originals go directly to the BOC through a designated Revenue Officer on a weekly basis, never through the importer, broker or representative.

Who is affected

  • BIR processing offices handling ATRIG applications
  • Importers of VAT-exempt drugs and medicines and their authorized representatives

Deadlines and effectivity

  • ATRIG issued within one (1) day from actual receipt of a complete application
  • Originals sent to the BOC on a weekly basis

Summary by Tax Resources PH. It is not a substitute for the full text of the issuance or professional advice.

Related issuances (1)

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CitesRMO No. 35-2002

Copies of BIR issuances are hosted here for reference. For the official version, check bir.gov.ph. Summaries by Tax Resources PH are not a substitute for the full text or professional advice.