CIRCULAR REGARDING SOFTWARE UPGRADING AND ADJUSTMENT OF RELEVANT REGULATIONS ON USING "NETWORK FOR CHECKING-UP IMPORT & EXPORT CUSTOMS DECLARATION FORM"

(Valid From:1999.06.25)

"Network for Checking-up Import & Export Customs Declaration Form" (hereinafter referred as network) was formally introduced nationwide as of January 1, 1999. According to the feedback of problems occurred in the use of network, the General Administration of Customs and the State Administration of Foreign Exchange (hereinafter referred as head office of SAFE) upgraded and transformed the network. Relevant issues hereby are notified as follows:A. New functions added to the networkA) The import customs declaration form, which is processed as "return with returning the declaration form" at the network, could be used for conducting sale and payment of foreign exchange through different designated foreign exchange banks or conducting verification of import payment at different SAFE time and time again. In the course of processing sale and payment of foreign exchange or verification of import payment, SAFE or banks are supposed to check up and write off the balance of the electronic data for the declaration form based on the description of currency and amount of transaction for verification or sale and payment of foreign exchange. SAFE or banks are supposed to write down the checked-up and written-off description of currency, amount of transaction and date for processing verification or sale and payment of foreign exchange in the original declaration form. SAFE and banks are also suppose to sign the form and stamp their seals, as wellas to keep one copy of the declaration form for archive and to return the original one to the import entity. Once the balance of the electronic data for the aforementioned declaration form is fully checked up and written off, it is the last SAFE or bank processing verification or sale and payment of foreign exchange to use the function of "closing the case" to close the case and keep the original declaration form for archive. However, the declaration form that is processed as "return with keeping the declaration form" could no longer be used for conducting sale and payment of foreign exchange through different designated foreign exchange banks or conducting verification of import payments at different SAFE.B) The function of "cancellation of closing the case" is added to the network. The declaration form, that is processed as "closing the case" by mistake, could be found out by the original operator who made this mistake within seven days since closing the case, and could be processed as "cancellation of closing the case", "print" and "return with keeping the declaration form" by the operatoras well. This form, that is processed as "cancellation of closing the case", is equivalent to the form that is not closed one and could continue to be processed as "checking-up and writing-off". This form is supposed to be processed as "closing the case" later once its balance of electronic data is fully checked-up and written-off.C) The function of "print" is added to the network. With clicking the button, the electronic data could be printed out directly in standard format.D) In order to facilitate the checking-up, the digital paragraph such as unit price, volume of transaction etc. is adjusted to display by the network in accordance with that of the declaration form made in paper. Furthermore, the result for searching could display more information such as "freight and insurance expense" and "incidental expense" on the screen.B. The methods dealing with the case that the business entity clarified in the declaration form is not consistent with the import entityAll levels of SAFE provide "super financial IC cards" that are specially usedfor checking up the import business conducted by agent in case that the businessentity clarified in the declaration form is not consistent with the import entity. So far, the permitted usage and processing methods are hereby notified as follows:A) Import entity acting as agent of foreign-funded enterprise or conducting import under the item of donation;B) Import under the regulations of import license, import quota and important registered commodities;C) When processing verification of the above mentioned imports, SAFE is supposed to ask the import entity to present the original agent contract for import and related approval documents, as well as to keep them for archive. When the import entity is applying for import payment by the means of payment upon delivery, it is supposed for the domiciled SAFE, where the import entity processing the procedures of registration, to conduct the checking-up of the declaration form. SAFE is supposed to check up and write off the balance of the electronic data, to keep the original declaration form, agent contract and related approval documents for archive, as well as to issue "recording form for import payment" to the import entity that is served for bona fide test. Bank is supposed to conduct the sale and payment of foreign exchange upon the presentation of "recording form for import payments"The aforementioned regulations would be effective as of June 25 of 1999. All levels of SAFE are supposed to transmit the circular to their domiciled foreign-funded banks timely. All levels of SAFE and banks are supposed to follow closely theperformance of the upgraded network, and to report the feedback and suggestions on modification of the network to head office of SAFE timely.