Customs seizes brand new McLaren over misdeclaration

Published August 3, 2020, 1:48 PM

by Betheena Kae Unite

A brand new McLaren 620R super car was seized at the Port of Manila Monday for misdeclaration in a bid to evade the payment of appropriate duties and taxes, the Bureau of Customs (BOC) said on Monday.

It arrived in the country last July 16 from Hong Kong and was declared as a brand new Porsche Cayman sports car.

According to the bureau, the shipment was declared as a Porsche Cayman sports car in an attempt to avoid the payment of the appropriate duties and taxes.

“Allegedly, the consignee Llorin Trading declared duties and taxes amounting to only P1,500,000 thus preventing the collection of P15,000,000 worth of revenues to the government,” the bureau said.

It was disclosed that although similar in car type, the actual shipment, the McLaren 620R super car, is valued at P33 million and has the corresponding duties and taxes of P16,771,688.91.

“Hindi naman ipinagbabawal ang importation ng ganitong shipment. Ang gusto lang sana namin ay i-declare nang tama at magbayad ng nararapat na duties and taxes para makapag-collect tayo ng revenues for the country’s pandemic response (We are not prohibiting the importation of these shipments. We are only asking you to declare it right and pay the appropriate duties and taxes so we can collect revenues for the country’s pandemic response),” Assistant Commissioner Vincent Philip Maronilla said.

Maronilla also bared that while the shipment’s port of origin was Hong Kong, they are looking into the possibility that the luxury car was transshipped from either Europe or the USA.   

Customs officials said the bureau will consider auctioning off the seized luxury vehicle for additional revenues.

“We will seek guidance from the commissioner whether to destroy or auction off the seized luxury vehicle for additional revenues,” Maronilla said.  

Port of Manila District Collector Michael Angelo Vargas has issued a warrant of seizure and detention on the shipment while the consignee and broker of the shipment are now facing possible charges for violation of Section 1400 in relation to Section 1113 of RA 10863, the Customs Modernization and Tariff Act.