Customs Law (issued by Law No. 40 of 2002), Катар

STATE OF QATAR

Customs & Ports General Authority

CUSTOMS LAW &

EXECUTIVE REGULATIONS

2005 Version

3

CONTENTS SUBJECT PAGE

Law No.: (40) For the year 2002 5

Part 1 : Definitions And General Provisions 9

Part 2 : Customs Traiff 19

Part 3 : Prohibition and Resstriction 23

Part 4 : Disting uishing Elements of the Goods 27

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33

33

35

36

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37

37

39

41

42

46

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48

49

51

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Part 5 : Importation and exportation

Chapter (1) : Importation

1- Sea Carriage

2- Import of Goods by Land

3- Air Freight

Chapter (2) : Exportation

Chapter (3) : Post Mail

Chapter (4) : Common Provisions

Part 6 : Customs Clearance Stages

Chapter (1) : Customs Declarations

Chapter (2) : Examination (Inspection) Of Goods

Chapter (3) : Provisions Relating to Passengers

Chapter (4) : Adjustment of the Value

Chapter (5) : Payment of Other Customs Charges and withdrawal of Goods

Part 7 : Cases Pending Customs Duties & Cases of Refund

Chapter (1) : General Provisions

Chapter (2) : Goods in Transit

Chapter (3) : Warehouses 52

Chapter (4) : Free Zones & Duty-Free Shops 53

Chapter (5) : Temporary Admission 56

Chapter (6) : Re-exportation 57

Chapter (7) : Drawback 58

Part 8 : Exemptions 59

Chapter (1) : Goods Exempted From Customs Duties 61

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Chapter (2) : Diplomatic Exemptions 61

Chapter (3) : Military Exemptions 62

Chapter (4) : Personal Effects and Household Items 63

Chapter (5) : Imports of the Charitable Organizations 63

Chapter (6) : Returned Goods 64

Chapter (7) : General Provisions 64

Part 9 : Service Charges 65

Part 10 : Customs Agents 67

Chapter (8) : Trials Procedures 96

Part (13) : Sale Of The Goods 99

Part (14) : Privilege of the Customs Administration 105

Part (15) : Prescription 109

Part (16) : Final Provisions 113

Ministers Council Decree No. (21) for the year 2004 117

Customs Law Executive Regulations 121

Part 11 : Rights & Duties Of The Authority Officers

Part 12 : Customs Legal Actions

Chapter (1) : Investigation of Smuggling

Chapter (2) : Seizure Report

Chapter (3) : Precautionary Measures

Section (1) : Precautionary Seizure

Section (2) : Preventing the Offenders & the Persons Accused of Smuggling from leaving the Country.

Chapter (4) : Customs Offences & Penalties Thereof

Chapter (5) : Smuggling & Penalties Thereof

Section (1) : Smuggling

Section (2) : Criminal Liability

Section (3) : Penalties

Chapter (6) : Pursuance (Pursuits)

Section (1) : Administrative Pursuance (Pursuits)

Section (2) : Prosecution of Smuggling offences

Section (3) : Conciliatory Settlements

Chapter (7) : Liability & Joint Liability

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Law No: (40) for the year 2002 in issuing the Customs Law

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State of Qatar

Council of MinisterÕs

Law No: (40) for the year 2002

in issuing the Customs Law

We, Jassim Bin Hamad Al-Thani Deputy Emir of thr State of Qatar

Subsequent to the reviewing of the amended provisional constitution, particularly the articles (22), (23), (34) and (51) thereof,

The law No: (2) for the year 1962 in organizing the general financial strategy in Qatar amended by the decree to be canceled Law No: (19) for the year 1996,

The Customs Law issued by the law No:(2) for the year 1988 amended by the law No:(25) for the year 1994,

The law No: (5) for the year 1989 conerning the general budget of the state,

The resolution of the Supreme Council of the Gulf Co-Operation Council for the Arab State issued at itÕs twenty second session held in Sultante of Oman during the Period from 15-16 Shawwal 1422, 30-31 December 2001 concerning the Unified Customs Law for the Council states and itÕs executive regulations,

the Finance Minister proposal,

the draft law presented by the Ministers Council

and considering the advisory Council recommendation

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We have decreed the Following law: Article (1)

The Customs Law enclosed to this law shall be carried out. article (2)

The Ministers Council shall issue, according to the Finance Minister proposal, and the Executive Regulation for the Customs Law and the Finance Minister shall issue the necessary decisions to execute itÕs provisions.

and until the Executive Regulation and the mentioned decisions are issued, the on going decisions shall be carried out without conflict to this law provisions. Article (3)

The mentioned Customs Law issued by the law No: (5) for the year 1988 shall be eliminated as well as every provision opposing this law provisions. Article (4)

All competent entities shall execute this law and to be carried out effectively from first of January 2003 and to be published in the Official Journal.

Jassim Bin Hamad Al-Thani Deputy Emir Of State of Qatar

Issued at the Amiri Diwan on 17/10/1423

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Part (1)

Definitions and General Provisions

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10

Means the Minister of Finance.

Means Customs & Ports General Authority.

Means the General Manager of the Authority.

Means the Competent Administration in

Authority

Means the station, appointed by the Authority at

each seaport, airport, land port or at any other place

:

Administration:

States of the Gulf.

The Minister :

Authority

Customs station :

Part (1) Definitions

and General Provisions

Article (1) In this Law and the executive regulations thereof unless the context other-

wise requires:

The Council :

Director General :

The

The Director :

Customs zone :

Means the Gulf Cooperation Council for the Arab

the

where there is an office of the Authority authorized

to complete all or some of the customs procedures.

Means the director of a Customs station

Means the lands or that part of seas subject to the

customs control and procedures set forth herein

which include:-

(A) Land customs zone: Which covers the lands

located between the land boundaries or shores, on

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Goods subject to

that country.

Means the nomenclature containing the descriptions

of the goods and the respective customs duties as

well as the rules and notes of the kinds and types of

goods.

Mean the amounts levied on goods according to the

provisions of this Law.

Unified customs tariff :

Customs duties :

:

the one hand, and an internal line to be prescribed

ods bject to high customs duties :

Means goods specified by the General Manager for

Customs line :

Charges

Goods :

Type of goods :

by a decision of the authority on the other hand?

(B) Sea customs zone: Which includes that part of

the sea located between the shores and the end

boundary of the territorial waters.

Means the line that march with border line the

political separating between the country and the

neigh touring states and the seashores surrounding

Means the amounts collected for the services

rendered.

Means any natural, material, or animal, agricultural,

industrial or intellectual product.

Means the description mentioned in the customs

tariff nomenclature.

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high customs duties :

The price actually

paid or payable :

The imported goods

pending appraisement:

Means goods that are identical in all respects,

including material characteristics, quality

commercial reputation, minor differences

appearance would not preclude goods from being

regarded as identical.

Means goods which, although not identical in all

respects, have similar characteristics and similar

:

purposes

same

Identical goods:

Similar goods

the purpose of customs control.

The price actually paid or payable :

Means the total amount paid or payable to the

seller, directly or indirectly, for the goods imported

by the buyer or for his benefit.

The imported goods pending appraisement:

Sales commission:

Means the goods being evaluated for customs

and

in

component materials which enable them to perform

the functions and to be commercially

interchangeable, the quality of the goods, their

reputation and the existence of a trademark are

among the factors to be considered in determining

whether the goods are similar.

Means the commission payable to the seller's agent

who is connected to the seller or the factory,

governed by or acting for its favor or on its behalf

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Related persons:

Packing costs : Means the cost of all packing and coverings

(excluding instruments of international traffic"

whether for the labor or the materials used for

placing the goods in packing suitable for shipping to

the GCC states.

Unit price at the biggest large- scale total quantity :

means the unit price at which certain goods are sold

to unrelated persons, at the first commercial level

after importation, in its states when imported or after

further preparation or processing, if the importer so

requested.

Means persons who are:

a) legally recognized partners in business.

b) officers or directors of one another's business.

c) employer and employees.

d) any person directly or indirectly owns, controls or

holds 5 per cent or more of the portions or stock

shares which entitles him to vote or both of them.

e) any two persons one of them directly or indirectly

controls the other.

f) any two persons both of them are directly or

indirectly under the supervision of a third person.

g) any two persons jointly directly or indirectly

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Means those goods the import or export of which is

restricted under the provisions of this regulation "law

"or any other regulation "law "

Means the country from which the goods are

imported.

Means the natural or juristic person importing the

goods.

:

:

Restricted goods:

Source

:

control a third person.

Value Agreement:

Origin of the goods:

Prohibited goods:

Importer

Exporter

Manifest :

Free zone :

h) members of the same family.

Means the Agreement on Implementation of Article

VII of the GATT 1994.

Means the country of production of the goods.

Means any goods the import or export of which is

prohibited by the state under the provisions of this

"Law "or any other "law ".

Means the natural or Juristic person exporting the

goods.

Means the document containing a full description of

the goods carried on the various means of carriage.

means a part of the state territories in which

commercial or industrial activities are exercised

under the and regulation laws relating thereto any

goods entering that zone are considered to be

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goods and quantity thereof in details according to

the provisions of this " law " .

means the place or building intended for the

temporary storage of goods pending the withdrawal

thereof in accordance with one of the customs

procedures whether such place/building is directly

administered by the Authority or by the public

:Storehouse

outside shall not be subject to the ordinary customs

Duty-free shop:

Customs declaration:

Warehouse :

Carrier :

Specified routes:

procedures.

Means that licensed building or place wherein

goods are placed free of customs duties for

purposes of display and sale.

Means the goods declaration or the declaration

submitted by the importer or his representative

describing the elements identifying the declared

institutions or corporations or the investing bodies.

means the place or building wherein the goods are

deposited under supervision of the Authority free of

customs duties according to the provisions of the

Law.

Means the owner of the means of carriage or the

authorized representative thereof

Mean the routes specified by a decision from the

authority for the carriage of the imported or exported

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or transshipped goods.

Treasury : Means the state public treasury

Customs Clearance : means documentation of the customs declarations

for the imported, exported and transshipped goods

according to the procedures provided for herein.

Customs broker: means natural or Juristic licensed to practice

Article (2)

The provisions of this "law "shall apply to lands subject to the state

sovereignty and territorial waters of the country. Notwithstanding, free

zones, totally or partially exempted from customs provisions, may be

established in such lands.

Article (3)

Any goods crossing the customs line, for importation or exportation,

shall be subject to the provisions of this law.

customs clearing on behalf of others.

means any natural or juristic person licensed to

follow up customs procedures.

Representative of the customs broker :

Article (4)

The Authority shall perform its functions at the customs station or

customs zone and May also exercise its powers within the extent of the

state land and territorial waters according to the conditions set forth herein.

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Article (5)

Customs stations shall be established by a resolution of the Minister

The Competence and work hours thereof shall be specified by a resolution

of decision of the authority.

Article (6)

Subject to the provisions of the second part of chapter 6, customs

procedures shall only be conducted at the competent customs stations.

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Part (2)

Customs Tariff

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Part (2) Customs Tariff

Article (7)

Goods imported into the state are subject to the customs "duties"

specified in the unified the customs tariff, and the charges, excluding those

exempted under the provisions of this " law "or under the Unified Economic

Agreement of the GCC Arab states or any other agreement within the

framework of the Council.

Article (8)

The rate of the customs tariff shall be either ad Valorem (percentage of

the value of goods) or per unit (an amount levied on each unit of the

goods), or both.

Article (9)

Customs" duties" shall be levied, amended and abolished by a decree

taking into consideration the provisions of the international agreements in

force, and the resolutions issued by the council.

The amended decree shall specify the date on which such amended

"duties" shall be effective.

Article (10)

Imported goods are subject to the customs "duties" applicable at the

date of registering the customs declaration with the customs station unless

otherwise provided for in the text of the resolutions amending the customs

tariff.

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Article (11)

When custom duties are to be levied on the goods deposited at the

warehouse due to the expiry of the warehousing period, such goods shall

be subject to the tariff provisions applicable on the date of registering the

customs declaration.

Article (12)

Damaged goods shall be subject to the applicable customs tariff based

on their value at the condition thereof at the time of the registration of

customs declaration.

Goods taken out from the free zones and duty-free shops into the local

markets are subject to the customs tariff effective at the date of such taking

out.

Article (13)

Smuggled or constructively smuggled goods or are subject to the

customs tariff applicable at the time of the detection or occurrence of the

smuggling, if it is possible to be ascertained whichever is higher.

Article (14)

The customs tariff applicable on the date of sale shall apply to the

goods sold by the Authority in accordance with the provisions provided for

herein.

Article (15)

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Part (3)

Prohibition and Restriction

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Part (3) Prohibition and Restriction

Article ( 16 )

A customs declaration shall be submitted on any imported or exported

goods the goods shall be presented to the customs authorities at the

nearest customs station.

Article (17)

Marine means of transport entering the country, irrespective of their

load capacity, are prohibited from anchoring in any seaports (harbors) other

than those designated for their anchoring, excluding the circumstances

arising out of sea emergency or force majeure in such case the master the

shipmaster shall without delay notify the nearest customs station or security

center of such circumstances.

Article (18)

Vessels, of loading capacity less than two hundred marine tons loaded

with prohibited or restricted goods or goods subject to high rates of duty,

may not enter or pass within the marine customs zone except in

circumstances arising from sea emergency or force majeure, in which case

the master shall promptly notify the nearest customs enclosure or security

center of such circumstances, excluding goods transported within the local

seaports of the country whose customs procedures have been finalized.

Article (19)

Aircraft departing or arriving in the country may not take off or land

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except at the airports where customs stations exist unless in cases of force

majeure in which case the pilot shall promptly notify the nearest customs

station or security center of such cases and submit a report, approved by

the customs station notified of that case, unless otherwise provided for in

any other law

Article (20)

of a decision to be issued thereby shall subject to the custom zone rules.

The executive regulations of this law shall determine the conditions of

transportation within this zone and the necessary documents and

procedures therefore.

Land means of transport may not enter or leave the country except

through the areas where customs enclosures exist.

Article (21)

The Customs Administration prohibits admission, transit or exit of the

prohibited goods or on the contravening goods as well as the entry, transit

or exit of the restricted goods except with an approval issued by the

competent authorities in the state.

Article (22)

Prohibited and restricted goods and goods subject to high custom

duties as well as other goods determined by the General Manager by virtue

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Part (4)

Distinguishing Elements of the Goods (Origin- Value- type)

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Part (4) Distinguishing Elements of the Goods

(Origin- Value- type)

Article (23)

Imported goods are subject to the proof of origin rules provided for in

the agreements concluded within the framework of the international or

Article (24)

following:

may allow clearance procedures without

presentation of the authenticated original invoices and the required

documents against an undertaking to produce them within a period

not exceed 90 days from the date of the undertaking.

regional economic organizations.

The value of goods for customs purposes shall be calculated according

to the rules and basis of this Law set forth in the executive regulations.

Article (25)

Approval of the value as a distinctive element of the goods requires the

1. Any customs declaration shall be accompanied with a detailed

original invoice and the director general or whom he may delegate

finalization of the

2. The value of the goods shall be proved by submitting all invoices

and documents reveres the value thereof according to the basis set

forth in the executive regulations of this Law.

3. The customs office may require the submission of tracts,

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correspondences and other relevant documents without being

bound to accept all that is stated therein or in the invoices.

4. The Administration may request Arabic translation of the invoices

issued in a foreign language showing details of the goods in

accordance with the customs tariff as well as the other documents,

if so needed

Article (26)

The value of the exported goods is the value at the time of registration

of customs declaration plus all the costs until arrival of the goods to the

customs enclosure

Article (27)

Goods not mentioned in the customs tariff (Nomenclature) and the

explanatory notes thereof are to be classified according to the publications

of the World Customs Organization relating thereto. Goods that fall under

local subheadings in the customs tariff Nomenclature are to be classified

within the context of the Council states.

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Part (5)

Importation and exportation

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Part (5) Importation and exportation

Chapter (1)

Importation 1. Sea carriage

Article (28)

Any goods imported into the country by sea shall be registered in the

manifest.

A single manifest for the whole load signed by master shall be made

which shall contain the following information:

1 - Name and nationality of the vessel and its registered load.

2 - Types of the goods, total weight thereof and the weight of bulk

goods (if any) if goods are prohibited, their actual designation shall

be mentioned.

3 - Number of packages and pieces, description of packing, marks

andnumbers thereof.

4 - Names of the consignor and consignee.

5 - The seaports where the goods are shipped from (ports of loading).

Article (29)

When entering the customs zone, the master shall produce the original

manifest to the competent authorities.

When the vessel enters the harbor, the master shall submit to the

customs office the following information and documents:

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1 - The (manifest).

2 - The manifest of the vessel supplies and the crew's luggage and the

commodities belonging to them.

3 - A list of the passengers' names.

4 - A list of the goods to be discharged at this port.

5 - All the shipping documents which the customs enclosure may

conditions laid down by the General Manager.

Article (32)

Subject to the provisions of Article (53) herein the master, forwarder or

his representative shall be held responsible for any shortage in the number

require for application of the customs regulations.

The required information and documents shall be submitted within (36)

hours from the time of entering the port official holidays shall not be

calculated in this time limit.

Article (30)

If the waybill belongs to a vessel that does not make regular voyages

or that does not have a forwarder at the port, or if it is a sail vessel, then the

manifest must be endorsed by the customs authorities at the shipping port.

Article (31)

Cargo of the vessel and all other marine means of shipping may be

unloaded only within the customs zone at the port. Any shipment may be

unloaded or transshipped only under supervision of the customs office.

Unloading and transshipment shall be completed as per to the

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of pieces or packages or the contents thereof or the amount of the bulk

found out, the master or his representative shall explain the causes of such

shortage and prove the rough documents that it has occurred outside the

marine customs zone. If such documents cannot be submitted at once, a

time limit not

exceeding six months may be given to submit the same against a

guarantee ensuring the Administration's rights.

2. Import of goods by land

Article (34)

Customs procedures of the goods imported by land should be

completed at the nearest customs station and may be referred to another

inland customs station, in cases to be decided by the General Manager.

Article (35)

goods until delivery of the goods to the customs storehouses or at the

warehouses or to the owners thereof , if so allowed.

Article (33)

If a shortage in the number of unloaded pieces or packages or in the

amount of bulk goods, compared to those mentioned in the manifest, is

A manifest of the total cargo of any land means of conveyance shall be

prepared and signed by the carrier or his representative and shall contain

adequate information on the means conveyance, its cargo and all other

details as per to the conditions specified by the General Manager.

Carriers or their representatives shall submit the manifest to the

customs station immediately upon arrival thereinto.

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3. Air Freight

Article (36) Subject to the provisions of Article (19) herein, aircraft crossing the

state airspace shall follow the specified routes therefore and shall land only

at the airports where customs stations exist.

Article (37)

customs station shall be notified of the same.

Chapter (2)

A manifest of the airplane's cargo shall be prepared and signed by the

captain according to the conditions set forth in Article (28) and paragraphs

1 and 2 of article 29 herein.

Article (38) The captain or his representative shall submit the manifest and the lists

mentioned in the preceding article herein to the customs officers and shall

hand over these documents to the customs station upon the arrival of the

aircraft.

Article (39) Goods may not be unloaded or dropped out of aircrafts during flight

unless it is necessary to do so for safety reasons, provided that the

Exportation Article (40)

Owners of the means of conveyance of goods or their agents, loaded

or unloaded, shall- when leaving the country- submit to the customs station

the manifest as per the provisions of chapter 1 of this part and shall obtain

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exit permission. However, the General Manager, may, in certain cases,

make an exception to this condition.

Article (41) Exporters of goods shall pass with the goods to be exported through

the competent customs station and declare them in details. Carriers

towards land borders are prohibited to overpass the customs station.

be stated in the manifest as a single package. Containers, closets and

trailers are subject to the instructions given by the General Manager.

A single consignment may not be splitted. However, for acceptable

reasons, the Director General may allow such splitting, provided that such

splitting shall not result in a loss to the treasury.

Chapter 3

Post Mail Article (42)

Goods may be imported or exported by mail in accordance with the

provisions of this law and subject to the other applicable international postal

agreements and local Laws and regulations in force.

Chapter 4

Common provisions Article (43)

Several sealed packages, assembled in any way whatsoever, may not

Article (44) Provisions of Articles 31, 32, and 33 herein shall apply to the land and

air conveyances in respect to the unloading and transshipment of goods.

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Drivers, captains of aircrafts and transportation company's carriers shall be

responsible for any shortage in the goods.

Article (45)

The Authority may exchange with other bodies the information's

relating to customs clearance through electronic means.

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Part (6)

Customs clearance Stages

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Part (6) Customs clearance Stages

Chapter (1)

Customs declarations Article (46)

When clearing any goods, even if exempted from customs duties, a

detailed customs declaration, as in the approved forms shall be submitted

to the customs office containing all the information that enable in

application of the customs regulations and levying applicable customs

duties and for the purposes of statistics.

Article (47)

Subject to the provision of paragraph (1) of Article 25 herein, The

General Manager shall specify the documents that must be attached with

the customs declarations and the information to be contained therein and

shall allow the completion of the clearance procedures in the absence of

any of the required documents against cash or bank guarantees or a

written undertaking to submit such documents according to the conditions

specified thereby.

Article (48)

Contents of the customs declarations may not be modified after

registration; however, the declarant may apply in writing to the Director for

correction before the customs declaration is referred to inspection.

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Article (49)

Owners of the goods or their representatives may check their goods

before submitting the customs declaration and may take samples thereof,

when necessary, after obtaining permission from the Director and under

supervision of the customs station. Such samples shall be subject to the

applicable customs duties.

Article (50)

No parties other than the owners of the goods or their representatives

may have access to the customs declarations and documents excluding

competent judicial or official authorities.

Chapter (2)

Examination (Inspection) of goods Article (51)

The authorized customs officer shall examine the goods wholly or

partially after registering the customs declarations as per to the instructions

of the General Manager.

Article (52)

Examination of goods shall take place at the customs station; however

in certain cases such examination may be conducted outside the customs

station according to the regulations laid down by the General Manager.

Transferring the goods to the place of examination and the unpacking

and repacking of packages and all other works required for such

examination shall be at the expense of the owner thereof who will be

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responsible thereof until the arrival of the goods at the place of

examination shall be acceptable to the customs station. access to the store

houses, warehouses, enclosures, sheds and yards intended for the storage

or deposit of goods and to the places allocated for examination may not be

authorized to any person without approval of the customs station.

Article (53)

Examination shall be conducted only in the presence of the owner of

the goods or the representative thereof. Should a shortage in the contents

of the packages shown up, the responsibility thereof shall be determined as

in the following order:-

1 - If the goods had been placed in the customs storehouses and

warehouses in packages that are in an apparently proper condition

from which it can be ascertained that the shortage in their contents

had occurred at the exporting country prior to shipping, then the

examination.

Goods placed in the customs storehouses or at the places intended for

examination may not be removed there from without the approval of the

customs station

The individuals who work in carrying goods and presenting them for

detection of such shortage shall be disregarded.

2. If the goods entering the customs storehouses or warehouses are in

packages that are in an apparently improper condition, the body in

charge of these storehouses or warehouses shall, together with the

carrier, record this incidence in the delivery report and ascertain

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of the weight, contents and number of thereof. It shall also take the

3. If the goods have been admitted into the customs storehouses

warehouses in packages that are in an apparently proper condition

then became subject of suspicion thereafter, the body in charge of

such storehouses and warehouses shall be responsible there from.

Article (54)

When the customs station suspects the presence of prohibited or

different than stated in the customs documents, it shall have the right to

open the packages for inspection in the absence of the owner thereof or his

representative, if he refrains from attending the inspection at the specified

time although being notified therewith. When necessary, the customs

station may inspect the goods before notifying the owner or his

representative. Such inspection may be conducted by a committee to be

formed for this purpose, by a decision of the General Manager and a report

necessary precautions to ensure safety of the goods, in such case

the carrier shall be held responsible unless a reservation is

indicated on the manifest and endorsed by the customs office of

the exporting country in which case the detention of such shortage

shall be disregarded.

of the findings of inspection shall be made.

Article (55) The customs station may have the goods analyzed by specialized

agencies to verify the kind and specifications thereof or their conformity to

the provisions of the regulations and laws in force.

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Goods requiring the availability of certain conditions and specifications

to be released shall be subject to analysis (testing) and inspection;

however the Director may release such goods adequate guarantees

ensuring that such goods shall not to be disposed of until the analysis

result was produced.

The General Manager may order that the goods, proved through

inspection or analysis to be harmful or not conforming to the approved

specifications, be destroyed on the expense and in presence of the owners

thereof or their representatives. When necessary, such goods shall be

re-exported to the source country of origin in which case a report of the

same shall be made.

Article (56)

If the customs office cannot verify the correctness contents of the

customs declaration through inspection of the goods or the documents

submitted, it may suspend inspection and request necessary supporting

documents.

Article (57)

Customs duties shall be levied according to the contents of the

customs declaration. Should inspection resulted in a difference

(discrepancy) between the goods and what is stated in the customs

declaration, customs taxes and duties shall be levied on the basis of this

finding without prejudice to the authority's right to levy the applicable fines,

when necessary, under the provisions herein?

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Article (58)

The customs station may re-inspect the goods according to the

provisions of Articles 51 - 55 herein.

Chapter (3)

Provisions relating to passengers Article (59)

Items or belongings accompanying the passengers shall be declared

and inspected at the competent customs station according to the rules and

practices laid down by the General Manager.

Chapter (4 )

Adjustment of the value Article (60)

A valuation committee composed of officers from the administration

shall be established by a resolution of the General Manager to settle the

disputes arising between the customs station and the persons concerned

about the value of the imported goods. Such committee may seek

assistance of experts at its discretion.

Without prejudice to the importer's right to resort to court, the importer

may complain before the valuation committee against the decisions of

increased value within fifteen days following the registration of the customs

declaration or from the date of the valuation notice sent to him by

registered mail. Decisions of this committee shall be taken by majority and

46

shall be effective once approved by the General Manager. The importer

shall be informed in writing of the decision taken by the committee

concerning his complaint. The reasons for such decision shall be stated

therein.

Article (61)

consumed for inspection and analysis purposes.

Should a dispute arise between the competent customs officer and the

owner of the goods about the value of the goods due to discrepancy in

description, origin or any other reason, the matter shall be referred to the

Director. If the director confirmed the opinion of the customs officer but the

owner of the goods does not accept such confirmation, the matter shall be

referred to the

General Manager for settlement of dispute or for referral to the

valuation committee.

The Director may allow with drawl release the goods in dispute, if not

prohibited, after collecting a deposit in an amount equivalent to the sum of

the customs duties determined by the customs station. Samples of the

goods shall be temporarily maintained for reference when necessary; such

samples shall be returned to the owner of thereof unless they are

47

Chapter (5)

Payment of other customs charges and withdrawal of goods

Article (62)

Goods shall be subject to customs duties and may not be withdrawn

unless after completion of relevant customs procedures and payment of

customs duties and any other charge according to the provisions herein.

Goods shall be delivered to the owners or their duly authorized

representatives according to the procedures prescribed by the General

Manager

Article (63)

The customs officers assigned to collect customs duties shall execute

an official receipt voucher in the form prepared by the Authority.

Article (64)

When a state of emergency is declared, the Authority may precautions

for withdrawal of the goods against special guarantees and conditions to be

determined by the Authority.

Article (65)

According to the regulation and conditions issued by the General

Manager, goods may be with drawn prior to payment of the customs duties

and after completion of the customs procedures, against bank, monetary or

documentary guarantees.

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Part (7)

Cases Pending Customs Duties

and Cases of Refund

49

50

Part (7) Cases pending customs Duties

and cases of Refund Chapter (1)

General Provisions Article (66)

Goods may enter the state and he transported to any other place within

the country without payment of customs duties against submission of a bail

monetary or a bank guarantee equivalent to the amount of the customs

duties levied thereon according to the instructions issued by the General

Manager.

Article (67) Monetary bails, bank guarantees and securities may be released

against certificates of discharge according to the conditions determined by

the General Manager.

Chapter (2)

Goods in Transit Article (68)

Subject to the provision of Article 66 herein and the provisions of the

Unified Economic Agreement of the GCC Arab States, goods are allowed

to transit the territories of the Council member states according to the

provisions of the Law and international agreements in force.

Article (69) Transit operations shall not be passed except at the authorized

customs station.

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Article (70) Subject to the provisions of the regional and international agreements

in force transit goods shall be transported through the routes specified

therefore by the various means of transport at the carrier's responsibility

according to the

instructions issue by the Director General. The routes for such transit

transportation and the conditions thereof are to be determined by a

resolution of the Authority.

Article (71) In the event goods are transported from one customs station to

another, the persons concerned may be exempted from submitting a

detailed declaration at the port of entry and the referral shall be according

to the documents and conditions prescribed by the General Manager.

Article (72) The Authority shall issue the necessary resolutions governing pending

customs duties applicable to all other kinds of transit goods transportation.

Chapter (3)

Warehouses Article (73)

Warehouses inside or outside the customs station shall be established

by a resolution of the Authority; the regulations and conditions controlling

such warehouses shall be laid down by the General Manager.

Article (74) Goods may be deposited with the warehouses inside or outside the

customs station without payment of customs duties according to the

52

regulations and conditions determined by the General Manager

Article (75) The Authority shall have the right to supervise and control the

warehouses managed by other agencies, according to the provisions of

Law .

Chapter (4)

re-exportation, the foreign goods re-exported from the state may be

admitted into the free zones and duty-free shops.

Free zones and duty-free shops Article (76)

Free zones and duty free shops shall be established by virtue of a Law

the regulations conditions and procedure thereof shall be laid down by a

resolution of the Minister based on the Authority recommendation.

Article (77) Subject to the provisions of Articles 78 and 79 herein, all foreign goods

of whatever kind or origin may be brought into the free zones and duty-free

shops , and taken out there from to outside the state or to other free zone

and duty-free shops , without being subject to customs duties.

Subject to the export restrictions and customs procedures applicable to

Goods in the free zones and duty-free shops shall not be subject to any

restriction in respect to the period of remaining therein.

Article (78) The goods, stated in the manifest as imported goods, may not be

transferred or brought into the free zones and duty-free shops unless by

approval of the General Manager and according to the conditions and

53

restrains prescribed thereby.

Article (79) The following goods are prohibited to be brought into the free zones

and duty-free shops:

1 - Flammable goods, except the fuels necessary for the operation

allowed by the authority supervising free zones and duty-free

shops according to the conditions prescribed by the competent

authorities.

2 - Radioactive materials

3 - Arms, ammunition and explosives, of whatever nature, except those

licensed by the competent authorities.

4 - Goods infringing the legislations relating to commercial and

industrial, intellectual or Artistry property rights in respect of which

resolutions have been issued by the competent authorities.

5. All kinds of narcotic drugs and derivatives thereof.

6. Goods originated in an economically boycotted country.

7. Goods prohibited from entering the state.

Article (80) The Authority may carry out inspection works in the free zones and

duty-free shops for goods prohibited to be brought the rein, and it may also

review the documents and examine the goods when smuggling operations

are being suspected.

Article (81) The manager of the free zones and duty-free shops shall submit to the

Authority, when requested, a list of all the goods brought into or taken out

54

there from.

Article (82) Goods placed at the free zones and the duty-free shops shall not be

transferred to other free zones and duty-free shops, stores or warehouses

unless according to the securities, undertakings and determined prescribed

by the General Manager

The administration of the free zones and duty-free shops shall be

responsible of all offences committed by its employee and for the

unauthorized illegally taken out of goods there from. All regulations and

instructions relating to security, public health, smuggling and fraud control

shall be applied thereon

Article (83) Goods may be withdrawn from the free zones and duty-free shops into

the state according to the provisions of applicable regulations and as

instructed by the General Manager.

Article (84) Goods taken out from the free zones into the customs station are

treated as foreign goods even if incorporating local raw materials or articles

on which customs duties and have been collected prior to their admission

into the free zones.

Article (85) National and foreign vessels shall be permitted to obtain all needed

maritime equipment from the free zones.

Article (86)

55

Article ( 87 ) The goods taken from the free zones and duty-free shops into or out of

the state shall be treated as foreign goods.

Chapter (5)

Temporary Admission Article (88)

Subject to the provisions of the Unified Economic Agreement of the

Council states and the other international agreements in force, goods may

be temporarily admitted without collection of customs duties thereon

according to the conditions set forth in the Executive Regulations hereof.

Article (89) The General Manager may grant temporary admission license for the

following:

1 - Heavy machinery and equipment to carry off projects or for

conducting the scientific and practical experiments relating to such

projects.

2 - Foreign goods imported for completion of processing.

3 - Items temporarily imported for playgrounds, theatres, exhibitions

and the likes.

4 - Machinery, Appliances and equipment imported into the country for

repairing.

5 - Containers and packing imported for filling.

6 - Animals admitted in for grazing.

7 - Commercial samples for display.

8 - Other cases that may require such temporary admission.

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The items provided for herein shall be re-exported or deposited with the

free zone, customs station or warehouses during the temporary admission

period prescribed by the Executive Regulations hereof.

Article (90) Provisions of the Unified Economic Agreement of the GCC States and

the other international agreements in force governing the temporary

admission of vehicles shall be observed according to the instructions

prescribed by the Executive Regulations hereof.

Article (91) The materials and articles released by temporary admission may not

be used, allocated or disposed of for purposes other than those for which

they were imported and declared in the submitted declarations.

Article (92) Any discovered shortage in the goods released by temporary

admission when taken out shall be subject to the customs duties

applicable thereon at the time of admission.

Article (93) The Executive Regulations shall prescribe the conditions for practical

application of the temporary admission and the guarantees to be produced.

Chapter (6)

Re-exportation Article (94)

The goods imported into the country, on which customs duties were not

collected, may be re-exported outside the country or may be taken to the

57

free zone according to the procedures and guarantees prescribed by the

Executive Regulations hereof.

Article (95) In certain cases, permission may be granted for transshipment of the

goods or withdrawal of the goods that were not placed into the customs

warehouses, from the wharves to the ships according the conditions

prescribed by the General Manager.

Chapter (7)

Drawback Article (96)

Customs duties collected on the foreign goods shall be totally or

partially refunded at re-exportation according to the rules and conditions set

forth by the Executive Regulations hereof.

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Part (8)

Exemptions

59

60

Part (8) Exemptions

Chapter (1)

Goods exempted from customs duties Article (97)

The goods specified to be exempted from customs duties and in the

unified customs tariff of the GCC states shall be exempted from customs

duties.

Chapter (2)

Diplomatic exemptions Article (98)

Imports of the diplomatic corps, consulates, international organizations

and the members of the diplomatic and consular corps accredited by the

government shall be exempted from customs duties on reciprocity basis

according to the international agreements, laws and orders in force.

Article (99) The goods exempted under the preceding Article herein may not be

disposed of or abandoned for a purpose other than that for which they

have been exempted ,unless after notifying the Administration, and

payment of the due customs duties .

Customs duties are not to be levied if the beneficiary has disposed of

the goods, exempted goods after three years from the date released by

the customs station provided that reciprocity basis is available.

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Article (100)

Exempted vehicles in accordance of the provisions of Article 98 herein

may not be disposed of before the elapse of three years following the date

of exemption excluding the following cases:

1 - Termination of the mission of the diplomatic or consular member

benefiting from the exemption in the state.

Chapter (3)

2 - The occurrence of an accident to the exempted vehicle which

makes it unfit for the use of the diplomatic or consular member

based on a joint recommendation by both the Traffic Department

and the Administration.

3 - The sale by one diplomatic or consular member to another member

provided that the assignee shall be entitled to the right of

exemption.

Article (101)

The right of exemption for the individuals benefiting from it according to

Article (98) herein shall begin from the date of commencing their jobs at

their official places of work in the State

Military exemptions Article (102)

Imports for all sectors of the military forces and internal security forces,

such as ammunitions, arms, equipment, military means of transport and

parts thereof and any other materials, shall be exempted from customs

62

duties by a resolution of the Council of Ministers.

Chapter (4 )

Personal effects and household items Article (103)

The personal effects and used household items brought into the

country by the nationals residing abroad or the foreigners coming for the

first time for residence in the State shall be exempted from customs duties,

subject to the conditions and restrictions determined prescribed by the

General Manager.

To be exempted from customs taxes duties are the personal effects

and gifts in possession of passengers provided that such items are not of a

commercial nature and shall be conforming to the conditions and controls

prescribed by the Rules of Implementation.

Chapter (5)

Imports of the Charitable Organizations Article (104)

The needs of the Charitable Organizations shall be exempted from

customs duties according to the conditions and restrictions prescribed by

the Executive Regulations hereof.

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Chapter (6)

Returned goods Article (105)

The following goods shall be exempted from customs duties:

1 - Returned goods of national origin that were previously exported.

2 - Returned foreign goods that are proved to have been previously

re-exported outside the state, if returned within one year from the

date of re-exportation.

3 - Goods that have been temporarily exported for completion or repair

shall be subject to the customs duties in an amount equivalent to

the addition resulting from such finishing or repair according to the

decision of the General Manager.

The Authority shall determine the conditions to be satisfied for

benefiting from the provisions of this article.

Chapter (7)

General provisions Article (106)

The provisions of the exemptions set forth in this chapter shall apply to

the goods covered by exemption, whether directly or indirectly imported or

bought from the customs warehouses or the free zones subject to the

conditions specified by the Authority.

Should a dispute arise on whether the goods provided for in this

chapter are subject to or exempted from customs duties, the General

Manager shall settle such dispute.

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Part (9)

Service charges

65

66

Part (9) Service charges

Article (107)

Goods placed in the yards and warehouses of the customs station shall

be are subject to the charges of storage, handling and insurance and the

other services required for the storage and inspection of goods at the

applicable rates. However, storage charges shall not, in any way, exceed

50 per cent of

the estimated value of the goods. In the event such warehouses are

administered by other agencies, they may collect such charges according

to the provisions and rates specified in this connection.

Goods may be subject to the charges of impacting, sealing, analysis

and all services rendered.

The services and charges mentioned in this Article and collection

conditions shall be determined by a resolution issued by the Authority.

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68

Part (10)

Customs Agents

69

70

Part (10) Customs Agents

Article (108)

A customs broker is any natural person or juristic engaged in the

preparation of the customs declarations, signing them, submitting them to

the customs station and completion of the customs procedures for clearing

the goods on behalf of others

Article (109 )

Declaration of the goods at the customs station and the completion of

the customs procedures thereof, whether for importation, exportation or

transit, shall be accepted from:

1 - The owners of the goods or their authorized representatives

satisfying the requirements prescribed by the General Manager

including the authorization conditions.

2 - Licensed customs agents.

Article (110)

Endorsement of the delivery order in the name of the customs agent or

the representatives of the owners of the goods shall be deemed as an

authorization for finalization of the customs procedures without any liability

on the part of the Authority resulting from delivering the goods to the

endorsee.

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Article (111)

The customs agent shall be held responsible for his acts and those of

his employees towards the importers, exporters and the Authority

according to the provisions herein.

Article (112)

their representatives, and case of deletion from the Authority

registry of agents and their representatives

Article (113)

Subject to the provision of Article 138 herein and without prejudice to

The General Manager may issue a decision concerning the following:

1 - The necessary conditions to issue customs clearance proactive

license for the a gents and for the representative of the customs

agent and Licensing procedures for both .

2 - the Necessary conditions for opening customs clearance offices,

3 - Obligations of the customs agent and his representative, and the

number of agents and agents representative authorized to practice

at the customs stations.

4 - Procedures of movement of the representatives of customs agent

between the customs clearance station,

5 - The customs stations wherein the customs agents are authorized

to work,

6 - Procedures to do without customs agents and their representatives,

7 - Procedures of withdrawing the licenses of the customs agents and

72

any civil or penal liability set forth herein or in any other regulation law, the

General Manager may impose on the customs agent and the custom agent

representative after taking the necessary investigation by the competent

administration any of the following penalties commensurable with the

offence committed:

1 - Warning.

transactions. General Manager or his authorized representative shall have

absolute power to have access at any time to these records without

objection by the agent whatsoever.

2 - A fine not to exceed QR 5000

3 - Suspension of work for a maximum period of two years.

4 - Cancellation of the license and final prevention from practicing the

profession.

A complaint against such penalties may be made before the Authority

within thirty days from the date of notification thereof. The resolution

(judgment) of Authority decision on the complaint shall be final.

Article (114)

The customs agent shall keep a record the last five years wherein he

records a summary of the customs transactions he has completed on

behalf of others according to the conditions stipulated by the customs

station. This register shall contain the amount of duties paid to the customs

station, the fees paid to the agent and any other expenses relating to the

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74

Part (11)

Rights and duties

of the Authority officers

75

76

Part (11) Rights and duties

of the Authority officers Article (115)

The administration officers, appointed by a decision of the Minister,

Any customs officer, whose services are terminated for any reason

whatsoever, shall return the items in his trust to the authority.

Article (119) The incentives and allowances granted to the Authority officers are

determined by a decision of the Minister based on a proposal from the

authority according to the nature of their jobs.

shall be deemed as investigation

The aforesaid officers, when appointed, are given identification cards

indicating the nature of their jobs, to be presented upon request and shall

put on the specified official uniform when performing their duties if the

nature of their job so requires.

Article (116) Civil and military authorities and internal security forces shall render to

the customs officers every assistance for the performance of their duties

once requested and the Authority shall cooperate with the other official

authorities.

Article (117) Customs officers, whose nature of job so requires, are allowed to carry

weapons. Such officers shall be determined by a resolution of the Authority

in coordination with the competent authorities.

Article (118)

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78

Part (12)

Customs legal Actions

79

80

Part (12) Customs legal Actions

Chapter (1)

Investigation of smuggling

Article (120) Customs officers shall combat smuggling, to this effect; they are

authorized to inspect the goods and the means of conveyance and to

search persons under the provisions herein and the other laws in force

according to.

The body search of women shall be conducted only by a female

inspector.

In the event there are adequate evidence of the presence of smuggling

and after obtaining permission from the competent authority, customs

officers shall be entitled to search any house, store or shop according to

the laws force according.

Customs officers shall not be held responsible for the damages

resulting from the proper performance of their jobs.

Article (121) Customs officers authorized as investigation officers shall have all right

to get aboard the vessels anchoring in the local ports or those entering or

leaving such ports and to stay aboard until the cargo is unloaded and they

may inspect all parts of the vessel.

Article (122) Authorized customs officers authorized as investigation officers shall

81

have the right to get aboard the vessels in the customs zone for inspection

or presentation of the cargo manifest and the other required documents

under the provisions herein; in case refraining from producing such

documents or in the absence of such documents and when smuggled or

prohibited goods are

suspected to be on board, customs officers may take all necessary

measures to seize such goods and shall lead the vessel to the nearest

customs office.

Article (123) The Administration may take appropriate actions for investigating

smuggling inside and outside the customs station according to the rules

laid down by the Authority.

Article (124) Investigation of smuggling, seizure of goods and proving customs

offences may be conducted on all goods within the territories of the country

in the under mentioned places:-

1 - in both the land and maritime customs zones.

2 - At the customs station, seaports, airports and all the places subject

to customs control.

3 - Beyond customs zone in case of hot pursuit of the goods that have

been seen within the zone in a situation that indicates that they are

intended to be smuggled.

Article (125) Authorized Customs officers authorized as investigation officers shall to

have access to the papers, documents, records, correspondences,

commercial contracts and instruments whatsoever, directly or indirectly

82

relating to the customs operations, and to seize them when offences are

found out at the of the shipping and transportation companies and the

natural and juristic persons involved in customs operations, such

companies and persons shall keep all the aforesaid documents for a period

of five years from the date of completion of the customs operations.

Article (126) Customs officers authorized as investigation officers may detain any

person suspected to have committed or attempted to commit an offence or

involved in committing, Smuggling, Transporting or acquisition of smuggled

goods.

Chapter (2)

Seizure report Article (127)

When the offence/crime or smuggling is found out, a seizure report

shall be promptly made by at least two customs officers and it may be

made by one customs officer when necessary.

Article (128) The seizure report shall contain the following details:

1 - The place, date and hour (in words and figures) of preparation

thereof.

2 - Names of the customs officers who had detected the offence and

those who had prepared the seizure report, their signatures and

the nature of their jobs.

3 - Names of the offenders or those responsible for smuggling, their

nationalities, characteristics, occupations and detailed addresses.

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4 - Seized goods, kinds and quantities thereof, their value and tariff

heading and place, date and hour of seizure thereof.

5 - Detailed facts, statements of the offenders or the individuals

responsible for smuggling and the statements of witnesses, if any.

6 - An indication in the seizure report that it has been recited to the

attending offenders or those involved in smuggling who had

approved it by signing it or refused to do so.

7. All the other useful documents and the presence of the offenders or

those involved in smuggling when making inventory of the goods or

their refusal to attend.

8. Referring samples of the seized smuggled material to the competent

authorities for verification of prohibited materials.

9. Identifying the authority to which smuggled materials have been

delivered and a signature of receipt of such authority.

10. Identifying the security authority to which the smuggler(s) has been

detained and the hour and date of detention.

Article (129) The seizure report prepared according to the preceding two Articles

herein is a evidence of the material facts that have been seen by the

customs officers who had prepared it, unless the country is proved.

The incompleteness in form of the seizure report does not cause it to

be null and may not be returned to the customs officers who had prepared

it unless such incompleteness is related to material facts.

Article (130) The Customs station may seize the goods subject of offence or

smuggling and other items used for concealment as well as the means of

84

conveyance whatsoever (i.e. boats, vehicles and animals) excluding

vessels, aircraft and public buses intended for the transport of passengers,

unlessspecially designed for smuggling purposes.

Article (131) Smuggled goods or those attempted to be smuggled such as narcotic

drugs and the like shall be disposed of according to the laws in force.

and judgments issued in this respect.

Article (133) The General Manager may, when necessary and as a guarantee for

the public treasury's revenues, impose a customs security on the property

of the duty payers or their partners.

Chapter (3)

Precautionary measures Section (1)

Precautionary seizure

Article (132) Customs officers executing the seizure report may seize the goods

-subject of smuggling or offence- and the means of concealment and

conveyance thereof and seize all documents in order to prove the offences

or smuggling and to secure the duties, and fines.

The General Manager may, when necessary, have an order issued by

the competent authorities to effect provisional attachment on the properties

of the offenders and smugglers through other as a security of the payment

of the customs duties and fines and implementation of the final decisions

85

Article (134)

Arrest may be authorized only in the following cases:

1 - Smuggling offences in the act.

2 - Resistance to customs officers or security officers that impedes

seizure or investigation of smuggling cases or customs offences or

the persons involved therein.

competent authorities to prevent the offenders or the persons accused of

smuggling from leaving the country, if the value of the seized goods is not

sufficient to cover the, duties charge and fines.

The customs officers authorized as investigation officers or the security

authorities shall issue the arrest order. The arrested person shall be

presented to the competent authority within 24 hours from the time of

arrest.

Section (2)

Preventing the offenders and the persons accused

of smuggling from leaving the country.

Article (135)

The General Manager or his authorized representative may ask the

Such prevention order may be cancelled if the offender or the person

accused of smuggling has submitted a bail equivalent to the claimed

amounts or if it is found out thereafter that the value of the seized gods is

sufficient to cover the claimed amounts.

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Chapter (4)

Customs offences and penalties thereof Article (136)

The collected customs fines and confiscated goods provided for herein

are deemed as a civil compensation to the Authority and shall not be

5. Offences of territories under control of the Authority.

6. Offences of temporary admission.

7. Offences of re-exportation.

8. Any other customs offence.

covered by the provisions of amnesty.

Article (137) In the event of multiple offences, fines shall be imposed on each

offence separately and the severest fine will be sufficient to if the offences

are inseparably correlated.

Article (138) Excluding the smuggling cases provided for in Article 140 herein and

without prejudice to the international agreements in force, a fine shall be

imposed on the following offences according to the executive Regulation of

this law:

1. Offences of importation and exportation.

2. Offences of customs declarations.

3. Offences of goods in transit.

4. Offences of warehouses.

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Chapter (5)

Smuggling and penalties thereof Section (1)

Smuggl ing

Article (139) Smuggling is to bring or attempt to bring goods into or take them out of

the state in contravention to the applicable legislations without payment of

the customs duties, in whole or in part, or contrary to the provisions of

prohibition or restriction provided for herein.

Article (140) The following actions are particularly deemed as smuggling (ipso facto) :

1 - Not proceeding with the goods to the first port of entry customs

station.

2 - Not following the routes specified for getting the goods into or taking

them out of the state.

3 - Unloading or loading the ships contrary to the regulations applicable

at the customs station or unloading or loading the ships within the

marine customs zone.

4 - Illegal unloading or loading of aircraft cargo outside official airports

or dropping goods during flight, subject to the provisions of Article

(39) herein.

5 - Not declaring at customs station of the imported exported goods

without a manifest, including the goods brought by passengers,

which have a commercial nature.

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6 - When the goods surpass the customs station at entry or exit without

being declared.

7 - Discovering goods, not declared to a customs station, concealed in

places or cavities not usually designed for containing such goods.

8 - Increase, decrease or alteration in the number of the packages or

the declared contents thereof in a situation suspending the duties

13 - Transporting or acquisition of goods subject to the customs

authority within the customs zone without legal documents.

14 - Non re-importation of goods prohibited to be exportated that were

temporarily exported for any purpose whatsoever.

provided for in part 7 herein discovered after the goods have left

the customs station. This provision applies to the goods that have

illegally transited the state or without finalization of their customs

procedures in which case the carrier shall be held responsible.

9 - Failure to produce the evidences prescribed by the Administration to

justify suspensions of the customs duties provided for in part seven

herein.

10 - Taking the goods out of the free zones and duty-free shops,

customs warehouses, stores or customs zones without finalizing

their customs procedures.

11 - Producing false, fraudulent or fabricated documents or lists or

affixing false marks intended to evade the customs duties, in whole

or in part, or to avoid the provisions of prohibition and restriction.

12 - Transporting of prohibited or restricted goods without submitting

evidences supporting their legal importation.

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Section (2)

Criminal Liabil i ty

Article (141) Subject to the provisions of the penal code, any of the following shall

be held criminally responsible:-

1 - Principal perpetrators.

2 - Partners in the offence.

3 - Inciters and interferes.

4 - Possessors of smuggled materials.

5 - Owners of the means of conveyance used for smuggling, drivers

and assistants who are proven to be involved in the smuggling.

6. Owners or tenants of the shops and places where the smuggled

materials are kept or the beneficiaries there from who are proved to

be aware of the presence of smuggled materials in their shops or

places.

Section (3)

Penalt ies

Article (142) Without prejudice to any severe penalty provided for in other laws,

smuggling and like offences and the attempt to commit any of them shall be

penalized as follows:

1 - If the smuggled goods are subject to high customs duties, the

penalty shall be a fine not less than double the payable customs

duties and not more than double the value of the goods and

90

imprisonment for not less than one month but not to exceed one

year or either of them.

As for the other goods, the penalty shall be a fine not less than

double the payable customs duties and not more than the value of the

goods and imprisonment for not less than one month but not to exceed one

year or either of them.

2 - If smuggled goods are exempted from customs duties, the penalty

shall be a fine of not less than ten percent of the value thereof of

the goods and not more than the value and imprisonment for not

less than one month but not to exceed one year or either of them.

3 - If smuggled goods are prohibited, the penalty shall be a fine not less

than the value of the goods but not more than three times the value

thereof and imprisonment for not less than six months but not to

exceed three years or either of them.

In all cases the smuggled goods shall be confiscated, or equivalent of

the value thereof not seized.

Confiscation of the means of conveyance and the tools and materials

used in smuggling, excluding public means of conveyance such as ships,

aircraft, trains and public buses, unless they are intended or hired for

smuggling purposes or imposing a fine equivalent to their value when not

seized.

The penalty may be doubled if the offence is repeated.

Article (143) The General Manager may hold the goods and the seized means of

conveyance in case the smugglers have escaped or could not be caught

and sell them according to the provisions of part 13 herein and the

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proceeds of sale shall revert to the government upon the expiry of one year

form the date of sale if the smugglers were not caught. Should the

smugglers be caught or brought for trial during this period and the goods

have been ordered to be confiscated, the order of confiscation shall apply

to the proceeds of sale.

Chapter (6)

Pursuance (pursuits) Section (1)

Administrative Pursuance (pursuits)

Article (144) The General Manager may issue the necessary orders for collection of

the payable customs duties and fines, which the payer has not paid.

Objection against collection orders may be made to the Authority within

fifteen days from notification date. Nevertheless, this shall not stay

execution unless the claimed amounts are paid through a bank guarantee

or a cash deposit.

Article (145) The fines provided for in chapter 4 of this part shall be imposed by a

decision of the General Manager or his authorized representative.

The offender or his representative shall be notified of the imposed fine

by a written notice through the Authority. The offender shall pay the fines

within fifteen days from the date of notification mere to.

Article (146) The penalization orders provided for to in the preceding Article may be

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complained before the Authority during the same period and the Authority

has the right to confirm, amend or cancel the fire order.

Section (2)

Prosecution of smuggling offences

Article (147) Actions of smuggling offences shall be set in motion only upon written

order from the General Manager.

Section (3)

Concil iatory sett lements

Article (148) The General Manager or his authorized representative may- upon a

written request by the person concerned- make a settlement, in the

smuggling offences, or the likes provided in part twelve herein whether

prior to the bringing of the action or during the trial and prior to the issuance

of the first instant judgment which will replace the criminal case

prosecution.

The Manual (directory) of the conciliatory settlements shall be issued

by a resolution of the Authority.

Article (149) Subject to the provisions of the preceding Article, the conciliatory

settlement shall be as follows:

1 - If the smuggled goods that are subject to high customs duties, the

settlement shall be a fine not less than twice the amount of the

customs duties and not exceeding double the value of the goods.

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As regards other goods, the penalty shall be a fine not less than the

3 - If the smuggled goods are prohibited ones, the settlement shall be a

fine not less than the value of the goods and not more than three

times their value.

4 - Confiscation, release or re-exportation (wholly or partially) of the

smuggled goods in question.

5- Confiscation of the means of conveyance together with the tools and

Materials used for smuggling excluding the public means of

conveyance such as vessels, aircrafts and cars unless these are

designed or rented for this purpose.

Article (150) The action shall come to am end when the settlement procedures are

finalized.

Chapter (7)

Liability and Joint liability

amount of the payable customs duties and not exceeding 50% of the value

of the goods.

2 - If the smuggled goods are not subject to customs duties, the

settlement shall be a fine not less than 10% of the value of the

goods and not more than 50% of the value thereof.

Article (151) The offence and the consequent civil liability in smuggling offences

arise when the material factors thereof are available. Good faith or

ignorance shall not be an excuse, however, the offender shall be excused

from liability if he is proved to be a victim of a force majeure as well as he

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who proves that he has not committed any part of the offence or smuggling

or caused it to occur or be committed.

Civil liability shall include, in addition to the offenders and smugglers,

the accomplices, financiers, sponsors, beneficiaries, agents, clients,

donators, carriers, possessors and consigners of the goods.

Article (152) Investors of private shops and premises wherein infringing or smuggled

goods are kept shall be held responsible thereof, whereas investors and

employees of public shops and premises as well as the owners, drivers and

assistants of public means of conveyance shall be held responsible unless

they prove their unaware of the presence of such infringing or smuggled

goods and that they have no direct or indirect interest therein.

Article (153) Guarantors shall be responsible, within the limits of their guarantees,

for the payment of customs duties, charges fines and other amounts

payable to the Authority by the principal payers.

Article (154) Customs Agents shall be fully responsible for the offences and

smuggling offences they or their authorized employees commit concerning

customs declarations, but they will not be responsible for the undertakings

submitted in the customs declarations unless such undertakings are made

by them or they have guaranteed the undertakers.

Article (155) Owners of the goods, employers and carriers of goods shall be

responsible for the acts of their employees and all persons working on

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behalf of them in respect to the duties and charge collected by the customs

station and the fines and confiscations provided for herein resulting of

therefrom.

Article (156) Heirs may not be responsible for the payment- from their own shares of

the heritage- of the fines payable by the dead offenders unless they were

accomplices in smuggling, the action shall be relinquished upon the death

of the offender.

Article (157) Payable customs duties, charge and fines shall be jointly paid by the

offenders or the persons liable for smuggling according to the applicable

practices for collecting the funds due to the State Treasury. The seized

goods and means of conveyance, if any, shall be a security for the payment

of the due amounts.

Chapter (8)

Trials Procedures Article (158)

A first instance customs court may be established and shall have the

following jurisdictions:

1 - All smuggling offences and the like.

2 - All offences committed contrary to the provisions of this law and the

Executive Regulations thereof.

3 - Hearing the objections against collection orders according to the

provisions herein.

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Article (159) Judgments of the aforementioned first instance customs court may be

appealed against before the court of Appeal.

The period of appeal shall be thirty days from the date of expiry of the

first instance judgment time limit if the judgment is default decree or from

the date of pronunciation of the judgment in presence of the accuses/s.

Article (160) Collection and penalization orders and the judgments passed in the

customs cases shall be enforced by all authorized means of execution, on

the movable and unmovable property of the liable persons.

The Minister may issue an order to attach a sufficient amount of such

property to cover payment of the claimed amounts.

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Part (13)

Sale of the Goods

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Part (13) Sale of the Goods

Article (161)

The Authority shall have the right to sell the goods liable to damage

decrease or leakage or if the goods are in a condition that might endanger

the integrity of the other goods or the where they were kept.

Seized goods which are subject to a considerable depreciation may be

sold by authorization from the Director General or his representative.

The sale of the goods shall be based on a report stating the condition

of the goods and the justifications of sale without having to get a judgment

from the competent court, provided that the owner of the goods shall be

notified thereof.

If a judgment to return the goods to its owner is passed thereafter, then

the price of the sold goods shall be paid to the owner after deducting any

due duties or charge.

Article (162)

The Authority Upon expiry of the period specified time limited may sell

the goods placed in the customs warehouses, in the yards or wharves at

the customs station.

Article (163)

The Administration may sell the following:

1 - Goods and means of conveyance that have become the property of

the Authority as a result of a confiscation judgment, a settlement or

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a written waiver.

2 - Goods not withdrawn from the customs warehouses within the legal

time limit specified according to Article(74)herein.

3 - Goods and items whose owners are unknown and which have not

been claimed within the storage period specified by the Authority.

Article (164)

1. Customs duties.

2. The costs of the sale process.

3. The expenses incurred by the Authority whatsoever.

4. Carriage charges, when necessary.

5. Any other charge.

The Authority bears no responsibility for any damage caused to the

goods being sold under the provisions herein unless it is proved that the

Authority had committed a grievous fault an obvious default in the sale

process.

Article (165)

The sales actions provided for in this part shall be effected in a public

auction according to rules and conditions to be specified by the Authority.

The goods, items and the means of conveyance shall be sold free of

the customs duties and other charges and except the broker's commission

that shall be borne by the buyer during the sale procedures.

Article (166)

The proceeds of the sale shall be distributed as follows:

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The balance remaining from the proceeds of selling the goods, the

importation of which is permitted on the day of sale, after deducting the

sums provided for in the above paragraph (a), shall be deposited with the

Authority as a trust. The persons concerned may claim refund thereof

within one year from the sale date otherwise such balance will be the

property of the treasury.

shall be 50% after deducting the customs duties and the costs. The

remaining portion of the balance shall be deposited with the customs

rewards fund or with any other account of the Authority, to be paid to the

individuals who had found out and seized the offences and their assistants.

The rules for distributing such rewards shall be laid down by the Authority

upon a proposal from the General Manager

Goods prohibited or not allowed to be imported; the remaining balance

of the sale price shall be the property of the Treasury.

Goods prohibited, restricted or not allowed to be imported sold under a

settlement, fire order or a court judgment relating to smuggling, the

remaining balance of the sale price shall be distributed according to the

provisions of Article (167) herein after deducting the customs, duties

charge and costs.

Article (167)

The share of the treasury from the amounts of the customs fines and

the value of the seized or abandoned goods and means of conveyance

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Part (14)

Privilege

of the Customs Administration

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Part (14) Privilege of the Customs Administration

Article (168)

Customs duties charges and taxes fines, compensations, confiscations

and refunds, to be collected by the Authority shall have a general privilege

over the movable and unmovable property of the liable persons except the

judicial expenses.

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Part (15)

Prescription

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Part (15) Prescription

Article (169) Any claim or action for refunding the customs duties paid since over

three years shall not be accepted.

Article (170)

from the date of the judgment assign.

5 years for the following cases, if not claimed:

a). Investigation of the offences from the date of accurance thereof.

b). Collection of the fines and the confiscations ordered on the offences

with effect from the issuance of the.

c). Collection of the customs duties and other charges that have not

been collected due to a mistake by the customs station effective

from the date of recording of the customs declaration .

Authority may destroy the records, receipts, declarations and other

customs documents of a certain year upon the expiry of five years following

finalization of the customs procedures. The Authority shall not be bound to

present such documents or give copy thereof to any entity after the elapse

of that period.

Article (171) Prescription period for the Customs Authority entitlements, if not

prosecuted, shall be as follows:

15 years for the following two cases:

a). Acts of smuggling and the like effective from the date of committing

the offence.

b). Execution of the judgments in smuggling trials and the like effective

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Part (16)

Final Provisions

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Part (16) Final Provisions

Article (172)

The General Manager may spare the ministries, government

departments, institutions and public corporations from certain procedures to

facilitate their duties.

The authority may sell the confiscated or abandoned goods and

materials to the ministries, government departments and official public

organizations, if they express their need for them, at the prices it deems

appropriate, or may relinquish them free of charge to such entities by a

decision by the Authority.

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