Management Regulations Governing Bonded Business in Technology Industrial Parks Article 38

If business entities may accept the commission for processing from manufacturers located at duty-levying areas, provided that the manufacturers shall be limited to those who have completed the company or business organization registration with the competent authority at the time of contracting.When the aforesaid commodities enter the Parks, business entities shall fill in the entry and exit record cards for the commodities that undergo the commissioned processing and check the commodities themselves before transporting the commodities into the Parks (factories). Business entities shall directly write off the entries from the original record cards when the processed commodities are shipped out of the Parks.If any bonded raw material or material is added into the commodities commissioned for processing by business entities, before transporting the commodities out of the Parks, business entities shall produce the list of materials indicating the commissioned processing contract and submit the same to the Customs for future reference, and shall fill in a declaration and apply for customs clearance at Customs when the processed commodities exit the Parks. The Customs may request any documentary evidence about the commissioned processing when reviewing and approving the declaration.Customs duties shall be imposed on the aforesaid commodities based on 70% of the difference between the import and export prices of the processed commodities after 30% of the price difference has been deducted as service and processing fees. If, under special circumstances, business entities apply to the BIP or the branches for an ad hoc project by presenting the documents of proof issued by a certified accountant and the BIP or the branches forwards the case to Customs, customs duties shall be imposed on the bonded raw materials and materials added during processing as well as the semi-finished products. Moreover, a report may be submitted on a monthly basis, and a certain amount of collateral shall be provided for Customs in advance according to the regulations in Paragraph 1 of Article 29.The record cards noted in the 2nd paragraph, if approved to be computerized by Customs, are subject to the regulations in Paragraph 2 of Article 35.