-Customs Management- Defining capacity building and

technical assistance for Customs Valuation for Customs

Administrations

WTO 6th November 2002

Essential and Recommemded capacity for Valuation

• CORE CAPACITY• legal framework• total mastery of

Agreement• total familiarity with

business practices• administrative

procedures

• FURTHER CAPACITY

• risk management• specialist valuation

units• rulings and records

system• on training

programmes

Essential customs capacity

• Core capacity• Legal Regulatory

System• Audit controls

• Further Capacity• Risk management• Use of information

technology

Customs blueprints• Standards of best practice by which

improvements of operational capacity will be measured and to which technical assistance will be targeted

• Validated by EC Member States and partner Countries

• Divided in 11 sectors and subdivided in about 50 strategic objectives and 350 key indicators

Blueprints

1. Legislation2. Rights and obligations of Importers; Communication3. Ethics4. Organisation and Management5. Human Resource Management6. Training7. Border and inland control8. Investigation and Enforcement9. Fiscal Control10. Administrative Co-operation and Mutual Assistance11. Information Technology

Gap Analysis

• Comparison with the standard described in the relevant blueprint

• For each individual key indicator

a) description of the current situation

b) gaps are divided into two parts:

- technical shortfalls

- behavioural shortfalls

Needs Analysis

• Based on the outcome of the gap analysis

• To determine what needs to be done to bring

performance in each customs functional area up to the

standard described in the relevant blueprint

• Solutions to close the gap and meet the need

objective are identified. The final outcome is an

activity list.

Business Change Management Plan

• Based on the outcome of the needs analysis

• Reflects the prioritisation of needs objectives and

gives a order of the activities to be implemented

• Consists of two parts: BCMP Summary and BCMP

Individual Need Objective

• Activities listed in the Needs Analysis (impact

assessed solutions) requesting external

assistance (in the order of the BCMP

Summary)

• TNA includes estimation of budget and staff

To be finalised for individual countries

Technical NeedsAnalysis (TNA)

Summary of the programme

Customs Blueprints

Gap Analysis

Needs AnalysisImpact assessed solutions

BCMP TNA

Fiscal Blueprints6. TRAINING

6.1 AIM

Development of a training service, which fully and autonomously supports the strategy of the Customs Administration as a whole, and contributes to improved business performance through the training and development of its employees

6.2 STRATEGIC OBJECTIVES

? Development and implementation of a long-term training strategy which is designed to deliver the above aim, integrates with the customs business strategy, and is fully endorsed at top management level

? Development and resourcing of a training function, which delivers appropriately qualified employees, is flexibly organised and based on training policies, systems and procedures which facilitate delivery of the training strategy

? Systematic evaluation of training strategy, policies, systems and procedures to ensure the efficiency of the training, the necessary qualifications of the employees, the quality of the courses and to keep abreast of developments in the training field

6.3 KEY INDICATORS

6.3.1 Training supports the business strategy

Top management is seen to be committed to the training strategy, training policies and programmes

The training strategy and policies which fully support the business strategy are developed and published

6.3.2 Appropriately qualified employees

Training policies and programmes are based on an agreed system for full and proper analysis of the

Gap analysis - example

BlueprintKeyIndicator

Current situation

Technical shortfalls

Behavioural shortfalls

Needs Analysis - example

Needs Analysis - example

Needs Analysis - example

Needs Analysis - example

Needs Analysis - example

Needs Analysis - example

BCMP SummaryTax Reform and Modernisation Programme Business Change Management Plan – Summary

Version: Date: 3.07.2000 Country:

Sequence NeedObj.

Short Description of Need Objective Start Elapsed time Staff days Budget Comments

1. 2.4. TAX PAYER MANAGEMENTSTRATEGY

11.2000 10.2002 436 135 The assistance of Phare funds isexpected

2. 4.2. RISK MANAGEMENT STRATEGY 1.01.2000 31.05.2003 3260+10.000 –training

360 The assistance of Phare funds isexpected

3. 10.1 Tax Customs Social Security Co-op 07.2000 08.2001 1514. 2.2 Tax payer Consultation procedures 09.2000 05.2002 16305. 4.4 Simplification tax obligations 1.10.2000 2002 170 Expertise from the Department

of the US Treasury6. 1.3 Review of tax laws 05.2000 09.2001 20707. 2.5 Ombudsman 1.01.2002 30.06.2002 2808. 1.2 ADJUSTMENT OF THE TAX

ADMINISTRATION TO THE TASKSSTEMMING FROM THE STRATEGY

1.10.2000 31.12.2002 452 In 2000 in MOF will be advisedby an IMF expert

9 4.5 EDI-legislation 1999 08.2000 50 An intra-ministerial team wasappointed for preparing theprojects of a new law

BCMP - Individual Need Objective

Tax Modernisation ProgrammeBusiness Change Management Plan

Risk management strategy Version3.0

Date:3.07.2000

Country: Page 12

No4.2.

Solution Short description Start End Staffdays

Budget

I/E Responsibility TaskDeliverables

1 Responsibility of Organisation of TaxAdministration Department

2001 2003 I Head of Organisation ofTax AdministrationDepartment

2 Collection of date on the use of riskanalysis in tax administration activitiesin EU countries

1.01.2001 28.02.2002

120+10

10 I/E Head of Organisation ofTax AdministrationDepartment

Report

3 Study visits and training 1.01.2002 30.06.2002

80 30 E Head of Organisation ofTax AdministrationDepartment + PAA

Visits

4 Preparation of a document summing uprisk analysis methods in taxadministration

1.01.2002 31.03.2002

20 20 I/E Head of Organisation ofTax AdministrationDepartment

Report

5 Selection of types of tax administrationactivities for which risk analysis wouldbe necessary

1.04.2002 30.06.2002

20 20 I/E Head of Organisation ofTax AdministrationDepartment

Report

6 To define type of data (information)necessary for the risk analysis

1.04.2002 30.06.2002

20 20 I/E Head of Organisation ofTax AdministrationDepartment

Report

.

Technical Needs AnalysisTax Modernisation Programme Technical Needs Analysis 1/12

Version 1 Date: 3.07.2000 Country

NeedObj

TaskRef.

Task Start End StaffDays

Budget Method ofdelivery

Task Deliverable

2.4. Taxpayer management strategy

3 Collection of information on ways(strategies) of taxpayer managementin the EU countries. Study visits

01.04.2000

31.03.2002

30+80 30+30 Phare 2001 Report

5 To consider the proposals ofachieving strategic objectives on thebasis of the consultation withtaxpayer representatives. Drafting astrategy

01.2002 31.05.2002

Phare 2001 Report + project of thestrategy

8 To define rules on modification(updating of the strategy)

08.2002 10.2002 Phare 2001 Report

4.2. Risk management strategy

2 Collection of date on the use of riskanalysis in tax administrationactivities in EU countries

1.01.2001 28.02.2002

120+10

10 Phare 2001 Report

3 Study visits and training 1.01.2002 30.06.2002

80 30 IMF Visits

4 Preparation of a document summingup risk analysis methods in taxadministration

1.01.2002 30.06.2002

20 20 Phare 2001 Report

5 Selection of the types of taxadministration activities for whichrisk analysis would be necessary

1.04.2002 30.06.2002

20 20 Phare 2001 Report

6 To define type of data (information)necessary for the risk analysis

1.04.2002 30.11.2002

Phare 2001 Report

8 Preparation of software applicationssupporting the risk analysis processfor these types of activities

07.2002 30.09.2002

World Bank Software application

10 Preparation of information andtraining materials for staff

1.06.2002 30.09.2002

Phare 2001 Prepared and printed material

Model Trade related Technical assistance project for Customs Valuation

• Copy provided