TIOL-DDT 2943
04 10 2016
Tuesday

BOARD has issued a draft Circular to prescribe the procedure for IGM amendment. The Trade has been representing that owing to tedious process of IGM amendment, there is reluctance to avail the facility of advance/ Prior Bill of Entry.

a. In order to ensure that all amendment applications are disposed off within specified time limits, it is desired that all minor amendments are approved on the same day of the submission of complete application along with all the required documents. For EDI sites, the electronic request for amendment should be made prior to approaching the officer with the documents. Further, in order to decentralise the minor amendment process, necessary changes have been carried out in the notification No. 40/2012-Cus (N.T.) dated 2.5.12 by notifying Superintendent of Customs and Central Excise or Appraiser as proper officer for Section 30 (minor amendments). Since the proper officer for purposes of Section 30 Superintendent of Customs and Central Excise or Appraiser (minor amendments), therefore, consequent changes in respect of notifying the proper officer for purposes of Section 149 have also been carried out. (obviously something is missing in this sentence.)

b. All major amendments will generally be approved within 24 hours of the submission of the complete application. Delays beyond the laid down timelines are to be necessarily escalated and brought to the notice of Additional/Joint Commissioner in charge. All major amendments shall continue to be approved by the concerned Deputy Commissioner or the Assistant Commissioner as the case may be.

c. A combined application in the prescribed Form shall be submitted by the shipping line irrespective of the major or minor amendment(s) along with the required documents indicated against each type of amendment mentioned in the Annexure to the Application Form appended to this Circular leaving no scope for ambiguity.

d. Since the objective is to lend certainty to the amendment process with specific timelines, therefore, accepting incomplete forms should be avoided. In case an incomplete form for amendment is accepted for reasons to be recorded, a deficiency memo should be promptly issued the same day.

e. All cases of Minor amendment should be decided administratively without recourse to adjudication or levy of penalty. Levy of Fee (Customs Documents) Regulations, 1970 allows the proper officer to permit an IGM to be amended or supplemented, on payment of prescribed fees, if he is satisfied that there is no fraudulent intention. The said regulations have also been amended vide ___/2016-Cus (N.T.) dated___ to revise the fee(s) for carrying out amendments. The quantum of fee has been revised upwards so as to calibrate it to the realistic levels and also to discourage the tendency to file amendments. A flat fee of Rs. 2000 has been provided for amendment of IGMs.

Further, no amendment fee shall be levied in respect of Bill of Entry filed under the provisos to sub-section (3) of Section 46 of the Customs Act, 1962 (52 of 1962) where the amendment is necessitated due to amendment in import manifest in the case of a prior Bill of Entry.

f. The request for amendment shall be filed by the person in-charge of the conveyance or any person who has been authorized to issue delivery orders in favour of an importer, on the basis of which the custodian would deliver the imported goods.

g. While adjudication should be done in the case of Major amendments, Penal action should be not initiated mechanically and that due consideration may be given to the circumstances of amendment.

The responsibility of amendment in the IGM rests solely with the Shipping Line/Agent, as they file IGM with Customs under section 30 of Customs Act, 1962. It is, therefore, clarified that the fine/penalty imposed, if any, upon adjudication in such cases, shall be payable by the Shipping Line only. No fine/penalty is required to be imposed on the consignee or others. No request for any amendment in the IGM from Custom Broker/Importer will be entertained.

While accepting requests for amendments, due precaution should be taken that requests for amendment to manifested items are accepted within the period stipulated in the Section 48 of the Customs Act, 1962.

Your comments/suggestions can be sent to dircus@nic.in or shaifali.singh@icegate.gov.in till 14th Oct.

Customs - Exemption for Re-imported Goods

AS per Notification No.94/1996-Customs dated 16.12.1996, re-imported goods are exempted, subject to certain conditions. One of the conditions is:

(a) the goods [other than the goods exported under the Duty Exemption Scheme (DEEC) or the Export Promotion Capital Goods Scheme (EPCG) or Duty Entitlement Passbook Scheme (DEPB) are re-imported within three years after their exportation or within such extended period, not exceeding two years, as the Commissioner of Customs may on sufficient cause being shown for the delay, allow, and in the case of goods exported under the Duty Exemption Scheme (DEEC) or the Export Promotion Capital Goods Scheme (EPCG), or Duty Entitlement Passbook Scheme (DEPB), re-importation of such goods takes place within one year of exportation or such extended period not exceeding one more year as may be allowed by the Commissioner of Customs on sufficient cause being shown;

This is now amended to read as:

(a) in the case of Bhutan, the machinery and equipment [other than those exported under the Duty Exemption Scheme (DEEC) or Export Promotion Capital Goods Scheme (EPCG) or Duty Entitlement Passbook Scheme (DEPB)] are re-imported from Bhutan within seven years after their exportation or within such extended period, not exceeding three years, as may be allowed by the Principal Commissioner of Customs or Commissioner of Customs as the case may be, on sufficient cause being shown;

(aa) in all other cases, the goods [other than the goods exported under the Duty Exemption Scheme (DEEC) or the Export Promotion Capital Goods Scheme (EPCG) or Duty Entitlement Passbook Scheme (DEPB)] are re-imported within three years after their exportation or within such extended period, not exceeding two years, as the Commissioner of Customs may on sufficient cause being shown for the delay, allow;

(ab) in the case of goods exported under the Duty Exemption Scheme (DEEC) or the Export Promotion Capital Goods Scheme (EPCG), or Duty Entitlement Passbook Scheme (DEPB), re-importation of such goods takes place within one year of exportation or such extended period not exceeding one more year as may be allowed by the Commissioner of Customs on sufficient cause being shown.

Notification No. 57/2016-Customs., Dated: October 03 2016

Does the Board keep track of amendments to Notifications? In the Note to the above Notification, Board states that the principal notification No. 94/96-Customs, dated the 16th December, 1996, was published in the Gazette of India, dated the 16th December,1996 and was last amended by Notification no. 52/2012-Cus, dated 13.09.2012.

The Notification was also amended by Notification No. 33/2015-Cus dated 15.05.2015. Maybe, Board forgot this amendment!

Import of Silver, Gold and Platinum - Omitted Proviso Amended?

AS per Notification No. 57/2000-Cus dated 08.05.2000, silver, gold and platinum, when imported into India are exempted,-

(a) as replenishment under the Scheme for 'Export through Exhibitions/Export promotion Tours/Export of Branded Jewellery', or

(b) under the Scheme for 'Export Against Supply by Nominated Agencies'

This notification had three provisos. The second proviso was omitted by Notification No. 33/2015-Cus dated 15.05.2015. Now the Government has substituted the second proviso. It is not clear whether the omitted proviso is amended or the third proviso which is now the second proviso is amended. Anyway, the Government seems to be unaware of this Notification No. 33/2015-Cus. The substituted proviso reads as:

"Provided further that in the case of import of gold / silver / platinum under the scheme for 'Export Against Supply by Nominated Agencies', the importer executes a bond in such form and for such sum as may be specified by the Assistant Commissioner of Customs or Deputy Commissioner of Customs, undertaking to export, either by itself or through other exporters, gold / silver / platinum jewellery or articles, as the case may be, including studded articles having gold / silver / platinum content equivalent to the imported gold / silver / platinum within a period of ninety days from the date of issue of gold / silver / platinum to the exporters, and binding himself to pay on demand duty on quantity of gold / silver / platinum representing the difference between the quantity issued and that contained in the exported jewellery or articles.".

The omitted proviso also was almost same.

Notification No. 56/2016-Customs., Dated: October 03 2016

Customs - Unconditional Exemption to Technitium-99m

TECHNITIUM-99m was Sl. No 111 in List 4 of the Notification No. 12/2012-Cus dated 17.03.2012 and was exempted by Sl. Numbers 148 and 516 of the Table to Notification No. 12/2012-Cus. Now Sl.No. 111 (Technitium-99m) is omitted from List 4. Technitium-99m is inserted as Sl. No. 163B of the Table to Notification No. 12/2012-Cus.

Notification No. 55/2016-Customs., Dated: October 03 2016

CBDT Chairperson's Message to TEAM-Income Tax

THE CBDT Chairperson Rani Singh Nair in a message to her team said,

It gives me immense pleasure and satisfaction to congratulate all officers and officials of the Income Tax Department: 'TEAM-IT' on our successful and well deserved accomplishment of our task of unearthing undeclared income through the Income Declaration Scheme, 2016.

Any accomplishment reflects the commitment and the hard work of people who toil hard with focussed perseverance. The 'TEAM-IT' has shown utmost dedication, passion and perseverance in achieving such a high degree of success.

I commend your determination and dedication and wish you similar success in all our future endeavours for generating resources for the Government and contributing towards the well-being of our people.

Congratulations to TEAM-IT again!!

Smuggling Rampant in India - Pak Trade - ASSOCHAM

AN ASSOCHAM paper on India - Pakistan Trade says,

Smugglers/traders mainly carry out the informal trade between Pakistan and India through the exchange of goods at the Indo-Pakistan borders as well as through the misuse of the personal baggage scheme through the 'Green Channel' facilities at international airports or railway stations. Informal trade is also taking place through Afghanistan whereby goods are exported officially from India to Afghanistan and later on brought into Pakistan through Peshawar.

Informal traders in both the countries have developed efficient mechanisms for information flow, risk sharing and risk mitigation. The three important contributory factors towards thriving informal trade are quick realization of payments, zero documentation and little procedural hassles leading to lower transaction costs.

Besides the Afghanistan route, other channels of such informal trade include India-Dubai-Pakistan, Wagah by rail or road and Srinagar-Muzaffarabad.  The composition of items going from India include jewellery, textiles, machinery and electronic appliances. On the import front, the items include textiles, dry fruits, spices and carpets.

Significantly the informal trade or smuggling is over and above the 'Third country' trade which is generally done through Dubai and is not illegal. The 'Third country' trade is also done through agents in Singapore.  Through this route, exports from India include capital goods, textile machinery, dyes and chemicals, iron and ore, spices, tannery equipment, machine tools, cotton fabrics, tyres and chemicals and medicine. It is mostly exports.

Trade between Pakistan and India via Dubai has the advantage (for the traders) that consignments are not scrutinized as much as those coming directly from either country.

Robot Customs Officers in China

INTELLIGENT robots have started working as customs officers at three ports in China's Customs offices.

The robots, named Xiao Hai, have state-of-the-art perception technology and are able to listen, speak, learn, see and walk.

Based on a specialized customs database, the robots can answer questions in 28 languages and dialects, including Cantonese, Mandarin, English and Japanese.

There are some particular problems they cannot solve, and customs officials will link the robots to their customer service hotline.

With face recognition technology, the robots can detect suspicious people and raise an alarm.

Certainly the robots will not demand bribes.

Until Tomorrow with more DDT

Have a nice day.

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