Rule 5 - Fixation of the Compounding amount - Customs (Compounding of Offences) Rules, 2005

1 [5. Fixation of the compounding amount.- For the purpose of compounding of offences under the various provisions of the Act, the compounding amount shall be as provided in the following Table: Provided that if a person has, in respect of same goods, committed offences falling under more than one category specified below and where amount of duty evasion, or, amount of drawback or exemption from duty, provided under the Act in connection with export goods; or amount of market value of the goods is same for all such offences, the compounding amount, in such cases, shall be the amount determined for the offence for which a higher compounding amount has been prescribed. Table Sl.No. Offence Compounding amount (1) (2) (3) 1. Offence specified under Section 132 of the Act Fifty thousand rupees for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 2. Offence specified under Section 133 of the Act Fifty thousand rupees for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 3. Offence specified under Section 134 of the Act Fifty thousand rupees for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 4. Offence specified under Section 135 (1) (a) of the Act Upto ten per cent. of the amount of market value of the goods, subject to a minimum of one lakh rupees. 5. Offence specified under Section 135 (1) (b) of the Act Upto five per cent. of the amount of market value of the goods, subject to a minimum of one lakh rupees. 6. Offence specified under Section 135(1) (c) of the Act Upto ten per cent. of the amount of market value of the goods, subject to a minimum of one lakh rupees. 7. Offence specified under Section 135(1) (d) of the Act Upto ten per cent. of the amount of market value of the goods, subject to a minimum of one lakh rupees. 8. Offence specified under Section 135A of the Act Upto five per cent. of the amount of market value of the goods, subject to a minimum of one lakh rupees.] 2 [ 9. Offences specified under Section 135AA of the Act One lakh rupees for the first offence, to be increased by hundred per cent of this amount for each subsequent offence. ] ******************************** Notes : 1. Has been substituted vide Notification No. 118/2008 Cus (NT) dated 12/11/2008 before it was read as, 5. Fixation of the Compounding amount. - For the purpose of compounding of offences under the various provisions of the Act , the compounding amount shall be as provided herein below : S.No. Offence Compounding amount 1. Offence specified under section 132 of the Act Rupees fifty thousand for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 2. Offence specified under section 133 of the Act Rupees fifty thousand for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 3. Offence specified under section 134 of the Act Rupees fifty thousand for the first offence and to be increased by hundred per cent. of this amount for each subsequent offence. 4. Offence specified under section 135(1)(a) of the Act Upto twenty per cent. of market value of the goods or Rupees ten lakhs whichever is higher. 5. Offence specified under section 135(1)(b) of the Act Upto twenty per cent. of market value of the goods or Rupees ten lakhs whichever is higher. 6. Offence specified under section 135(1)(c) of the Act Upto twenty per cent. of market value of the goods or Rupees ten lakhs whichever is higher. 7. Offence specified under section 135A of the Act Upto twenty per cent. of market value of the goods or Rupees ten lakhs whichever is higher. 2. Inserted vide NOTIFICATION NO. 69/2022-Customs (N. T.) dated 22-08-2022