Notes - Notes on clauses - Customs - Finance Bill, 2012

Customs Clause 114 of the Bill seeks to amend clause (10) of section 2 of the Customs Act so as to modify the definition of customs airport . This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 115 of the Bill seeks to amend clause (aa) of sub-section (1) of section 7 of the Customs Act so as to substitute the words container depots with the words container depots or air freight stations . This amendment will take effect from the date of which this Bill receives the assent of the President. Clause 116 of the Bill seeks to insert a new section 28AAA in the Customs Act to provide for recovery of duties in certain cases relatable to utilisation of instruments, such as duty credit scrips issued under the Foreign Trade (Development and Regulation) Act, 1992 where the instrument was obtained by means of collusion or wilful misstatement or suppression of facts made by the person to whom it was issued or his agent or employee, and was utilised by another person who acquired it from the original holder, then the duties, relatable to the utilisation, shall be recovered from the person to whom the instrument had been issued. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 117 of the Bill seeks to amend section 28BA of the Customs Act relating to provisional attachment of property to protect revenue in certain cases so as to make it applicable also to the proposed clause 28AAA. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 118 of the Bill seeks to amend sub-section (2) of section 47 of the Customs Act so as to insert a new proviso therein to provide that the Central Government may, by notification in the Official Gazette, specify the class or classes of importers who shall pay the duty electronically. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 119 of the Bill seeks to amend sub-section (2) of section 75A of the Customs Act so as to substitute the reference to section 28AB with section 28AA , with retrospective effect from the 8 th day of April, 2011. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 120 of the Bill seeks to substitute sub-sections (3) and (4) of section 104 of the Customs Act with new sub-sections (3) to (6). Sub-section (3) of the aforesaid section provides that where an officer of customs has arrested any person under sub-section (1), for any offence (other than an offence punishable for a term of imprisonment of three years or more under section 135), he shall, for the purpose of releasing such person on bail or otherwise, have the same powers and be subject to the same provisions as the officer-in-charge of a police station has, and is subject to, under the Code of Criminal Procedure, 1973. Sub-section (4) thereof seeks to provide that notwithstanding anything contained in the Code of Criminal Procedure, 1973, all offences under this Act (except an offence punishable for a term of imprisonment of three years or more under section 135) shall be be ilable. Sub-section (5) thereof seeks to provide that notwithstanding anything contained in the Code of Criminal Procedure, 1973, all offences under this Act except an offence punishable for a term of imprisonment of three years or more under section 135 shall be non-cognizable. Sub-section (6) thereof seeks to provide that offence punishable for a term of imprisonment of three years or more under section 135 shall be cognizable. These amendments will take effect from the date on which this Bill receives the assent of the President. Clause 121 of the Bill seeks to insert a new section 104A in the Customs Act relating to bail for offence punishable for a term of imprisonment of three years or more under section 135 not to be granted without hearing Public Prosecutor. Sub-section (1) of aforesaid section seeks to provide that notwithstanding anything contained in the Code of Criminal Procedure, 1973, no person accused of an offence punishable for a term of imprisonment of three years or more under section 135 shall be released on bail or on his own bond unless - (i) the Public Prosecutor has been given an opportunity to oppose the application for such release; and (ii) where the Public Prosecutor opposes the application, the Magistrate is satisfied that there are reasonable grounds for believing that he is not guilty of such offence and that he is not likely to commit any offence while on bail. It further seeks to insert a proviso so as to provide that a person who is under the age of eighteen years or is a woman or is sick or infirm may be released on bail if the Magistrate so directs. Clause 122 of the Bill seeks to amend clause (b) of section 122 of the Customs Act so as to substitute the words two lakh with the words five lakh and to amend clause (c) thereof to substitute the words ten thousand with the words fifty thousand . These amendments will take effect from the date on which this Bill receives the assent of the President. Clause 123 of the Bill seeks to substitute a new section for section 138 of the Customs Act to provide that notwithstanding anything contained in the Code of Criminal Procedure, 1973, an offence under this Chapter (other than the offence punishable for a term of imprisonment of three years or more under section 135) may be tried summarily by a Magistrate. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 124 of the Bill seeks to amend clause (a) of section 153 of the Customs Act so as to substitute the words to the person for whom it is intended or to his agent with the words or by such courier services as may be approved by the Commissioner of Customs . This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 125 of the Bill seeks to exempt the item specified in column (1) of the Second Schedule from the whole of additional duty of customs with retrospective effect from the 1st day of March, 2011 up to the 16th day of March, 2012. This amendment will take effect from the date on which this Bill receives the assent of the President. Customs Tariff Clause 126 of the Bill seeks to amend section 8C of the Customs Tariff Act, so as to align the provisions of the section with the Transitional Product Specific Safeguard Mechanism under Chinese Accession Protocol. This amendment will take effect from the date on which this Bill receives the assent of the President. Clause 127 of the Bill seeks to amend the First Schedule to the Customs Tariff Act in the manner specified in the Third Schedule so as to,- (a) align the classification of certain entries with that of revised ISRI code of classification; (b) incorporate changes in description of certain tariff items; (c) revise the rate of customs duty on certain tariff items; and (d) insert a Chapter Note relating to classification of certain tariff items. Clause 128 of the Bill seeks to amend the Second Schedule to the Customs Tariff Act so as to increase the rate of export duty on chromium ore and concentrates of all sorts from the existing ₹ 3000 per tonne to 30% ad valorem as specified in the Fourth Schedule.