Integration of Extra Duty Deposit modules in ICES reg. - Customs - 12/2015

OFFICE OF THE PRINCIPAL COMMISSIONER OF CUSTOMS, AIRPORT AND AIR CARGO COMPLEX; PB 5400: QUEEN'S ROAD: C.R.BUILDING; BENGALURU 560 001 C.No.VIII/48/04/2014 Air. Cus. Tech. Date: 28.07.2015 PUBLIC NOTICE No. 12 /2015 Subject : Integration of Extra Duty Deposit modules in ICES reg. Attention is invited to Board's Circular No.11/2001-Cus dated 23.02.2001 . 2. As per the said Circular, in cases where the importer and the supplier are related in terms of the Rule 2(2) of Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 , pending the Investigations to be conducted, the SVB of the jurisdictional Custom House issues Circular for provisional assessment with Extra Duty Deposit (EDD) of either 1% or 5% as per Para 9 of the said Circular. 3. Currently the EDD as specified is being paid manually by the importer or Customs Broker through Bank Challans. There have been representations that the said procedure is delaying the import clearance and that there is a difficulty in subsequent storing of these Challans for a long time till finalization of the provisional assessments and for sanction of refund if any, consequent to finalisation of matter by SVB. It is also reported that the verification of these Challans consumes a lot of time at the time of finalization of the provisional assessments and sanction of refund if any. 4. In view of the above, to cut down these delays and costs, the facility of EDD payment is now made available online through e-payment. The procedure for such payment of EDD in EDI is as follows: (i) The Customs Broker or importers are required to approach the Appraising Officer of the Group to which the Bill of Entry belongs, whether facilitated by RMS or not. (ii) The Appraiser (Group) has been provided with an option in the ICES 1.5 to generate a separate challan for EDD on invoice basis and to select 1% or 5% of the assessable value as the rate based on the circular issued by SVB of the jurisdictional Custom House. (iii) After the relevant entries are made and duly saved by the Appraiser of the concerned group, the Challan for EDD will be generated in ICES 1.5 and particulars of EDD are forwarded to Bank for e-payment. (iv) If the EDD particulars are entered and saved for a particular Bill of Entry then the system will not permit issue of Out of Charge till the EDD amount is paid through e-payment. (v) The Customs Brokers or the importers are required to verify the Challan details before payment and then proceed for e-payment. (vi) In case the EDD challan generated is incorrect in any material particulars in respect of a Bill of Entry and the amount is yet to be paid, the Customs Broker or the importers may bring the same to the notice of the Appraiser concerned, who shall delete the same in ICES 1.5, through delete option provided in his role in ICES 1.5 and if required can re-enter the details and generate a new Challan. 5. This procedure for e-payment of EDD shall be implemented with effect from 01.08.2015. Consequently, manual payment of EDD shall not be accepted after 31.07.2015. 6. Difficulties, if any, faced in implementation, may be brought to the notice of this office immediately. (Sandeep Prakash) Commissioner