Bond with Customs – one is enough
If the same person is required to file two different bonds to a single Customs authority under different provisions of customs procedures, then one single bond can incorporate all such requirements and the existing Bond module of the EDI should be utilized for all requirements of bond. _This was the recommendation of an Inter ministerial Group headed by the Revenue Secretary. The good Board agrees and suggests, efforts should be made to reduce multiplicity of bonds. Further EDI system of Customs has a ‘bond module’ which will be fully utilized once ‘message exchange facility’ is operationalised between two ports. The implementation of bond module for re-crediting is in conformity with the Regulation 4 of the Goods Imported (Condition of Transhipment) Regulation, 1995 which provides for discharge of the bond on production of certificate of transfer of goods at the destination. After such discharge of the bond amount covering a particular transaction; the value of mother bond will be credited to that extent. In an online environment, such re-credit to the extent of the bond amount which gets discharged as stated above, would be done automatically in the system on receipt of electronic message between Gateway port and destination port or between two customs stations. Directorate of Systems and Data Management would make efforts to implement the same in electronic environment in time bound manner.
Circular No. 47/2005-Cus., Dated: November 24, 2005