Norms for Execution of Bank Guarantee in respect of Advance License/Export Promotion Capital Goods (EPCG) Schemes - Board relaxes condition
PARA 3.2(c) of the Circular No. 58/2004-Cus.dated21.10.2004 inter alia stipulates that exemption from Bank Guarantee contemplated therein will not be available in case the licence holder has been penalized under the provisions of Customs Act,1962, the Central Excise Act,1944, the Foreign Exchange Management Act (FEMA),1999 or the Foreign Trade (Development and Regulation) Act, 1992 during the previous three Financial years.
Now the Board has decided that the exemption from Bank Guarantee will be available if the jurisdictional Commissioner of Customs is satisfied, for reasons recorded in the file, that 100% BG is not justified on account of absence of risk to revenue.
CBEC Circular No. 15/2014 - Cus., Dated: December 18, 2014