TIOL-DDT 75 · the untouched capture
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<html> <head> <title>Untitled Document</title> <meta http-equiv="Content-Type" content="text/html; charset=iso-8859-1"> </head> <body bgcolor="#FFFFFF"> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b><font color="#0000FF" size="3">TIOL-DDT 75</font><br> 16 03 2005<br> Wednesday</b></font></p> <p align="center"><font color="#003333" size="2" face="Verdana, Arial, Helvetica, sans-serif"> <b>Filing of incomplete or incorrect Import Manifest- invariable penalty</b></font></p> <p align="justify"><font size="2" face="Verdana, Arial, Helvetica, sans-serif"><b>AN</b> important amendment to the Customs Act made by Finance Act 2003 effective from 14 – 5- 2003 went almost un- noticed. As per the old Section 30, the person in charge was required to file an import manifest/report within twenty four hours <b>after</b> arrival in a customs station in the case of vessels and within twelve hours in the case of aircraft or vehicle. In the case of vessel or aircraft this could be filed even before the arrival. There was no penal provision for contravening this section and any violation had to be dealt with under Section 117 which provided for a maximum penalty of ten thousand rupees for contraventions not covered in the other sections. <br> <br> Section 30 was amended by Finance Act 2003 to provide for<br> <br> 1. Filing of the manifest by any other person specified by the Government by notification<br> <br> 2. Mandatory filing of manifest <b>before</b> the arrival of the vessel or aircraft and within twelve hours after arrival in the case of vehicles.<br> <br> 3. A penalty up to fifty thousand rupees for contravention. <br> <br> The Board was not really ready to implement this and it was postponed till May 2004. Board’s F.No.450/118/2004-CusIV dated 31.12.2004 required that penalty should invariably be administered in cases of failure to file the IGM in advance. The Board letter also suggested an adjudication without a written Show Cause Notice and reply. <br> <br> Obviously even this is not having the required effect and Board has realised that incomplete and incorrect manifests are being filed. The practice seems to be to file some Manifest and carry out amendments later and importers are duly penalized for amendments and subsequent amendments. Now the Board wants to curb this practice of amending the manifest even with a penalty. Board recognizes two types of amendments. The Major amendments are addition of extra entry, change in quantity and change in the date of Bill of Lading, Change in the Name of the importer, Commodity description etc,.. The other amendments like correcting spelling mistakes or changing the unit of quantity are treated as minor amendments. The Board is prepared to condone the minor amendments, but if major amendments are not carried out before the prescribed time limit, penalty is to be invariably administered expeditiously , even by waiving the Show Cause Notice and Reply – <br> <br> <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_013.htm">Board Circular No.13/05/Cus dated 11-3-2005.</a></b><br> <br> <font color="#006633"><b>Status Holders! Pay duty immediately or lose Status</b></font><br> <br> If duty is not paid within 8 working hours of the assessment of the Bill of Entry, Status Holders enjoying Green Channel Clearance, accelerated clearance and any other special facility will lose the status for a period of one month. They will of course get back the special Status after this one month. <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_014.htm">Board Circular No.14/2005/Cus</a></b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_014.htm"> dated 11-3-2005.</a><br> <br> <font color="#006633"><b>More than five documents per day – go to ICEGATE</b></font><br> <br> Obviously electronic filing of documents is not very popular with the trade in India. The Customs ICEGATE is no exception. Now the Board wants to encourage use of ICEGATE by making it mandatory for agents handling more than five documents per day on an average - <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_015.htm">Board Circular No.15/2005/Cus dated 11-3-2005.</a><br> </b><br> <font color="#006633"><b>Green Channel Containers can go direct from Ports</b></font><br> <br> The Board has decided that Green Channel Containers should be allowed clearance directly from the ports without transhipping to the Customs Area for examination. This facility is already in operation in some ports.- <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_016.htm">Board Circular No.16/2005/Cus dated 11-3-2005.</a></b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_016.htm"><br> </a><br> <font color="#006633"><b>In-house training for Customs staff</b></font><br> <br> Board has recently come to certain hard conclusions:-<br> <br> • There is a need to train the officers engaged in the work of assessment, examination etc. so that they can efficiently deal with the situations arising in the day today work relating to clearance of goods;<br> <br> • The concerned officers at implementation level need to know about the various legal provisions as amended from time to time;<br> <br> • instructions/circulars/notifications issued by the Board reach the concerned officers after a considerable period of time ( may be they should be asked to log on to <font color="#0000FF"><b>www.taxindiaonline.com</b></font>) <br> <br> • The training sessions would reduce the time gap between the changes that are notified and the changes when they are implemented.<br> <br> • It will help in faster clearance of goods and reduce grievances from the trade.<br> <br> <b>So the Board wants informal in-house training.</b><br> <br> • a mandatory one hour informal interactive training session in a week will be held at each Customs House;<br> <br> • the participants would be informed of all the legal/procedural changes brought about by any instructions/circulars/notifications;<br> <br> • Local issues such as issues arising from public notices or other technical issues would also form the part of the discussion;<br> <br> • These sessions may also discuss the points sponsored for tariff conferences, suggestions for changes in law and procedure, topics of general interest having contemporaneous value etc;<br> <br> • The Sessions would be addressed by experienced Appraisers/Supdts./ACs and other senior officers ( assuming they have access to fast changing opinions of the Board)<br> <br> It is a great idea to have such weekly training sessions, if they are taken seriously and conducted seriously. After some time they will become an empty formality and may be a must do compliance for a monthly report. But why no such training programme on the Central Excise side? Or will separate instructions be issued? And then another set of instructions can be issued for Service Tax! - <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_017.htm">Board Circular No.17/2005/Cus dated 11-3-2005.</a></b><br> <br> <b>No permission needed for Palletisation</b><br> <br> After the Let Export Order (LEO) and before the goods are loaded into the aircraft, Airlines seek permission from the customs twice, - Once for Palletisation, and then for actual loading. Now Board clarifies that there is no need for separate Permission for Palletisation. But permission for loading into the aircraft will still be required. <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_018.htm">Board Circular No.18/2005/Cus dated 11-3-2005.</a></b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=25&filename=notification/custom/2005/cuscir05_018.htm"><br> </a><br> <b>Date of filing e-com application will be the date of application. <br> </b><br> The DGFT clarifies that in case of E Commerce application, the date on which E-Commerce application is submitted and E-Commerce file number is generated would be considered as the date of filing of application. However the hard copy of the application must be submitted to the concerned RLA within 15 days of filing E-commerce application - <b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=46&filename=notification/dgft/2004/dgft04cir021.htm">POLICY CIRCULAR NO 21/2004-09, DT. 11/03/2005</a></b><a href="http://www.taxindiaonline.com/RC2/subCatDesc.php3?subCatDisp_Id=46&filename=notification/dgft/2004/dgft04cir021.htm"><br> </a><br> <b><font color="#006633">THE RULES OF THE GAME</font></b><br> <br> <b>1. THE BOSS always makes THE RULES. <br> 2. I cannot possibly know all THE RULES. <br> 3. If THE BOSS suspects that I know all THE RULES, he must immediately change some of THE RULES. <br> 4. THE BOSS is never wrong. <br> 5. If it appears THE BOSS is wrong, it is because of a flagrant misunderstanding caused by something I did or said wrong. <br> 6. If Rule 5 applies, I must apologize immediately for causing the misunderstanding. <br> 7. THE BOSS has every right to be angry or upset at any time. <br> 8. I must remain calm at all times. <br> 9. At all times, what is important is what THE BOSS meant, not what he said.</b> <br> <br> <font color="#FF0000"><b>Until Tomorrow with more of DDT<br> <br> Have a Nice Day<br> <br> Mail your comments to</b></font> <b>vijaywrite@taxindiaonline.com </b></font></p> </body> </html>