Customs- Faceless Assessment Scheme under Customs


October 2023

As a result of a focused advocacy of the Forum, Ministry of Finance in consultation with Department of chemicals has released additional qualifiers for import/export of specified chemicals to enable implementation of the Circular No. 15/2023-Customs from October 1, 2023 on trail basis. Circular is accessible here.
Directorate General of Foreign Trade has extended the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme for export of goods upto 30 June 2024 (Notification accessible here). Forum continues to engage with the Directorate General for Foreign Trade (DGFT) and Ministry of Finance for addressing issues in availing benefits under the scheme.
FAQs based on industry feedback to address difficulties emerging from Circular classifying Telecom products and equipment

Finance Ministry defers implementation of Customs Circular requiring additional declarations for import/export of specified chemical products, pursuant to Forum’s advocacy efforts with CBIC.

CBIC issues Circular on Customs Verification of EPR Certificates under Battery Waste Management Rules, 2022.
CBIC prescribes procedure for payment of IGST and cess on non-fulfilment of pre-import condition and manner of claiming ITC pursuant to SC order.

The Central Board of Indirect Taxes and Customs (CBIC) has amended Project Imports Regulations,1986 to exclude solar power plants and solar power projects from specified projects entitled to concessional rate of duty for import of goods, effective October 20, 2022. The Notification No. 54/2022 – Customs dated October 19, 2022 can be accessed here.

CBIC has issued a notification to include “Industrial Valves” classifiable under HSN 8481 in List 33 of the Notification 50/2017 – Customs, dated June 30, 2017 (‘Master exemption notification’) and these goods shall now be exempt from customs duty and eligible for concessional GST. USISPF had been advocating for the inclusion of these goods in the exemption list on behalf of its members in the oil & gas sector. Since Industrial Valves are widely used for oil & gas exploration works, this is a major relief for the petroleum and gas industry. The Notification No. 50/2022-Customs, dated September 27, 2022 can be accessed here.

CBIC issued a circular on Customs (Import of Goods at Concessional Rate of Duty or for Specified End Use) Rules, 2022 (IGCRS Rules), which is set to supersede the existing Customs (Import of Goods at Concessional Rate of Duty) Rules, 2017 (IGCR Rules).
As per current norms, display assembly for use in manufacture of mobile phone attracts a concessional customs duty rate of 10% while inputs or parts used therein attract Nil duty. In view of misdeclaration of display assembly imported as parts, CBIC has clarified that concessional rate of 10% will not be applicable when display assembly comes with additional parts other than the ones specified. In such a case, duty shall be levied at the rate of 15%. The Circular No. 14/2022-Customs dated August 18, 2022 can be accessed here.

Pursuant to the earlier advisory dated June 28, 2022 pertaining to Anonymised Escalation Mechanism under Faceless Assessment for submitting grievance regarding delay in clearance of Bill of Entry, the Central Board of Indirect Taxes & Customs has issued an additional advisory to enable the option to track and file grievance using ICEGATE portal. The advisory dated August 02, 2022 can be accessed.

CBIC instructs Officers under field formations to be sensitive in applying CAROTAR rules by maintaining consistency with the provisions of relevant trade agreements or its Rules of Origin. The instruction dated August 17, 2022 can be accessed here.

As part of its Faceless Assessment Scheme under Customs, CBIC has issued an advisory for steps to be followed by ICEGATE registered users seeking to opt for Anonymised Escalation Mechanism in respect of grievances filed for delay in clearance of Bill of Entry. The advisory dated June 28, 2022 laying down these steps can be accessed.

CBIC has extended the validity of exemption from Basic Customs Duty and Agriculture Infrastructure and Development Cess on import of raw cotton. The exemption shall now be valid up to October 31, 2022, and the Notification No. 38/2022-Customs dated July 04, 2022 can be accessed here.
In continuance of its objective to implement a simplified regulatory framework for e-commerce exports of jewellery, CBIC issued a SOP for exports through International Courier Terminals to bring uniformity and certainty in the process. The SOP is applicable on e-commerce export of jewellery made of precious metals and imitation jewellery. The Circular No. 09/2022-Customs dated June 30, 2022 can be accessed here.

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