Circular No. ES/128/2019-20 4th September, 2019
To: Members of the Council
Sub.: Public Notice No. 74/2019
JNCH Customs has issued Public Notice No.74/2019 dated 27th August, 2019 regarding information to be furnished by Importers/Exporters for assessment purposes.
Following are the essential requirements for ensuring correct classification/assessment of goods –
(A) Quality of data furnished by the importers–
The declared description should be accurate, specific and complete not only for levying correct duty on imports but also for the purpose of uniform import data base for statistical and post clearance audit purposes.
The basic information like description, brand, grade, model, specification, unit quantity code, weight, country of origin etc. must be declared properly, while filing the bill of entry.
The quality of data furnished by the trade has remained quite poor despite the fact that this issue has been emphasized time and again by the Customs administration.
The basic information is not declared properly, even though such information is required to be filled specifically in the bill of entry.
In some cases, the data quality is inadequate which is hampering the process of assessment and audit.
Some such illustrative cases are given below: (Relevant extract from the Public Notice)
Made up articles under Custom Tariff Heading (CTH) 6304 are chargeable to IGST @ 5% if sales value is below Rs.1000/-(Schedule I 224).
However, the unit price mentioned in most of these cases is above Rs.1000 and the same is on either ‘KG or MT’ basis which is the UQC.
Whereas the IGST claimed is on the basis of price of individual article which is nowhere mentioned in the BE.
The retail sales price needs to be verified before extending the benefit of 5% or else these goods would be leviable to 12% under Sch. II 171.
Moreover, past import data has been verified and it is observed that UQC has been declared in a very non uniform manner viz. in Mtr., Nos., Sqm., Doz., Set, Grs, Prs, Roll, Kg, Unit and Sets.
In view of the above, JNCH has requested all the officers posted at Groups, docks and RMS to ensure the quality of data furnished by the trade as per the Public Notice No.-42/2010 as amended vide Public Notice Nos. - 81/2010, 124/2010, 75/2011, 03/2011 in order to enable the Audit Commissionerate to carry out audit functions efficaciously, specifically in cases where there are specific requirements / criteria (as sampled above) impacting the duty rate. Docks/RMS officers are instructed to insert comprehensive comments after examining the goods or while giving OOC.
All importers/CHA are directed to ensure that accurate, specific and complete description is being given for the correct classification, valuation and assessment of goods. This Public Notice should be considered as Standing Order.
In case of any difficulty, members may kindly contact Shri Sunil Mall, Commissioner of Customs, Appraising Main (IMP), JNCH.