TaxTMI 
TaxTMI 
TaxTMI 
Below is a clean, one-page, staff-friendly EPCG Do’s & Don’ts sheet suitable for internal training, induction, and compliance awareness. You can copy/paste this into a PDF or poster format for your team
DO’s (What You MUST Do?)
1. Documentation & Approvals
Always verify that EPCG Authorization, Nexus Certificate, and IC are available and valid.
Ensure HS codes, model numbers, and specifications match across all documents.
Keep Bills of Entry, shipping bills, e-BRCs, and CA certificates properly filed.
2. Installation Compliance
Install imported capital goods within 6 months (or as approved).
Obtain a Chartered Engineer Installation Certificate with correct serial numbers.
Maintain photos, videos, and commissioning reports as evidence.
3. Export Obligation (EO) Monitoring
Track EO monthly and block-wise.
Ensure export invoices, shipping bills & e-BRCs are correct and consistent.
Alert the EPCG compliance officer immediately if EO shortfall is expected.
4. Communication & Updates
Coordinate between Import, Plant, Finance & DGFT teams.
Immediately inform ECO before shifting machinery or changing addresses.
Respond promptly to DGFT or Customs queries or deficiency letters.
5. Internal Controls
Maintain EPCG records for minimum 10 years.
Follow the company’s EPCG SOP and audit checklists.
Seek management approval for all EPCG-related decisions.
DON’Ts (What You MUST NOT Do?)
1. Machinery Handling
Do NOT sell, lease, relocate or transfer EPCG machinery without DGFT approval.
Do NOT install machinery at an address not mentioned in the EPCG authorization.
Do NOT allow machinery to remain uninstalled beyond the allowed timeframe.
2. Document Errors & Mismatches
Do NOT use incorrect or mismatched HS codes, model numbers or specifications.
Do NOT ignore missing export documents like e-BRCs or shipping bills.
Do NOT file EODC/redemption without reconciling export data.
3. Export Obligation Risks
Do NOT wait until the last year to start fulfilling EO.
Do NOT assume that EO extension is automatic—apply before deadline.
Do NOT count domestic sales or deemed exports toward EO unless permitted.
4. Non-Compliance Triggers
Do NOT ignore DGFT notices—penalties apply if not replied timely.
Do NOT delay filing Installation Certificate—this is a major reason for penalties.
Do NOT mis-declare EPCG number in Bills of Entry or export documents.
Key Reminder for All Staff
“Every EPCG import saves duty today — but must be justified through exports, installation & documentation tomorrow.” Failure to comply can lead to full duty + interest + penalties.