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Circulars
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Customs Valuation ( Determination of Value of Imported Goods) Rules, 2007- Instructions
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Customs valuation rules clarified; stakeholders urged to follow Board Circular guidance and disseminate it promptly.
New Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 took effect on 10 October 2007 and Public Notice directed stakeholders to those Rules; Board Circular No. 38/2007-Customs dated 09.10.2007 provides clarifications on major changes and stakeholders are requested to publicise the Circular among their members for information and necessary action.
Drawback Schedule, 2007-08- Increase in drawback rates with retrospective effect from 1.4.2007- Exemption from filing supplementary claims
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Drawback rate increase permits automatic crediting of differential drawback for eligible EDI shipping bills without supplementary claims.
Retrospective increase in All Industry Drawback rates from 1 April 2007 is accompanied by a one time relaxation exempting exporters with EDI Shipping Bills (with Let Export Orders during the specified period) from filing supplementary claims; the DG Systems will deploy EDI software to automatically process and credit the differential drawback. Exporters using Manual Shipping Bills must file supplementary claims as required under the Drawback Rules.
Customs valuation (Determination of Value of Export Goods) Rules, 2007- Instructions
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Export valuation rules require acceptance of transaction value unless rejected after inquiry, with provisional release on undertaking.
Transaction value is the primary basis for export valuation under Rule 3 and is accepted even between related parties unless the relationship influenced price; where transaction value is not accepted valuation proceeds through Rules 4-6. Rule 8 permits rejection of declared value upon reasoned doubt, triggers an inquiry, and allows provisional export with representative sample retention and a simple undertaking (Annexure-B), while Annexure-A prescribes the exporter's value declaration to be filed with the shipping bill.
Corrigendum to Accounting Code for Primary Education Cess
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Primary Education Cess accounting code corrected for deduct refund and drawback entry in union excise duties table.
Corrigendum amends the Sl. Code under the sub head "deduct refund and drawback" in the Union excise duties table, directing that the code be read as 00380113 instead of 00380118 for accounting of Primary Education Cess, thereby correcting the Treasury/Accounting classification for receipts and refunds.
Corrigendum to Accounting Code for Primary Education Cess
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Accounting code correction: amendment to Primary Education Cess entry affecting excise deduct refund and drawback accounting.
Corrigendum instructs that the Sl. Code under the sub head "deduct refund and drawback" within union excise duties (table at page 2) should be read as 00380113 instead of 00380118, amending the accounting entry for Primary Education Cess as per Corrigendum Coord/13 6/98 99/Vol.IV/454 dated 09 10 2007.
Corrigendum Coord/13-6/98-99/Vol.IV/454
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Accounting code correction updates serial code for deduct refund and drawback under union excise duties.
Correction of accounting classification for Primary Education Cess: the serial code under the sub head deduct refund and drawback within the Union excise duties table is amended to read 00380113 in place of 00380118, and accounting authorities are directed to adopt the corrected Sl. Code for recording deductions, refunds and drawback entries related to Primary Education Cess.
Amendments/Corrections in the Schedule of DEPB Rates
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DEPB rate amendments: immediate adjustments to export entitlement rates across engineering, chemicals, plastics and textiles sectors.
Amendments adjust DEPB rates and associated per unit value caps across specified product groups (Engineering Products, Chemicals, Plastics, Food Products, Textiles and Miscellaneous Products) by product code and DEPB serial number, modifying export entitlement percentages and, where applicable, value caps for the enumerated items under the existing DEPB framework with immediate effect.
Amendments/corrections in SION
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Amendments to Standard Input Output Norms update import-item specifications and product-specific material allowances under trade procedure.
Amendments to the Standard Input Output Norms under the Foreign Trade Policy and Handbook of Procedures Vol.2 authorise corrections and additions to SION entries. The annexure replaces specified SION entry text: A1206 revises the import item and allowance for Zinc Oxide to "Zinc Dross/Score/Scrap ------ 0.900 Kg"; A2361 revises the import item description at S.No.3(i) to list specified synthetic rubbers and prescribes usage-specific allowances for NBR and for CSM/Cissamer, with no change in overall import and export quantities.
Scheme for Summary Disposal of Pending Appeal Cases
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Summary disposal scheme extended allowing eligible dealers to apply for expedited appeal remand under prescribed procedure.
A limited period scheme extends summary disposal of VAT appeals until 31.12.2007 for dealers appealing ex parte assessment orders or for non submission of statutory forms, subject to compliance with stay conditions. Eligible dealers must submit the prescribed application ('SDPA X' or 'SDPA F') with enclosures to the Appellate Authority, which will issue an acknowledgement and an Appellate/Remand Order within seven working days; copies can be collected after seven days. Forms are available at the department reception or online.
Drawback Schedule, 2007-08 - increase in drawback rates with retrospective effect from 1.4.2007 - exemption from filing supplementary claims - regarding
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Drawback rate increase permits automatic EDI crediting of differential drawback without filing supplementary claims.
The Ministry authorised one time relaxation under Rule 17 to permit automatic payment of differential drawback for exports cleared through EDI (LEOs issued between 1.4.2007 and 17.7.2007) without filing supplementary claims under Rule 15. DG Systems will provide software to process and credit these amounts at EDI locations. Manual shipping bills must follow the normal supplementary claim procedure. Customs must ensure accurate credits, perform sample validations, prevent double payments where claims were already filed, and issue public notices and standing orders.
Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 - Instructions - reg.
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Customs valuation rules clarify inclusion of royalties and transport charges in import value and rejection procedure.
The Circular explains key changes under the Customs Valuation Rules, 2007: Transaction value is defined; provisos bar use of provisionally assessed values for determining identical or similar goods; the residual valuation method is aligned with international provisions. Explanations require inclusion of royalties or licence fees in value even when linked to post importation processes, expand transport cost to cover demurrage and lighterage/barge charges to the place of importation, and clarify that the rejection provision sets a procedure for rejecting declared value while allowing acceptance after consultation.
Customs valuation (Determination of Value of Export Goods) Rules, 2007- Instructions - reg.
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Transaction value acceptance governs export valuation; declared values may be queried but exports released pending verification.
Transaction value is the primary basis for valuation of export goods and shall be accepted even where buyer and seller are related unless the relationship influenced the price; if transaction value is rejected after a reasoned query, valuation must proceed sequentially through the alternate methods, with goods ordinarily released against an undertaking while representative samples are retained and investigations are conducted, except in cases of serious violations where detention or seizure is permitted.
Help desk for problems related to non-appearance of Shipping Bills, DEPB data etc.
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Help desk for shipping bill and DEPB data issues established; nodal officer to coordinate resolution and escalation.
Help desk established in the Western Zone to address failures in appearance of Shipping Bill records on the DGFT site and non-communication of issued DEPB data to Customs. Ms. Usha P. Pol is appointed nodal officer to receive complaints, coordinate with Headquarters EDI and technical contacts (Sangeeta Singh and A.K. Sinha) and pursue resolution; exporters should report issues preferably by e mail, copy Headquarters contacts for expeditious handling, or call the provided telephone number.
Order under Section 119 of the Income Tax Act, 1961 - Due date for filing of return has been extended in Bihar from 31-10-2007 to 31-12-2007
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Extension of filing deadline for income tax returns in Bihar due to flood disruption, administrative order provides relief.
An administrative order under Section 119 of the Income Tax Act, 1961 extends the due date for filing returns for income-tax assessees in the State of Bihar from 31 October 2007 to 31 December 2007 owing to disruption caused by floods; the extension provides temporal relief for filing obligations without altering substantive tax liabilities or other procedural provisions.
Establishment of Connectivity with both depositories NSDL and CDSL – Companies eligible for shifting from Trade for Trade Segment (TFTS) to Rolling Segment
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Dematerialisation requirement enables shifting securities from Trade-for-Trade to rolling settlement when non-promoter holdings are dematerialised.
Where a listed company has connectivity with both depositories, exchanges may shift its securities from Trade-for-Trade to rolling settlement if at least 50% of non-promoter holdings are dematerialised and certified by the RTA (or by a practising company secretary/chartered accountant if no RTA exists), and provided there are no other grounds to continue TFTS; exchanges must report such action in the Monthly/Quarterly Development Report (Section II, item no. 13).
Amendments in the Para -2 of Public Notice No. 49 dated 25.9.07
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Registration-cum-membership certificates may be issued from alternate export promotion offices for multi-product exporters in North Eastern States.
An amendment permits multi product exporters with head or registered offices in the North Eastern States to obtain the Registration Cum Membership Certificate (RCMC) from designated regional export promotion offices, while excluding products overseen by commodity specific export boards; the change is made under paragraph 2.4 of the Foreign Trade Policy, 2004-09 and is expressed to be in public interest.
Amendments/additions/deletions/corrections in the Hand Book of Procedures. Vol. 2 ,2004-2009
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Amendment to Standard Input Output Norms: revised import entitlement rules for specified engineering exports under foreign trade policy.
Amendment to the Handbook of Procedures substitutes and corrects multiple SION entries to set revised quantitative import entitlements per export unit for specified engineering products. Each substituted norm lists the export product unit, permitted import items and exact allowed quantities or content ratios, and where applicable provides alternative raw material options and weight or percentage based input calculations to be applied in assessing import entitlement.
Allocation of a total quantity of 10,000 MTs of White Sugar out of 2006-07 season's production for export to EU for the year 2007 --08 (July, 2007 to June, 2008)
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Export allocation of white sugar to EU requires designated agency with EUR and GSP certifications endorsed by customs and EIA/DGFT.
Allocation of 10,000 MT of white sugar for export to the EU is authorised under HS Code 17010000 with M/s Indian Sugar Exim Corporation Ltd designated as the export agency; EUR and GSP entries must reference Regulation (EC) No. 950/2006 (ACP/India Sugar, Serial No. 09.4337), the EUR form is to be endorsed by Customs at shipment and the GSP certificate by the Export Inspection Agency or the Directorate General of Foreign Trade.
Allocation of a total quantity of 10309 MTs of Raw Sugar out of Free Sale Portion of 2007-08 season's production for export to EU for the year 2007 --08 (October 2007 to September 2008)
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Raw sugar export allocation to EU establishes designated agency and certification requirements for shipment and GSP endorsement.
Allocation of 10,309 metric tonnes of raw sugar from the 2007-08 free sale portion is authorised for export to the EU under HS classification 17010000, with a designated export agency appointed for exports under the preferential quota. Required documentary controls specify EUR entries endorsed by Customs at shipment and GSP certification issued/endorsed by the Export Inspection Agency or the Directorate General of Foreign Trade under the Complementary Sugar regulation.
Exchange Earner's Foreign Currency (EEFC) Account- Liberalisation
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EEFC account liberalisation allows exporters to earn interest on balances up to a specified capped limit, temporarily easing foreign currency management.
Exporters are permitted to earn interest on Exchange Earner's Foreign Currency (EEFC) accounts up to a specified capped outstanding balance for a temporary period. Account holders may convert balances into term deposits of up to one year maturing on or before the expiry date; interest rates are to be fixed by banks. Amendments to the governing FEMA regulations will be issued, and Authorised Dealer Category I banks must inform their constituents. The directions are issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act and do not affect other statutory permissions.

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Processing of refund applications filed by Canteen Stores Department (CSD).

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Refund entitlement for CSD: invoice-based GST refund procedure and inter-authority payment coordination instituted.
CSD refunds are invoice-based entitlements of fifty per cent of tax on inward supplies made subsequently to unit run canteens or authorized customers and ... Summary

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Acts Income Tax