Taxation of shipping profits: annual no-objection certificates allowed after DTAA verification and international traffic undertaking.
Assessing Officers may issue an annual No Objection Certificate, valid for one year, after verifying applicability of the DTAA provisions that allocate taxation of shipping profits to the resident state and confirming the non-resident shipping enterprise is engaged in international traffic; an undertaking must be obtained from the non-resident that none of its ships will operate in traffic other than international traffic during the NOC's currency.

Deduction under Section 80-O: brokerage retained by reinsurance agents qualifies when received in convertible foreign exchange.
When brokers deduct brokerage from gross reinsurance premia collected in India and remit net premia overseas, the brokerage retained by the reinsurance agent in India constitutes a receipt in convertible foreign exchange and is eligible for deduction under the stated provision, provided convertibility and FERA-related remittance requirements are satisfied.

Interest recovery on duty default now chargeable from clearance until payment; exporters must satisfy customs with documentary evidence.
Notifications amend Duty Exemption and EPCG procedures by removing bond and licensing authority certificate requirements; interest on duty becomes recoverable from the date of clearance until payment where conditions are not met. Exporters must directly satisfy the Assistant Commissioner of Customs with specified documentary evidence: for Duty Exemption Scheme, Part F DEEC endorsement and DEEC triplicate with Shipping Bills and Bills of Lading; for EPCG, a CA certified exporter statement with export promotion Shipping Bills, Bills of Lading, and a declaration that exports used the imported capital goods. Changes must be publicised by notice and departmental orders.

Drawback entitlement: ad valorem rate governs claims, with per-piece cap limiting payable amount.
Where a Drawback Table entry prescribes an ad valorem rate subject to a maximum per-piece limit, the ad valorem percentage is the operative rate of drawback and the per-piece figure is a ceiling. Exporters may claim drawback computed at the ad valorem rate, and if that computation exceeds the per-piece ceiling, the payable amount must be limited to the per-piece maximum. The shipment minimum threshold that previously barred payment where total drawback fell below the floor does not apply where the ad valorem rate is specified.

Ad valorem drawback entitlement: exporters may claim the prescribed ad valorem rate, capped by per-piece maximum, unaffected by per shipment minimum.
Where the Drawback Table sets an ad valorem rate subject to a per-piece maximum, the ad valorem rate is the operative legal rate; drawback is calculated at that ad valorem rate but limited by the per-piece ceiling, and the per-shipment minimum threshold does not defeat eligibility where the ad valorem rate has been determined.

Countersignature requirement removed for poultry health certificates by designated agencies, simplifying export documentation and compliance procedures.
The requirement that Health Certificates for poultry and poultry products issued by the Directorate of Marketing and Inspection, the Export Inspection Agency and the Animal Husbandry Department of the State be countersigned by the Quarantine Officer has been dispensed with; customs and concerned offices are to be informed and suitable Public Notices/Trade Notices issued to implement the change.

Modvat credit acceptance of consignment agent invoices permitted subject to invoice content, registration, and verification requirements.
The Central Board specifies invoices issued by consignment agents as valid documents for Modvat credit provided: the invoices contain the particulars required by the applicable notifications; the issuers are registered under the Central Excise Rules as required by the relevant notification; and the Assistant Commissioner must verify or cross check the genuineness of the invoices and the duty paid character of the inputs before allowing credit.

Input duty rebate allowed to merchant exporters when goods are cleared from the manufacturer's factory with AR-5 naming the exporter.
Merchant exporters of cotton madeups may claim the input duty rebate where export goods are cleared directly from the manufacturer's factory and the export AR form also names the merchant exporter, subject to fulfillment of other prescribed conditions; the Board has modified its earlier circular to reflect that the controlling rule and notification do not restrict rebate entitlement solely to manufacturer-exporters.

Payment under section 172 treated as tax on voyage receipts, not advance tax, so no interest under sections 234B/234C.
Tax on voyage receipts under section 172 is payable before port clearance; a non-resident may elect assessment on total income under general provisions, and tax paid under section 172(4) is treated as payment toward that assessment but is not treated as advance tax. Therefore, such taxpayers are not liable for advance-tax interest provisions nor entitled to refund interest for income solely from carriage by shipping.

Provisional release of seized goods: powers vested in Commissioner I to grant releases pending adjudication on bond and security.
Powers to grant provisional release of seized goods, vehicles and documents pending adjudication shall be exercised by Commissioner-I, who issues the show cause notice and conducts the investigation. Releases are to be made on taking a bond in proper form with such security as the Commissioner requires, to ensure uniform practice and to avoid undue hardship to the owner/assessee.

Call Book maintenance: transfer of cases to pending status requires competent authority approval and specific qualifying grounds.
Transfer of departmental matters to the Call Book is permissible only where no dispositional action can be taken for an extended period and requires approval of the competent authority. Examples include appeals, court or tribunal injunctions or stays, contested audit objections, and cases the Board directs to be kept pending; transfers must follow the Manual of Office Procedure and prior Board directions.

Custodian obligations require secure expandable facilities, insurance, bonds and liability for lost or transshipped goods.
Custodians must provide secure, expandable premises and essential amenities, insure goods, arrange approved security, bear costs for Customs staff, and execute bonds supported by bank guarantees or equivalent to cover goods' value and duty exposure; they are liable for loss, pilferage and transshipment losses, must obtain Commissioner concurrence for structural alterations and subletting, and appointments are for a fixed initial term subject to review and termination by the Commissioner.

Customs exemption for re-imported Indian-origin goods allows duty-free processing subject to identity, bond and re-export conditions.
Notification 158/95-Customs provides a duty exemption for Indian-origin goods re-imported for repair, reconditioning, reprocessing, refining, remaking or similar processes, subject to time limits for re-importation and re-export, identity verification by Customs, and execution of bonds (with specified bank guarantee support) securing export and payment of any duty differential on non-compliance; processing must occur under Central Excise control or customs bond, waste/scrap must be destroyed or duty-paid, and loss in quantity during specified processes is exempt from customs duty.

Classification of PVC leather cloth under Heading 59.03 affirmed, not Heading 39.21, guiding Central Excise assessments.
PVC leather cloth consists of PVC coated on one side of a textile base so the textile is not merely reinforcement and the fabric can be sharply bent without cracking. The exclusions in Chapter Note 2(a) for products that cannot be bent, fabrics embedded in plastic or textiles present merely for reinforcement do not apply. HSN notes describe leather cloth as textile fabrics with a plastic surface layer. Therefore PVC leather cloth is classifiable under the textile heading for fabrics impregnated, coated or laminated with plastics and not under plastics plates/sheets headings.

Administrative control of export oriented units assigned to jurisdictional customs or central excise authorities with port exceptions.
Administrative control of export oriented units and export processing zones is to be exercised by the jurisdictional Commissioner of Customs or Commissioner of Central Excise based on territorial Commissionerates. In port towns with overlapping jurisdiction, the Commissioner of Customs will normally handle both Customs and Central Excise functions for EOUs/EPZs via delegated powers. Existing Board assignments for particular EPZs remain unchanged, and where concurrent jurisdiction exists the Central Excise Commissionerate may exercise control to allow Customs Preventive to focus on preventive work, with Chief Commissioners to readjust staff as necessary.

SAPTA duty concession requires proof of origin under customs rules to access preferential tariff treatment on imports.
Operationalisation of the SAARC Preferential Trading Arrangement establishes percentage concessions on the applied rate of basic customs duty for goods from SAARC countries, with greater concessions for Least Developed SAARC members. Concessions apply only upon receipt of proof of origin under the Customs Tariff (Determination of Origin of Goods under SAPTA) Rules, 1995. Consequential amendments exclude certain prior notifications from the determination of the standard rate, and authorities are directed to ensure smooth implementation and compliance with the procedural requirements for claiming concessions.

Exemption from additional customs duty limited to manufacturer-exporters for quantity-based advance licences, altering licence eligibility and obligation discharge.
Exemption from additional Customs duty on imports against Quantity Based Advance Licences is limited to licences issued to manufacturer-exporters on applications made on or after 1 December 1995, must be recorded on the Advance Licence and DEEC Book, and excludes merchant-exporters; exports tied to applications made prior to that date do not qualify. The actual user condition and non-transferability of licences and imported materials continue to apply, and other existing notification conditions and circular instructions remain in force.

Joint bond facility: parent company jointly guarantees subsidiary export obligations, accepting liability for customs duty and interest.
A joint bond/bank guarantee may be executed jointly by a parent company and its subsidiary license-holder where the parent holds more than fifty percent of shares and both companies have common boards of directors, verifiable from their constitutional documents; execution must follow existing circular criteria. The parent will stand as surety and be jointly and severally liable to make good customs duty and interest if the subsidiary defaults on export obligations. The same conditions apply to the Duty Exemption Scheme and the EPCG Scheme.

High seas sale declarations by canalising agencies allow Import Department to process amendment applications upon specified certifications.
High Seas sales by canalising agencies (public sector undertakings like MMTC and STC) will be processed by the Import Department without reference to other Customs sections where the agency furnishes an authorised declaration confirming no pending Custom House charges, absence of the item from the negative list, and genuineness of original overseas supplier invoices, together with disclosure of the commission in a stamped contract and a certified copy of the High Seas sales contract.

Export procedure: manufacturer exporters must use prescribed AR proforma and bond for duty-free exports to ensure compliance.
Exports of dutiable excisable goods by manufacturer-exporters are allowed without payment of excise duty only after execution of the requisite bond with the competent Central Excise Officer and must be effected under the prescribed procedure using the AR-4 proforma; earlier inconsistent instructions are withdrawn and field formations must ensure compliance to prevent duty evasion.