Non availment of input credit: self declaration ok for exempt exports; merchant exporters may rely on manufacturer certificate.
Where exported goods are unconditionally exempt from Central Excise duty, a self declaration of non availment of Modvat may be accepted; for merchant exporters of non exempt goods, if the Shipping Bill discloses the supporting manufacturer's name and address and a certificate in favour of that manufacturer states it did not avail Modvat on inputs used, the merchant exporter need not produce a separate certificate of non availment.

DEPB import facility expanded to permit registered scrips to be used at designated ports via TELEgraphic Release process.
Permits DEPB scrips registered at specified sea-ports, airports and ICDs to be used for imports at any of those listed locations via Telegraphic Release Advice, while DEPBs registered at other ports remain limited to their port of registration. The facility applies only to imports and requires the TRA to specify goods description, value, quantity, DEPB serial number, date of issue and entitlement; the receiving Customs House must forward import details to the issuing Customs House for register entry. This circular supersedes earlier circulars on the matter.

Monitoring of EPCG export obligations updated to cover multiple duty bands; bonds remain required and show cause procedure standardized.
Amendments to Board Circular No. 5/97 Cus. expand monitoring procedures for the EPCG Scheme to cover 15%, 10% and Zero duty variants, update annexures to prescribe year/block pro rata export achievement schedules and proportionate FOB reporting, and substitute Annexure IV with standardized show cause and final notice formats for recovery of duty foregone. The circular reiterates that bonds/bank guarantees remain required under existing Notifications despite EXIM Policy textual deletions, and directs Customs Houses to issue standing orders and maintain monthly and quarterly supervisory records for enforcement.

EPCG Scheme changes expand capital goods, recognise supplies to energy sectors as deemed exports and adjust export obligations.
Changes to the EPCG Scheme permit import of jigs, fixtures, dies and moulds as capital goods within a capped proportion of licence value; treat supplies to power, oil and gas sectors as deemed exports for EPCG export-obligation fulfilment; reduce eligibility thresholds and set sector-specific export-obligation multipliers and a six-year discharge schedule with phased proportions; provide automatic revalidation of zero-duty EPCG licences with adjusted export obligations based on actual utilisation, while bonds or bank guarantees remain payable only after revised obligations are met.

FOB value determination: include domestic transport to the land customs station, exclude international transport beyond it for drawback and DEPB.
FOB value for exports through land customs stations must include the cost of domestic transportation from the point of loading anywhere in India up to the Land Customs Station from which export is effected, while excluding the cost of international transportation beyond the Indian Land Customs Station; this rule applies for calculation of drawback and DEPB entitlements.

Bonded warehouse scheme: permits private/public bonded storage for diamond and gemstone import, re export and regulated DTA sale.
Private/public bonded warehouses in DTA/EPZ may hold imported diamonds and gemstones for import, re export and permitted DTA sale under REP/GEM REP/Diamond Imprest Licences subject to customs duty. Rough diamonds are treated as dutiable for regulatory control. REP/GEM REP/Diamond Imprest Licence holders and EOUs/EPZ units may clear goods on filing ex bond Bills of Entry; Diamond Imprest Licence holders must execute bonds equal to duty leviable and may maintain running bond accounts. Warehouse licence holders are responsible for custody, delivery, record keeping and maintaining Bond/Stock registers per prescribed Annexures.

Anti-dumping duty extended to Acrylic Tow and Acrylic Top, enabling review of prior clearances and ensuring duty collection.
Acrylic Tow and Acrylic Top are declared subject to anti-dumping duty as extensions of the existing levy on acrylic fibre; the Board, with the Ministry of Commerce, clarified these product forms fall within the scope of that levy. Past clearances may be reviewed and departmental measures should ensure anti-dumping duty is collected where applicable.

Depreciation rules for computers allow increased cumulative allowance and prescribe accelerated quarterly rates for debonded capital goods.
Depreciation for debonded capital goods distinguishes computers and other capital goods with prescribed quarterly rates and cumulative limits-computers subject to a 90% overall cap and other capital goods to a 75% cap. The depreciation period runs from commissioning in the EOU/EPZ/EHTP/STP until clearance to DTA. Depreciation is computed by the straight line method; second hand imported goods use the assessed import value as the base. If sale proceeds on partial debonding exceed the depreciated value, the transaction value may be taken as the assessable value for duty.

Duty exemption for hanger size tabs permitted, enabling duty-free import when used with hangers for export.
Size-identification tabs affixed to garment hangers qualify as hanger labels and are covered by the hanger-accessories exemption; such size tabs imported for use with hangers destined for export may be allowed duty-free under the same notification permitting bona fide importers to import hangers without duty. Implementation difficulties should be reported to the Board.

Non availment of Modvat certificates: documentary and self declaration rules govern acceptance for duty drawback claims processing.
Guidelines require documentary proof of non availment of Modvat for duty drawback claims: certified AR 4 or factory Superintendent certificates for bonded or rebate exports; biannual Assistant Commissioner certificates for dutiable exports without AR 4; self declarations for unconditionally exempt goods or manufacturers outside excise control with possible annual certification; Trade Notices listing exempt goods to relieve certificate requirements; association certificates for unregistered cottage manufacturers; and limitations for merchant exporters sourcing from the open market.

Import procedure for nominated agencies: bonded vault storage with bond security, exporter registration, monthly reporting and duty safeguards.
Nominated Agencies may import gold, silver and platinum into licensed bonded vaults on furnishing a bond to account for warehoused metal and to meet duty liability if export obligations are unmet. Agencies may use general or revolving bonds, are exempt from separate bank guarantees and double lock requirements, must segregate duty free and duty paid stocks, permit co storage with segregation, and remain subject to random audits. Exporters must register and produce a certificate or declaration; agencies submit consolidated monthly exporter wise statements and must deposit duty for unexported quantities promptly and report failures to the Customs Commissioner.

Misdeclaration of imports: enforcement urged to stop clearing distinct flint buttons as ophthalmic blanks for tariff benefit.
The circular directs customs authorities to treat imports of flint buttons cleared as ophthalmic blanks under a tariff concession as misdeclaration, to alert assessing officers to prevent misuse, to review past clearances of such goods, and to report any instances of misdeclaration to the Board to safeguard revenue.

Sample clearance from export-oriented units permitted for display and courier export under sealed-procedure and duty compliance.
Clearance of samples by export oriented units into the Domestic Tariff Area for display or sale is permitted subject to undertakings to customs, payment of applicable duties where sale occurs, and debiting such clearances against DTA entitlements; for courier export, samples may be sealed before customs and handed to an authorised courier agent with proof of export required.

Anti-dumping duty on purified terephthalic acid clarified: exemption only when manufactured in Korea and exported by Kohap.
The notification requires both country of origin and named exporter to determine the applicable anti-dumping duty rate: only PTA manufactured in Korea and exported by M/s. Kohap Chemical Corporation is exempt. PTA exported by any other party, even if manufactured by M/s. Kohap Chemical Corporation in Korea, is liable to the higher notified anti-dumping duty. Past clearances contrary to this interpretation may be reviewed and demand notices issued.

Customs classification: populating a PCB does not automatically qualify imports for component rate of duty; factual assessment required.
The Circular removes an illustrative sentence that suggested populating a PCB automatically amounted to "working on" imported components and thus entitled importers to the component rate of duty. It states that the example was not intended to create an automatic rule; rather, whether components must be further worked upon is a question of fact for the assessing officer to decide based on the totality of imports, and accordingly the last sentence of paragraph 6 of the earlier Circular is deleted.

DEPB TRA facility expanded to permit imports at designated alternative ports, streamlining import clearance under DEPB scrips.
Extension of TRA facility allows DEPB scrip holders registered at specified seaports, airports and ICDs to import at any of the listed locations; other holders must import at their registration port. The TRA must be issued from the port of registration to the importing customs house and include description, value, quantity, DEPB serial number, date of issue and duty entitlement, with the receiving customs house reporting import details back to the issuing office for register entry.

Deeming of rescinded EOU notifications: earlier imports eligible for destruction under current notification; outside-zone destruction permitted with conditions.
Actions and imports under seven earlier EOU notifications are deemed to have been taken under Notification No.133/94-Cus, allowing imported goods to be destroyed under para 7(ii) and scrap/waste under para 7(iii); where in-zone destruction is precluded for safety or municipal reasons, the Commissioner may permit destruction outside the Zone subject to prescribed conditions.

Temporary removal of duty-free laptops and projection systems permitted for software development under specified authorization and record conditions.
Duty-free Laptop computers and Video Projection Systems imported by STP/EHTP/EPZ units may be taken outside the bonded area temporarily for software development or display, provided the unit issues a monthly certificate naming the authorised employee and describing the equipment, maintains records of authorisations and movements for inspection by the Assistant Commissioner, ensures equipment is returned and accounted for, and may obtain a general permission for up to six months for specified employees and equipment.

Relaxation of customs formalities: vessels carrying exclusively coastal goods exempted from IGM/EGM filing and Advice Book delivery.
Vessels carrying exclusively coastal goods are not required to file IGM/EGM due to rescission of the earlier notification; they are also exempted from delivering the Advice Book at each port of call, while the master must carry the Advice Book on board and customs officers may call for or inspect it when necessary.

Fast Track Clearance eligibility expanded to include electronic imports by large manufacturers; PD account balance removed; manufacturers' storage hold relaxed.
Amendments expand Fast Track Clearance so electronic items are eligible when imported by manufacturers meeting the Scheme's investment threshold, defined as total capital employed in plant and machinery from equity or debt. The minimum PD account balance requirement is deleted. The three day post clearance storage obligation is waived for manufacturers who can use goods immediately, but traders importing for resale must not dispose of goods for three days including transit.