Payment of MOT charges Reg.

[vinay wakde]

We are receiving coastal cargo of raw material i.e. Iron Ore  through Barges from Visakhapatnam port. We are paying cost recovery charges to the Customs officers at our port.  As per Customs rule, the custom officers may board the vessel / verified the costal cargo as & when required.  However. the Custom officers are boarding each & every coastal vessels arrived for unloading & insist us to pay MOT charges for their supervision beyound office hours under pretext that the goods are unloaded round the clock & the unlaoding place is away from their office.

Kindly clarify, as we are paying MOT charges under protest.

Regards,

VINAY

[YAGAY andSUN]

If you are availing the service of the customs department beyond their office hours then you would have to pay the MOT as per the provisions of Customs Laws unless untill proved by the court otherwise.

Further, if it is adjudicated in your favour that MOT charges were not payable then, you would have to file an application for seeking refund as you are paying the MOT charges under protest.

[vasudevan unnikrishnan]

THERE IS OPTION AVAILABLE TO DISCONTINUE THE COST RECOVERY CHARGES AND AVAIL THE SERVICES OF CUSTOMS OFFICERS ON PAYMENT OF MOT CHARGES FOR THE REQUISITE NUMBER OF HOURS,IMMATERIAL WHETHER BEYOND OFFICE HOURS OR NOT..MANY ARE OPTING FOR THIS, AS IT WILL BE ECONOMICAL..

However, if it is round the clock activity  requiring cistoms supervision,it may not be viable..However,for bulk cargo as well,there are relaxation for the customs supervision.You may seek practice adopted by counter parts in other ports engaged in same activity.

AI Summary

Company Challenges Additional MOT Charges for After-Hours Unloading; Considers Legal Action to Contest Fees A company receiving coastal cargo of iron ore is paying cost recovery charges to customs officers, who insist on additional MOT charges for supervising unloading beyond office hours. The company questions the necessity of these charges, as the officers claim they are required due to round-the-clock unloading at a distant location. One response suggests that MOT charges are mandatory unless legally contested and advises seeking a refund if charges are deemed unnecessary. Another response mentions an option to discontinue cost recovery charges and pay MOT charges for specific hours, although this may not be feasible for continuous operations.