TaxTMI 
TaxTMI 
GENERAL PROVISIONS REGARDING EXPORTS AND IMPORTS
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....applications, applicant would furnish a soft copy of the application in MS word format. Profile of Importer/Exporter 2.6 Each importer / exporter shall be required to file importer / exporter profile once with RA in ANF 1. RA shall enter such information in database so as to dispense with need for asking information again. In case of any change in information given in ANF 1, importer / exporter shall intimate same to RA. Self-Addressed Stamped Envelope 2.7 Applicant shall furnish a self-addressed envelope of 40 x 15 cm with required postal stamp affixed for all documents required to be sent by Speed Post. IEC No: Exempted Categories 2.8 Following categories of importers or exporters are exempted from obtaining IEC number: (i) Importers covered by clause 3(1) [except sub-clauses (e) and (l)] and exporters covered by clause 3(2) [except subclauses (i) and (k)] of Foreign Trade (Exemption from application of Rules in certain cases) Order, 1993. (ii) Ministries / Departments of Central or State Government. (iii) Persons importing or exporting goods for personal use not connected with trade or manufacture or agriculture. (iv) Persons importing....
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....00000142 Ordnance factories under the Ordnance Factories Organisation ^214. 0100000151 The Directorate of Purchase and Stores, Department of Atomic Energy, Government of India ^3(v.a) Persons importing / exporting permissible goods as notified from time to time, from/to China through Gunji and Namgaya Shipkila ports, provided the CIF value of a single consignment does not exceed Indian Rs.25,000. In case of Nathula port the applicable value ceiling will be Rs.100,000. Application for Grant of IEC Number 2.9 An application for grant of IEC number shall be made by Registered / Head Office of applicant, except EOUs and SEZ units to concerned RA in ANF 2A with documents prescribed therein. Only one IEC would be issued / allowed against a single PAN number. IEC Format and Statements 2.9.1 RA concerned shall issue an IEC number in prescribed format (Appendix 18B). A copy of such IEC number shall be endorsed to concerned banker (as per details given in ANF 2A). A consolidated statement (in Appendix 18 C) of IEC numbers issued by RA shall be sent to Exchange Control Department of RBI as given in Appendix 18D. Validity of IEC No. 2.9.2 A....
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....e 2.12 Validity of import / export Authorisation from date of issue shall be as follows, unless specified otherwise: (i) Advance Authorisation / DFIA (including Advance Authorisation for annual requirement, and Replenishment Authorisation for Gem & Jewellery as per Chapter- 4 of FTP 24 months (ii) EPCG Authorisation (other than spares) 36 months (iii) EPCG Authorisation for Spares, refractories, catalyst and consumables Co- terminus withEOP of EPCG Authorisation. (iv) Others including CCP and DEPB, unless otherwise specified 24 months (v) Advance Authorisation / DFIA for deemed export (including Advance Authorisation for annual requirement) 24 months or Co- terminus with contracted duration of project execution whichever is later. (vi) ^13Export Licence / Authorisation (However, EFC may decide to issue Export Authorisation for a longer duration in case of R&D studies based on recommendation of technical authority). 12 months 2.12.1 Where an Authorisation expires during the month, such Authorisation shall be deemed to be valid until last day of concerned month. This proviso would be applicable eve....
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.... b. A copy of FIR reporting loss. c. Original affidavit on notorised stamp paper. d. Indemnity bond on a stamp paper undertaking to indemnify revenue loss, which may be caused on account of issue of such duplicate. 2.15.1 When an Authorisation has been lost by a Government agency and a proof to this effect is submitted, documents at serial nos. (a) to (d) above shall not be required. In such cases, revalidation shall be for six months from date of endorsement. 2.15.2 RA concerned shall obtain a report regarding utilization of such Authorisation from Custom authority at port of registration before issuing duplicate, for balance unutilized. 2.15.3 Validity of duplicate Authorisation shall be co-terminus with original period. No request shall be entertained if validity has expired. 2.15.4 Deleted 2.15.5 Provision of paragraph 2.15.2 and 2.15.3 shall be applicable both for cases covered under paragraph 2.14 and 2.15. Identity Cards 2.16 To facilitate collection of Authorisation and other documents from DGFT Head Quarters and RA, identity cards (as in Appendix 20B, valid for 3 years) may be issued to proprietor / p....
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....Before clearance of goods through Customs, Authorisation holder shall execute a BG / LUT with Customs Authorities. In such cases, RA shall endorse the following condition on the licence / Authorisation: "BG / LUT as applicable to be executed with concerned Customs Authorities". In case of indigenous sourcing, Authorisation holder shall furnish BG / LUT to RA as per Customs Circular No. 58/2004 dated 31.10.04. Corporate Guarantee 2.20.1 ^5A Status holder or a PSU may also submit Corporate Guarantee in lieu of Bank Guarantee/LUT in terms of the provisions of relevant Customs Circular in this regard. In case of a group company, if one company of a Group is a status holder, Corporate Guarantee may be given for another company by this company, which is not a status holder. Certificate of Origin (CoO) 2.21 Certificate of Origin (CoO) is an instrument to establish evidence on origin of goods imported into any country. There are two categories of CoO viz. (1) Preferential and (2) Non preferential. Preferential 2.21.1 Preferential arrangement / schemes under which India is receiving tariff preferences for its exports are Generalised System of Preferenc....
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....ve been completed and more than 3000 tariff lines are under tariff concessions among SAARC countries. List of agencies, authorised to issue CoO under SAPTA are notified under Appendix 4B. Asia- Pacific Trade Agreement (APTA) (d) APTA is a preferential trading arrangement designed to liberalise and expand trade in goods progressively in Economic and Social Commission for Asia and Pacific (ESCAP) region through liberalization of tariff and non-tariff barriers. At present, Bangladesh, Sri Lanka, South Korea, India and China are exchanging tariff concessions under APTA. Agencies authorised to issue CoO under APTA are listed in Appendix 4B. India-Sri Lanka Free Trade Agreement (ISLFTA) (e) Free Trade Agreement (FTA) between India and Sri Lanka was signed on 20.12.1998 and was operationalised in March, 2000 following notification of required Customs tariff concessions by Government of Sri Lanka and India. EIC is sole agency to issue CoO under ISLFTA. India Afghanistan Preferential Trade Agreement (f) A Preferential Trade Agreement between Transitional Islamic State of Afghanistan and Republic of India was signed on 6.3.2003 and was operationalised with issuance of Custo....
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.... 2.22 Status holders shall be issued Authorisation automatically within stipulated time period. Deficiency, if any, informed through covering letter, shall be required to be rectified by status holders within 10 days from date of communication of deficiency. Submission of Certified Copies of Documents 2.23 Wherever original documents have been submitted to a different RA / nominated agencies or to a different division of same RA, applicant can furnish photocopy of documents duly certified by him in lieu of original. Advance Payment 2.24 In case, payment is received in advance and export / deemed exports takes place subsequently, application for an Authorisation shall be filed within specific period following the month during which exports / deemed exports are made, unless otherwise specified Payment through ECGC cover 2.25.1 Payment through ECGC cover would count for benefits under FTP. Payment through General Insurance 2.25.2 Amount of General Insurance Cover for transit loss would be treated as payment realized for exports under various export promotion schemes. Irrevocable Letter of Credit 2.25.3 In case where applicant applies for....
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....gible categories of deemed exports shall be eligible for benefits of deemed exports as in paragraph 8.3 of FTP, even in cases where supplies are under lease financing. Exhibits Required for National and International Exhibitions or Fairs and Demonstration 2.29 Import / export of exhibits, including construction and decorative materials required for the temporary stands of foreign / Indian exhibitors at exhibitions, fair or similar show or display for a period of six months on re-export / re-import basis, shall be allowed without an Authorisation on submission of a certificate from an officer of a rank not below that of an Under Secretary/ Deputy DGFT in DoC / DGFT or an officer of Indian Trade Promotion Organization (ITPO) duly authorised by its Chairman in this behalf, to effect that such exhibition, fair or similar show or display (i) has been approved or sponsored by DoC or ITPO; and (ii) is being held in public interest. Extension beyond six months for re-export / re-import will be considered by Customs authorities on merits. Consumables such as paints, printed material, pamphlets, literature etc. pertaining to exhibits need not be re-exported / re-imported. ....
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....s, cartridges, radioactive contaminated or any other explosive material in any form either used or otherwise. ii) The imported item (s) is actually a metallic waste/scrap/ seconds/ defective as per the internationally accepted parameters for such a classification. II) Copy of the contract between the importer and the exporter stipulating that the consignment does not contain any type of arms, ammunition, mines, shells, cartridges, radioactive contaminated, or any other explosive material in any form either used or otherwise. b. Import of scrap would take place only through following designated ports and no exceptions would be allowed even in case of EOUs, SEZs: - 1.Chennai, 2.Cochin, 3.Ennore, 4.JNPT, 5.Kandla, 6.Mormugao, 7.Mumbai, 8.New Mangalore, 9.Paradip, 10.Tuticorin, 11.Vishakhapatnam, 12.ICD Loni, Ghaziabad, 13.Pipava, 14.Mundra, 15.Kolkata, 16.ICD Ludhiana, 17.ICD Dadri (Greater Noida), 18.ICD Nagpur, 19.ICD Jodhpur, 20.ICD Jaipur, 21.ICD Udaipur, 22.CFS Mulund, 23.ICD Kanpur, 24.ICD Ahmedabad, 25.ICD Pitampur and 26.ICD Malanpur. ^72.32.2.A In case any agency wishes to be enlisted under Appendix 5, they may furnish an application to the office of Dire....
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....ed Arms Dealers 2.34 Import of following types of ammunition are allowed against an Authorisation by licensed arms dealers subject to conditions as may be specified: (i) Shotgun Cartridges 28 bore; (ii) Revolver Cartridges of .450, .455 and .45 bores; (iii) Pistol Cartridges of .25, .30 Mauser, .450 and .45 bores; (iv) Rifle Cartridges of 6.5 mm, .22 savage, .22 Hornet, 300 Sherwood, 32/40, .256, .275, .280, 7m/m Mauser, 7 m/m Man Schoener, 9m/m Mauser, 9 m/m Man Schoener, 8x57, 8x57S, 9.3 m/m, 9.5 m/m, .375 Magnum, .405, .30.06, .270, .30/30 Winch, .318, .33 Winch,.275 Mag., .350 Mag., 400/350, .369 Purdey, .450/400, .470, .32 Win, .458 Win, .380 Rook, .220 Swift and .44 Win. bores. An import Authorisation shall be issued at 5% of value of annual average sales turnover of ammunition (whether indigenous or imported) during preceding three licensing years subject to a minimum of Rs. 2000. An application for grant of an Authorisation for items listed above may be made to RA in ANF 2B along with documents prescribed therein. Restricted Items Required By Hotels, Restaurants, Travel Agents, Tour Operators And Other Specified Categories 2.35 Items mention....
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....oof of submission of application to concerned RA. EXIM Facilitation Committee 2.37 Restricted item Authorisation may be granted by DGFT or any other RA authorised by him in this behalf. DGFT / RA may take assistance and advice of a Facilitation Committee. The Assistance of technical authorities may also be taken by seeking their comments in writing. Facilitation Committee will consist of representatives of Technical Authorities and Departments / Ministries concerned. Gifts of Consumer or Other Goods 2.38 In terms of provisions contained in paragraph 2.19 of FTP, an application for grant of CCP for import as gifts of items appearing as restricted for imports in ITC (HS) shall be made to the DGFT as in ANF 2B along with documents prescribed therein. Where recipient of a gift is a charitable, religious or an educational institution registered under any law in force, and gift sought to be imported has been exempted from payment of customs duty by such import shall be allowed by customs authorities without a CCP. Import under Govt. to Govt. Agreements 2.39 Import of goods under Government to Government agreements may be allowed without an Authorisa....
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....e or otherwise by importer freely. Transfer of imported goods, which are subject to Actual User condition and have become surplus to needs of Actual User, shall be made only with prior permission of RA concerned. Following information alongwith supporting documents shall be furnished with request for grant of permission for transfer, to RA concerned: (i) Reasons for transfer of imported material; (ii) Name, address, IEC number and industrial Authorisation registration, if any, of transferee; (iii) Description, quantity and value of goods imported and those sought to be transferred; (iv) Copies of import Authorisation and bills of entry relating to imports made; (v) Terms and conditions of transfer as agreed upon between buyer and seller. 2.43.1 Prior permission of RA shall not, however, be necessary for transfer or disposal of goods, which were imported with Actual User condition, provided such goods are freely importable without Actual User condition on date of transfer. 2.43.2 Prior permission of RA shall also not be required for transfer or disposal of imported goods after a period of two years from the date of import. However, transfer of imported fir....
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....Permission 2.50 An application for grant of Export Authorisation in respect of items mentioned in Schedule 2 of ITC (HS) may be made in ANF 2D (2E for SCOMET items) to DGFT along with documents prescribed therein. EFC shall consider applications on merits for issue of export Authorisation. An Inter-Ministerial Working Group in DGFT shall consider applications for export of Special Chemicals, Organisms, Materials, Equipment and Technologies (SCOMET) as specified in Appendix 3 to Schedule 2 of ITC (HS) based on guidelines given below. Applications for licences to export items or technology on SCOMET List are considered case-by-case, based inter alia on the following general criteria: - I. Following factors, among others, are taken into account in the evaluation of applications for export of items on SCOMET List : a. Credentials of end-user, credibility of declarations of end-use of the item or technology, integrity of chain of transmission of item from supplier to enduser, and on potential of item or technology, including timing of its export, to contribute to enduses that are not in conformity with India's national security or foreign policy goals and objectives, o....
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.... under Category 0, 1 and 2) solely for purposes of display or exhibition shall not require any end-use or end-user certifications. No export licence for display or exhibition shall be issued for 'Technology' in any category or for items under Categories 0, 1, and 2. VII. Export of items not on SCOMET List may also be regulated under provisions of the Weapons of Mass Destruction and their Delivery Systems (Prohibition of Unlawful Activities) Act, 2005. Note 1:Export or attempt to export in violation of any of conditions of licence shall invite civil and/or criminal prosecution. Note 2: Licences for export of items in this List for display or exhibition abroad are subject to a condition of re import within a period not exceeding six months. Exporters are entitled to apply for an export licence for such items exhibited abroad if exhibitor intends to offer that item for sale during exhibition abroad. Such sale shall not take place without a valid licence. Note 3: Export of items in Category 2 of this list may also be controlled by other applicable guidelines issued from time-to-time. Exporters of items in this category are advised to seek guidance from DGFT. Note 4....
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....not involve Customs authorities has to be compulsorily reported on quarterly basis to concerned EPC (Para 3.6 of FTP) as given in Appendix 19C. These provisions shall be applicable to all exporting units located anywhere in country including those located in STP, SEZ, EHTP and under 100% EOU scheme. Duty Free Import of R&D Equipment for Pharmaceuticals and Bio-technology Sector 2.55 Duty free import of goods (as specified in list 28 of Customs notification No.21/2002 dated 1.3.2002, as amended from time to time) upto 25% of FOB value of exports during preceding licensing year, shall be allowed. The eligible unit may furnish an application given in Appendix 15A to RA concerned duly countersigned by Chartered Accountant. 2.55.1 Duty free imports of goods as specified in list 28A of Customs notification No. 21/2002 dated 1.3.2002, upto 1% of FOB value of exports made during preceding licensing year, shall be allowed to agro chemicals sector unit having export turnover of Rs. 20 crore or above during preceding licensing year. The eligible unit shall apply in form given in Appendix 15B to RA concerned duly countersigned by Chartered Accountant. Con....
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....ereof (1512.11) and (4) Refined rape, colza or mustard oil, other (1514.19 or 1514.99) is allowed in a financial year, up to quantities as well as such concessional rates of customs duty as indicated below: S.No. ITC Code No. & Item Quantity of Quota Concessional duty 1. Tariff Code No. 0402.10 or 0402.21 Skimmed and whole Milk Powder. Milk Food for babies etc. 10,000 MTs 15% 2. Tariff Code No. 1005.90Maize (Corn): other 5,00,000 MTs 15% 3. Tariff Code No. 1512.11 Crude Sunflower seed or safflower oil or fractions thereof 150,000 MTs 50% 4. Tariff Code No. 1514.19 & 1514.99 Rape, Colza or Mustard Oil, Other (Refined) 150,000 MTs 45% Eligible entities for allocation of quota: 2.61.1 (a) Milk Powder (Tariff Code No. 0402.10 or 0402.21): National Dairy Development Board (NDDB), State Trading Corporation (STC), National Cooperative Dairy Federation (NCDF), National Agricultural Cooperative Marketing Federation of India Ltd. (NAFED), Minerals and Metals Trading Corporation (MMTC), Projects & Equipment Corporation of India Limited (PEC) and Spices Trading Corporation Limited (STCL) (b) Maize (corn)(Tari....
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....on of following documents: - a) A duplicate /certified copy of concerned document issued by Customs Authority / Bank in lieu of original; b) An application fee equivalent to 2% of relevant entitlement. However, no fee shall be charged when such document is lost by Government agencies and a documentary proof to this effect is submitted; c) An affidavit by exporter about loss of document and an undertaking to surrender it immediately to concerned RA, if found subsequently. d) An indemnity bond by exporter to effect that he would indemnify Government for financial loss if any on account of duty credit issued against lost Shipping Bills / BRC. Customs Authority, before allowing clearance, shall ensure that benefit / duty credit against such shipping bill has not been availed. 2.62.1 Claim against lost Shipping Bill / BRC shall be preferred within a period of six months from date of release of duplicate copy of Shipping Bill / on date of realization of export proceeds. Any application received thereafter shall be rejected. 2.63 Deleted Export Promotion Council (EPC), includes Commodity Boards (CB) 2.64 A list and product ....
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.... forthwith Registration cum-Membership Certificate (RCMC) of EPC concerned, in format given in Appendix 19B. In case an exporter desires to get registration as a manufacturer exporter, he shall furnish evidence to that effect. Prospective / potential exporters may also, on application, register and become an associate member of an EPC . Validity Period of RCMC 2.68.1 RCMC shall be deemed to be valid from 1^stApril of licensing year in which it was issued and shall be valid for five years ending 31^stMarch of licensing year, unless otherwise specified. Intimation Regarding Change In Constitution 2.69 In case of change in ownership, constitution, name or address of an exporter, it shall be obligatory on part of RCMC holder to intimate such change to registering authority within a period of one month from date of such change. Registering authority, however, may condone delays on merits. Furnishing of Returns 2.70 Exporter shall furnish quarterly returns / details of his exports of different commodities to concerned registering authority. However, status holders shall also send quarterly returns to FIEO in format specified by FIEO. De-Registration....
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....2 Application fee payment vide EFT 25% 3 Both digitally signed as well as use of EFT for payment of application fee 50% Benefits 2.74.5 Facility will reduce unnecessary physical interface with DGFT. It will enable faster processing, speedier communication of deficiencies, if any, and on-line availability of application processing status. 2.74.6 Authorisation issued using DGFT Electronic Application System shall be transmitted electronically to Customs through EDI Mode. This shall also obviate need for verification of Authorisations before allowing clearance. New EDI Initiatives 2.74.7 To further improve quality of services some new EDI Initiatives are being taken by DGFT. In order to simplify 'Aayaat Niryaat Form' (ANF), Scheme specific ANF has been introduced this year. This is downloadable from DGFT website. ------------------------------------------------------ Notes : 1. Has been amended vide Public Notice. No. 03 (RE-2007)/2004-09 dated 30/4/2007, before it was read as," 12. 0100000134 Persons importing / exporting permissible goods as notified from time to time, from ....
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.... (i) Registration with Central Excise Authorities and payment of Central Excise duty (unless exempted); and (ii) Registration with State Sales Tax / VAT Authorities and payment of sales tax / VAT (unless exempted); and (iii) Minimum investment of Rs 50 lakh in plant and machinery (as in audited Balance Sheet). (c) Following shall be required to furnish a Bond supported by BG to the extent of 100% of duty saved on excise and education cess, if applicable: 1. Merchant Exporter, all types of Proprietorship and Partnership firms (Other than Status Holders / PSUs and category (A) 4 above); 2. Service providers other than those in category (A) 1 and (A) 4 above (D) Manufacturer / Merchant Exporters (under (A) & (B) above) falling under any of following two categories based on their risk profile are required to execute bond supported by BG to extent of 100% of duty saved amount on excise and education cess if applicable. This can be prescribed by Head of office not being below rank of Deputy DGFT by recording reasons in writing: 1. Have come under adverse notice of Customs / DGFT / Central Excise for serious irregularities; 2. Having adverse track ....