TaxTMI 
TaxTMI 
Standard Operating Procedures regarding monitoring of Export obligation fulfilment under EPCG and Advance authorization scheme
X X X X Extracts X X X X
X X X X Extracts X X X X
....CG and Advance authorization scheme. In this regard, attention is invited towards following Board's Circulars/Instructions/Standing Orders issued by JNCH. i. Board's Circular No: 05/2010-Customs, dated 16.03.2010. ii. Board's Instructions No: F.No-609/118/2010-DBK, dated 18.01.2011. iii. Board's Instruction No: F.No-605/71/2015-DBK, dated 14.10.2016. iv. Standing Order No: 70/2016, dated 25.11.2016 issued by JNCH. v. Public Notice No 140/2016, dated 25TH October 2016 issued by JNCH vi. Board's Instruction No: F.No-605/85/2016-DBK dated 02.05.2017. 2. Relevant Customs Notifications governing implementation of EPCG and Advance authorization scheme, provides that the exporter should disc....
X X X X Extracts X X X X
X X X X Extracts X X X X
....plicable interest as notified by Department of Revenue) proportionate to duty saved amount on total unfulfilled EO of the first block". 4. In terms of Board's Circular No 16/2017-Cus, dated 02.05.2017, it has been provided that in view of time taken by DGFT in issuance of EODC, the practise of issuance of SCN at the 1st stage itself may be replaced by issuing of simple notice to defaulters. Accordingly, it has been prescribed that the filed formation may issue simple notice to the licence/authorization holders for submission of proof of discharge of export obligation. In case where the licence/authorization holder submits proof of their application having been submitted to DGFT, the matter may be kept in abeyance till the same is decided....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ces. Section 143(3) of the Customs Act provides that if the thing is not done within the time specified in the bond, the AC or DC of Customs shall, without prejudice to any other action that may be taken under this Act or any other law for the time being in force, be entitled to proceed upon the bond in accordance with law. Accordingly, it is evident that in case of default, the amount of duty along with interest is payable immediately by the license holder. For this purpose, if such amount is not paid immediately on demand by customs, the same is to be recovered in terms of section 142 of the Customs Act 1962 which also includes that such amount can be recovered by detaining and selling any goods which are under the control of office....
X X X X Extracts X X X X
X X X X Extracts X X X X
....riod allowed under respective exemption notifications (except in cases where the license holder submits the evidence that they have already applied to DGFT office for issuance of EODC and no action is pending on their part but their application is being processed by DGFT office). 9.2. If such amount is not paid, action as required under Section 142 of the Customs Act will be taken including enforcing / encashing Bonds / BG/ Corporate guarantee submitted at the time of registration of authorisation / license, detaining and selling any goods which are under the control of officer of Customs. In order to avoid detention/demurrage charges as well as to avoid delay, the license holders should suomoto come forward and pay the dues immedi....