TaxTMI 
TaxTMI 
Customs Post Clearance Audit
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....h is envisaged in view of the experience gained over the past years in implementation of Customs Post Clearance Audit, as well as the exposure to international best practices. Further, under the WTO's Trade Facilitation Agreement, it has been inter-alia provided that with a view to expediting the release of goods, each member shall adopt or maintain post clearance audit to ensure compliance with customs and other related laws and regulations; each member shall select a person or a consignment for post-clearance audit in a risk-based manner; each member shall conduct post clearance audits in a transparent manner. Customs Post Clearance Audit (PCA) is an initiative based on global best practices which promotes a culture of voluntary complianc....
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....nsaction level details but more importantly the trader's commercial systems were also to be evaluated for compliance. Therefore, it was felt that a more comprehensive legal framework was required. The legal framework would define the scope of entities that would be subjected to customs audit, the manner, rights and obligations of the auditee and other related issues. In the light of the revised focus, a new section 99A (under Chapter XIIA) was introduced in the Customs Act through the Finance Act 2018, to provide a statutory framework for audit. An exhaustive definition of 'Auditee' to include custodians or licensees of a warehouse, customs brokers and any other person concerned directly or indirectly in clearing, forwarding, stocking etc. ....
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....2018-Customs (N.T.) dated 27th December, 2018. Audit Commissionerates are headed by an officer of the rank of Principal Commissioner/ Commissioner of Customs. Board vide notification No. 39/2018-Customs (N.T.) dated 11th May, 2018 has appointed officers in Customs Audit commissionerates of specified ranks as officers of Customs for the purpose of carrying out audit under section 99A of the Customs Act. 5. Under the new scheme, Transaction based audit (TBA) and Premises based audit (PBA) have been prescribed. Transaction based audit (TBA) was actually introduced in 2005 (when the risk management system was operationalized). Transaction Based Audit is a form of the erstwhile PCA. It may also be noted that a TBA may subsequently be converted ....