Centralized
Consolidated Certificate for 4% SAD Refund
[Customs Public Notice No. 123 dated 1st December
2010]
The following Public Notice was issued by the Commissioner of Customs
(Import) Jawaharlal Nehru Custom House on 1st December 2010.
Attention OF ALL Exporters, Importers,
Custom House Agent and Member of Trade and all concerned is invited to the
Notification No.102/2007-Customs dated 14.9.2007, Notification
No.93/2008-Customs dated 1.8.2008 and Boards Circulars No. 6/2008-Customs
dated 28.4.2008, No.16/2008-Customs dated 13.10.2008, No.6/2009-Customs dated
9.2.2009, No.18/2010-Customs dated 8.7.2010 and No.23/2010-Customs dated
29.7.2010 regarding procedure to be followed by the Customs field formations in
case of 4% CVD refund claims.
2. Circular No.6/2008Customs dated 28.4.2008 provides that the
refund of 4% CVD paid at the time of import through DEPB scrips
shall be disbursed by re-credit of the sanctioned refund amount to the relevant
DEPB Licence. Further, Circular No.6/2009Customs
dated 9.2.2009 extends the facility of similar re-credit to the relevant scrip
for disbursing SAD refund in respect of other scrips
like Vishesh Krishi and
Gram Udyog Yojana (VKGUY),
Focus Market Scheme (FMS) and Focus Product Scheme (FPS) also. However, it has
been represented by the trade and industry that existing EDI facility does not
allow re-credit of the amount of 4% CVD refund sanctioned in respect of these
schemes in the relevant scrips and as a result of
that, a large number of refund claims are held up in different customs houses.
The matter was referred to DGFT for resolving the same.
3. DGFT have subsequently issued a Public Notice No.38/2009-2014
dated 3.2.2010 and also a Policy Circular No.22/2009-14 dated 3.2.2010 for
extending the validity of Duty Credit Scrips. Accordingly,
concerned Commissionerates of Customs are required to
issue a consolidated certificate indicating total amount sanctioned as refund
(4% CVD). As per Public Notice, concerned DGFT / Regional Licensing Authorities
(RLA) are required to issue necessary re-credit on the scrip on the basis of
consolidated certificate issued by Commissionerate.
Policy Circular No.22/2009-14 dated 3.2.2010 issued by DGFT also provides for
sending a copy of such duty scrips where re-credit
was allowed along with the details of original duty scrips
so that the Customs authorities can compare the details before allowing
clearance of import consignment against the scrips.
4. It has come to the notice of the Board that even after issue of
the Public Notice and Policy Circular by DGFT on the issue of re-crediting DEPB
scrips on account of 4% CVD refund, difficulties are
still being faced by trade and industry as EDI, at present, does not have
facility to register such re-credited scrips issued
by DGFT in the system.
5. The matter has been examined in the Board. Board has considered the difficulties
associated with change in EDI System to allow re-credit of scrips
in case of 4% CVD refund and also the view of DGFT that modification in
software at the end of DGFT for the purpose of re-credit of 4% CVD through
Electronic Message System and its transmission to the Customs is not feasible
at present.
6. Considering the large scale pendency of such refund claims and in
order to address the difficulties in getting 4% CVD refund by re-crediting scrips, it has been decided by the Board that registration
of re-credited duty scrips issued by DGFT on the
basis of consolidated certificate furnished by Customs should be allowed on
manual basis. The facility of manual filing of Bill of Entry for utilizing the
amount of re-credited CVD refund for payment of duty is also allowed. This
facility has been extended up to 30.12.2010
as a one-time measure with a view to liquidate all such pendencies
by that time.
7. It has been decided that the re-credit amount of CVD refund should
be used for payment of BCD and CVD only and not for 4% CVD so as to avoid
cascading of subsequent re-credit of 4% CVD in the relevant scrips. Further, it is decided that in the interest
of ensuring expeditious grant of refund of 4% CVD in cash, the importers are
advised to make the initial payment of 4% CVD in cash.
8. The existing EDI software does not permit re-credit of such amount
to the relevant scrips directly without re-assessment
of the relevant B/E. Jawahar Custom House had
prescribed a specific procedure for re-credit of such amount to the relevant scrips directly after re-assessment of the relevant B/E
vide Standing Order No. 41/2009 dt. 09.09.2009.
9. It is decided that only those B/Es will be allowed for manual
processing wherein the duty involved is equal to or less than the balance
amount in the re-credited scrip. It has also been decided that re-credit amount
of CVD refund will be used for payment of BCD and CVD only and not for 4% CVD
so as to avoid cascading of subsequent re-credit of 4% CVD in the relevant scrips.
10. In order to streamline the process of
issuing the centralized Consolidated Certificate and in order to have a proper
monitoring system to ensure that the amount actually debiting to the relevant
scrip manually, the following guidelines are prescribed:
(i) Importer will submit item wise calculation
work sheet while filing of refund in new and pending refund claims under scrips;
(ii) Every file shall be checked by Compist
for verification of refund amount claimed by the applicant;
(iii) A centralized Consolidated Certificate to be issued to the applicant
mentioning all the details as per Order-in-original passed by the DC/AC, CRC
such as: License No., License dt.
amount sanctioned against each License;
(iv) A
centralized Register to be maintained in CRC section and a centralized
Consolidated Certificate Number to be issued and a copy of the same to be
pasted in the register;
(v) At the time of registration of re-credited License issued by DGFT,
the importer has to verify the details of re-credited amount from the
centralized Consolidated Certificate maintained at CRC Section;
(vi) The importer files the manual Bs/E, wherein the duty involved is
equal to or less than the balance amount in the re-credited scrip, to get the
benefit of re-credit amount of the sanctioned SAD refund amount;
(vii) The re-credit amount of CVD refund can be used for payment of BCD
and CVD only and not for 4% CVD so as to avoid cascading of subsequent
re-credit of 4% CVD in the relevant scrips;
(viii) No RA / TRA is allowed
against the said re-credited amount;
11. In order to streamline the process of
debiting of scripts Manually and in order to have a proper monitoring system to
ensure that the amount actually debiting to the relevant scrip, the following
guidelines are prescribed:
(i) At the time of verification of the
re-credited amount at CRC section and
debiting of Consolidated Certificate/manual scrips
utmost care shall be taken to ensure that the amount should not beyond the
amount sanctioned;
(ii) The License Section will maintain a separate record while debiting
of these manual scrips;
(iii) The import noting section will maintain a separate record for
allowing the manual Bs/E;
(iv) All Bs/E would be forwarded to PCA section for Pre-audit before assessing the said
Bs/e.
12. The format of Consolidated Certificate is enclosed herewith as
Annexure A.
13. The Public Notice No. 65/2009 dated 14.09.2009 is dispensed with
immediate effect.
15. Difficulties faced if any in implementation of this Circular may be
brought to the notice to the concerned Deputy/Assistant Commissioner of
Customs.
F.No.S/26-Misc-27/2010-11 CRC(SAD)
JNCH
OFFICE OF THE COMMISSIONER OF CUSTOMS (IMPORT)
JAWAHARLAL NEHRU CUSTOM HOUSE, TAL URAN, NHAVA
SHEVA, DIST: RAIGAD, NAVI MUMBAI 400 707, MAHARASHTA
F. No.
S/12-Misc-
/10-11 CRC II B SAD Date:
..12.10
Certificate No.
___________________.
To,
The Office of Jt. Director
General Foreign Trade,
New CGO Building,
New Marine Lines,
Mumbai 400 020
Sir,
Sub :- Consolidated Certificate for M/s
. reg.
With reference to DGFT
Policy Circular No. 22/2009-14 dated 03.02.10 and CBEC Circular No.
27/2010-Customs dated 13.08.10, the refund amount of Rs
of 4% SAD vide F.No
.Order in original No
.dt
..(copy enclosed) to be re-credited on the basis of
Consolidated Certificate issued by the Jawaharlal Nehru Custom House (JNPT).
Accordingly, the subject
re-credit may be allowed on manual basis as detailed below:-
|
Name of Importer |
Order-in-Original No. & Date |
Bill of Entry No. & Date |
Scrip/Lic. No. &
Date |
4% SAD Amount to be re-credited |
|
|
|
|
|
|
|
|
|
|
|
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|
|
|
|
Total |
|
Yours truly,
( )
Dy. Commissioner of Customs
Centralized Refund Section