CBIC Drops Rigorous Top Tier I Selection Procedures
· Eight Forms Replaced with Simple Two Forms with Declarations
· Hopes More Entrants will Opt for AEO
· Importers Shy Away as Benefits not Visible
· Direct Port Delivery (DPD) given without AEO
· No Fast Clearance Seen as Goods go thru Examination even with
AEO Status
[Circular No. 26/2018-Customs
dated 10 August 2018]
Subject: Simplification and rationalization of
processing of AEO-T1 application.
Reference is drawn to the Circular 33/2016-Customs dated
22.7.2016 as amended. The Indian AEO Programme is
governed by this circular. Multiple suggestions have been received from various
field formations, wherein it has been emphasised that
the compliance requirements for AEO T1 are not commensurate
with the benefits allowed to AEO T1 entities. The suggestions also highlighted
the fact that this has made it difficult to attract entities into the AEO fold.
Consequently, a review of the aforementioned circular was done and it was felt
that the processing of AEO T1 application requires simplification and
rationalization.
Accordingly, it has been decided that the present Annexure for AEO T1
application i.e. Annexure A, C, D, E1,E2,E3 & E4
shall be hereby replaced with the Annexure 1 and Annexure 2 (enclosed
herewith). The processing by way of new annexures, annexure 1 & 2, will
come in effect immediately. All the new applications for AEO T1 are to be
mandatorily filed in form of the new annexures — annexure 1 & 2.
Alongside, to implement the simplified processing and to ensure its
desired effectiveness, it is decided by the competent authority that the
process of accreditation of AEO-T1 shall be decentralized to the Zonal level.
In this decentralized scheme of work, the AEO- T1 application will be filed
with the Zonal AEO Cell (as already been done by virtue of Circular 3/2018- Cus). The said application will be processed by the Zonal
AEO cell and the final acceptance or rejection will be decided by Zonal AEO Programme Manager [designated Pr. Commissioner/Commissioner
rank officer in Customs Zone nominated by Pr. Chief Commissioner/ Chief
Commissioner, Customs]. The Zonal AEO cells will only intimate the decision of
Zonal AEO Programme Manager to Directorate of
International Customs for generation of certificate [with relevant information
of the applicant— Name, IEC Number & PAN] and statistics management.
However, for the application that have already been received by the
Customs Zones prior to the of issuance of this circular, the Zonal AEO Programme Manager will have discretion to allow the
processing of the application either by way of earlier annexures (Annexure A,
C, D, El, E2, E3 & E4) or by way of new annexures (annexure 1 & 2) on
case to case basis.
Further, the digitization of processing of AEO T1 application is already
underway. The online processing of AEO T1 application will commence as soon as
the necessary digital infrastructure is in place.
In the meantime, the processing of new AEO T1 application in form of the
new annexures (annexure 1 &2) will come in effect immediately. This will
ensure proper preparedness and adequate time to Customs Zones to take up
necessary outreach to the trade, informing them about the relevant changes as
well as imminent automation of AEO T1 application processing, before the
process of transition to digitization is initiated.
The Board Circular No. 33/2016- Customs dated 22/7/2016 as
amended stands modified to above extent
Wide publicity may please be given to this Circular by way of issuance
of Trade/Public Notice.
Difficulties faced, if any, in the implementation of this Circular may
be brought to the notice of this office.
F.No. D-
20/DIC/AEO/16/2017
APPLICATION FORM FOR GRANT OF AEO T1 STATUS
Annexure —1 (General Compliance)
|
COMPLIANCE
PARAMETER |
Yes/ No |
REMARK |
|
|
1. |
Name of Company / Economic
Operator: |
||
|
2 |
Has your AEO
application been rejected or your AEO status has been suspended in past. If
so, on what grounds (please enclose the rejection/suspension letter) |
||
|
3 (a) 3 (b) |
IEC No. GSTN No. (Copies of both to be provided) |
||
|
4. 4(i) 4(ii) |
Address: Number and Street: City/District, State & Zip
Code: (This shall include list of
sites, under control, where import / export goods are handled, e.g. packed /
unpacked / loaded / unloaded / consolidated etc. in the course of supply
to/from international supply chain) Please provide Site Plan for
all the above sites. |
||
|
4 (a) |
Whether applicant
is a manufactures or trader |
||
|
4(b) |
If applicant is a
manufacturer, what are the main items of manufacturing |
||
|
4© |
Industry
Classification (Eg. Automotive/ Pharmaceutical/
Textile/ Chemicals & Plastics/ IT/ Metals/ Minerals/ Agriculture &
Processed Food/ Electronics etc) |
||
|
5(a). |
Contact person: |
||
|
5(b). |
Designation: |
||
|
5(c). |
Contact Number: |
||
|
5(d). |
Alternate Contact
Number: |
||
|
5(e) |
Email address: |
||
|
6. |
Company
registration No.: (in case of companies
registered under the Companies Act, 1956 and / or Limited Liability
Partnership Act, 2008) |
||
|
7. |
PAN Number (copy to be provided) |
||
|
8(a). |
Major Items of
import and countries (in descending order of volume) |
||
|
8(b). |
Major Items of
export and countries (in descending order of volume) |
||
|
9. |
Number of documents
i.e. Bills of Entry or Shipping bills handled, with the Customs Authorities
during the last financial year. |
||
|
10. |
Duration for which the
entity has business activities preceding the date of application? |
||
|
11. |
Provide Process Map
that should illustrate the flow of goods and provide sample copy of relevant
record keeping documentation (related to — sales &purchase order,
inventory management of warehouse and manufactured goods, shipping/transport
document) to ascertain the complete trail and flow of goods. It should describe all the
activities/ operations and role of the applicant and that of other business
partners who are involved in the import-export supply chain in any manner. |
Annexure
— 2 (Legal, Managing Commercial Records and Financial Solvency Compliance)
|
COMPLIANCE
PARAMETER |
Yes/ No |
REMARK |
|
|
1. |
Whether there are
any cases of infringement of Customs & Allied Laws by any of the
following persons over the three financial years preceding the submission of
the application: (i)
the applicant; (ii) the
person responsible in the applicant company for customs matters. If yes, please indicate the
details of the cases. |
||
|
2 |
Have you been
issued an SCN by Customs or GST (erstwhile Central Excise and Service Tax)
authorities in last 3 years? If yes, kindly bring out: 1. Brief of the breach
including the provision invoked in the SCN. 2. Whether SCN has been
adjudicated? If Yes, bring out the decision of the order. 3. Whether there is any case
against you wherein prosecution has been launched? |
||
|
3. |
Provide the
break-up of contingent liability of last three Financial Year. If contingent
liability pertains to Customs or GST( erstwhile
Central Excise and Service Tax) provide the brief of such liability. |
||
|
4(i) |
Provide procedures
for administering the license, authorization connected to exports/imports? |
||
|
4 (ii) |
Provide procedures
for administering the commercial records connected to exports/imports? |
||
|
4 (iii) |
Do you deal in
goods subject to anti-dumping duties, safeguard duties or countervailing
duties? If, yes, please briefly provide details of the goods. |
||
|
5. |
Provide procedures
for verifying the accuracy of Customs declarations including procedure in
place on the establishment of Customs Value and tariff classification. In case any Business Partners/
representative is involved in the above-mentioned process/formalities please
provide details of the representative along with the document that brings out
the responsibility of the representative. |
||
|
6 |
Provide in brief
the procedure to ensure the protection of your computerized record system
from unauthorized access? |
||
|
7. |
Provide procedures
for back-up, recovery, archiving and retrieval of your business records. Please state for how long is
this data archived. |
||
|
8. |
Provide the net
worth along with the audited Audit Report of your company for last 3
Financial Year. |
||
|
9. |
Provide the Net
Current Assets for your company for last 3 years. If it is negative, bring
out the reason for the same |
||
|
10. |
Provide details of
any insolvency, bankruptcy or liquidation proceedings taken against your
company in last 3 FY. Please give a declaration in this regard duly signed by
CFO or head of Finance department |
Note: The applicant should
enclose appropriate documentary evidences in support of above claims.
Declaration (to be provided on
official letter head of the company):
I hereby declare that all the
information given in this application and in all documents submitted herewith
is true and accurate.
By tendering this application
form for joining the Indian Authorized Economic Operator Programme,
I acknowledge my understanding and acceptance of the following terms and conditions:
· To provide in the application the
completed application form, self-assessment questionnaire, and supporting
documents.
· To inform Indian Customs
immediately of any change in the particulars declared on this application form
and in all submitted documents any time before the starting of
or during the documentary check;
· To offer adequate and reasonable
assistance to Indian Customs on documentary check(s); and
· To allow Indian Customs to
publish on its homepage the name of my company once accredited.
I understand and agree that all
information I submit in relation to this application will be verified by the
Indian Customs as required.
Signature *
(Full Name )
Position in Company
Date
* Except for sole proprietorship
or partnership, the person who signs this application shall have a written
authorization from a board/director of the company to make this application and
act on behalf of the company.
[Circular 26-Customs-10.08.2018]