From next month, importers will have to furnish additional information at Customs Automated System while filing a bill of entry in case of "specified goods".
The centre has notified the Customs (Assistance in Value Declaration of Identified Imported Goods) Rules, 2023, aimed at addressing the undervaluation of specified imported goods.
The rules will be effective from February 11, 2023, the notification issued by the Central Board of Indirect Taxes and Customs (CBIC) said.
As per the rules, two committees will be constituted - a screening committee for a preliminary examination of 'identified goods' and an evaluation committee for a detailed examination.
The budget had proposed to amend section 14 of the customs act by imposing additional obligations on the importer in respect of a certain class of imported goods, where the board believes that importers are evading duty by not declaring the true value, causing loss to the exchequer.
The specified goods will be the list of items, selected by the Board where it has reason to believe that the value of such goods may not be declared truthfully or accurately. The list of such goods will be prepared and recommended by a screening committee and evaluation committee.
"As next steps, list of identified class of goods will have to be rolled out after due review by Screening and Evaluation Committee, whereby the importers will have to make additional declarations," Abhishek Jain, Partner Indirect Tax, KPMG in India, says.
He added that exclusion of categories where no commercial quantities are involved, Project Imports, etc will help prevent unnecessary hassles to genuine importers.
The Central Board of Indirect Taxes and Customs (CBIC) will come out with a list of 'identified goods', which will be subject to stricter scrutiny for their true value.
As per the rules, two committees will be constituted -- a screening committee for a preliminary examination of 'identified goods' and an evaluation committee for a detailed examination.
Importer of the identified goods will be required to declare the value of goods using the Unique Quantity Code.
Under the Customs Automated System, the importer of identified goods will also be required to fulfil the specified additional obligations, and also the assessment of goods will be subjected to additional checks.
In the case of violation, further proceedings would be initiated under the Customs Valuation Rules 2007.
KPMG in India Partner Indirect Tax Abhishek Jain said as the next step, the list of identified classes of goods will have to be rolled out after due review by the Screening and Evaluation Committee, whereby the importers will have to make additional declarations.
"Exclusion of categories where no commercial quantities are involved, project imports, etc will help prevent unnecessary hassles to genuine importers," Jain added.
Subscribe to The Economic Times Prime and read the ET ePaper online.
Subscribe to The Economic Times Prime and read the ET ePaper online.
Prime Exclusives Investment IdeasStock Report PlusePaperWealth Edition
4 major allegations against on Sebi chief Madhabi Buch
'The Liberals are too weak, too selfish. ': JagmeetSingh
White House on India's role in ending Russia-Ukraine war
PM Modi discusses ways for collaboration in semicon industry
'Will not watch . ' IC-814 survivor shares traumatic experience
'Policies never made in hurry…,' FM defends PM’s policy approach
N Korea floods: Kim allegedly executes officials, says report
Kolkata horror: People switch off lights, come out on streets
Want to create many Singapores in India: PM Modi
Haryana polls: CM Nayab Saini fielded from Ladwa
