Purchased on high seas sales basis
Exempted under 100% EOU schemes
Exempted under Notification No.32/97 (Job work)
Bond Management System.
centralized Bond Section, which will be responsible for maintenance
of documents related to Bonds, Bank Guarantees and Undertakings.
AC/DC shall handle the Bonds. The Bond section will be responsible
for the following:
Registration of Bonds/undertakings, Bank Guarantees, Sureties
Debit and Credit of Bonds for EDI B/Es and Manual B/Es
Closure of Bonds, Bank Guarantees
Issue of recovery notices
Issue of reminders
Generation of MIS reports
Revolving / continuity and the Specific Bonds will be registered and
maintained in the Bond Section. The Appraising Officer determines
the Bond requirement. The type and the amount of bond are decided by
the Appraising Officer and are approved by the Assistant
Commissioner. However system will assist in determining the type of
Bond / BG and value. Bond requirement details will be printed on the
BE after the assessment. The details include the type of Bond,
amount and the Bank Guarantee. The bonds will be managed centrally
by Bond/BG Section.
Registration of Bond
The bond module
provides for registration of all Bonds / Undertakings, Bank
Guarantees, Sureties etc. in the system. The importer shall furnish
the following details for registration: -
2. Bond Type
3. Bond Amount *
4. Revolving /
5. Date of Bond
6. Date of Expiry
7. Date of
8. Whether BG Y/N
9. Surety Y/N
10. Cash Deposit
* for Bonds
already executed, the existing balance to be captured as opening
balance in the Ledger
1. Serial No. (as
given by the Bank)
2. Bank branch
3. Bank name
4. BG amount
5. BG date
6. Expiry date of
Date of enforcement
1. Serial No. (as
given by the party )
2. Surety Name
particulars of surety (CHA code, Chartered Accountant Registration
1. Challan No.
4. Date of Deposit
The bond detail
shall be entered in the Bond Section. On entry system will assign a
job no. and check list is generated. The importers / CHA shall
satisfy with the correctness of details. The corrections if any
shall be made and job shall be submitted.
the job shall be forwarded to AC /DC designated to accept the bond.
The importer shall present the original bond documents to the
respective designated AC / DC for acceptance.
The AC /DC shall
observe all the instructions regarding acceptance of bond issued by
the Board / Commissionerate from time to time after satisfying that
the documents submitted are in order & acceptable.
The AC/DC shall retrieve the bond details on screen by
entering the job no., view the entries made in the system. If the
information in the system match with the documents & conditions
for acceptance of the bonds are satisfied, the AC / DC may accept
the bond in the system. The AC/ DC can also make corrections in the
system if so required. After acceptance of the bond by AC / DC the
bond documents shall be taken by the bond officer / bond clerk. The
Bond officer/ Bond clerk after receipt of the Bond / BG / Security
etc. shall enter in the system location of bond storage where the
bond documents have to be physically stored. At this stage, the
system will generate the bond registration No. This Regn. No. has to
be endorsed on the original documents and also communicated to the
importer for their future reference.
Bond Registration Number System would maintain a single running
Serial No. for all types of Bonds. The Bond No. need not be
initialized every year. Bond No. to start with Serial No.100001.
28.3 Processing of Bill of
Entry (with Bond)
Declaration in the Service Center
In case the
importer has already registered a Continuity Bond with the Bond
Cell, he has to specify the type of Bond and Registration Number in
the Service Centre declaration. However, the Bond value and BG
amount is determined by the Appraising Officer. If Continuity Bond
is not there, no declaration (bond) need to be given in the Service
Centre. Bond details will be printed on the Checklist.
In case of EOU
Bond already submitted at the Central Excise Commissionerate /
Office, the Certificate Number has to be provided. If Certificate
Number is declared, EOU bond is not required.
submission stage, the validity of bond is checked.
Officer has the option to ask for bond as condition of assessment.
The following type of Bonds can be opted:
Bond – General
End Use Bond /
Bond - Project Imports
B/E Type `W’ :
Warehouse Bond is mandatory.
EOU Bond : In
case of items, where EOU Notification is claimed, EOU Bond or a
procurement Certificate from Central Excise authorities is
assessment: If any of the item is assessed provisionally, the Bond
(Provisional or Test) is mandatory.
Officer has to specify Type of Bond, Bond Amount, BG%, BG amount,
basis for bond amount at the BE level.
AC/DC has to
confirm the action of Appraising Officer. Auditor has no option
w.r.t. bonds. However, he can view the Bonds requirements.
On completion of
assessment, the Bond requirement details will be printed the
Assessed Copy of the BE.
Where the Bond has
not been executed before assessment, on completion of assessment and
payment of duty (wherever required) the importer is required to
execute the Bond in respect of the Bill of Entry in question before
goods registration in the Shed. If the Bond has not been executed
against the Bill of Entry the goods registration cannot be done.
The Importer has
to give a written request to AC/DC for debiting the bond against a
B/E. The importer shall specify the Bond Registration No. B/E No.
The AC (Bond) has
to retrieve the Bond and debit the Bond and BG. He/She has the
option to view the B/E.
the system will pose the following query:
language of the bond meets the legal requirement of the assessment
of the B/E.
If the amount to be debited is more than the credit balance in the
Bond and BG Ledgers, the system will not allow debit and the AC/DC
has to raise a query to the Importer for filing fresh bond /BG.
The system will
not allow goods registration and out of charge, if the debit entries
not made against the B/E in the Bond and BG Ledgers.]
AC/DC has the
option to re-credit value after finalization of assessment.
will be made in the Bond and BG ledgers;
-Date of credit
-B/E No. and Date
Assessment finalized no recovery
Assessment finalized and differential deposited separately.
Necessary end use certificate submitted.
Re-warehousing certificate submitted.
Test results received confirming the goods as declared by the
importer in the B/E.
Bond Ledger Format
Type of Document
(manual or EDI)
(Specified by AO)
Date of debit /
Debiting of the Bond for manual Bill of entry:
A continuity or a
specific bond shall be accepted & registered in the system. A
continuity bond registered in the system can be utilized in respect
of an electronic as well as manual bills of entry. For debiting
manual bill of entry, the bond officer shall select the option of
MBE-debit and enter the details of the manual bill of entry and
amount of bond / BG etc. After debiting, a debit slip will be
generated which can be printed one copy of slip should be attached
with the B/E and other copy given to the importer.
In respect of Bills of Entry where processing has not yet been
automated, it would still be possible under the aforesaid Bond
Management System to register the bond in the system and utilize it
against a manually processed date of entry as per procedure
indicated alone in respect of a continuity / revolving bond.
the introduction of the Bond Management System, changes are being
proposed in the processing of Bills of Entry for Warehousing of
Imported goods and goods assessed to duty provisionally. The Bills
of Entry would be linked to the respective Bonds and the system will
maintain an account in this behalf. The procedure for processing of
such Bills of Entry is briefly indicated below:-
Warehousing Bill of Entry
bill of entry, the type of bill of entry should be indicated as
‘W’. The importer may indicate the bond details if a continuity
bond has already been executed in the same manner as has been
explained in respect of 100% EOU.
The processing of warehousing bill of entry shall continue to be as
at present in the respective groups on first come first serve basis.
The system at the
time of assessment of a Warehousing B/E shall display before the
Appraiser the requirement of bond equal to double the amount of duty
payable. The appraiser at the time of the assessment can change the
bond /BG amounts. Where the bond details have been entered at the
time of data entry the same shall be displayed by the system &
debit details will be printed on the bill of entry. Where bond has
not been debited at the time of data entry of B/E, bond requirement
shall be printed along with the print of the bill of entry.
The bond shall be
registered with the designated bond Officer & debited in respect
of a B/E. Unless, the bond is debited in the system, bill of entry
cannot be registered for examination & out of charge at the shed
Where an item of
the bill of entry is assessed provisionally by the Appraiser
irrespective of the fact, whether EOU /Warehousing Bill of Entry, PD
bond will also be required in addition to the EOU / Warehousing
Bond. The details of the bond can be entered at the time of data
entry as explained for EOU bill of entry. The type of bond for
provisional assessment shall be ‘PD’ .
The System will
indicate sum of the duty assessed provisionally for assistance of
the appraiser for determining the amount of bond / BG for debiting.
The Appraiser can change the amount of bond and/ or B.G. for
If the bond
details have not been entered at the time of data entry, the system
will enforce bond. The Appraiser shall specify the amount of bond
and bank guarantee. The duty if any assessed shall be deposited with
designated bank as usual. The bill of entry will not be registered
in the shed / docks for examination & out of charge till the
duty is paid and the bond and BG as specified has been debited. The
details of bond debit or the bond requirements shall be printed on
the provisionally assessed B/E. Details of a debited bond will also
be printed on the Importer’s copy and Exchange control copy of
In case any Cash deposit is required to be taken, the Appraiser can
specify the amount of Cash deposit, the Challan for Cash deposit
will also be printed with the assessed copy of B/E which will also
be deposited with the designated bank like the duty and
High Sea Sales Consignments
would cover all imports where the goods have been transferred by the
original importer by sale or otherwise before their clearance from
customs. As is currently the practice, the software has been
designed to provide for both the options namely, the ultimate buyer
paying a percentage loading over the invoice price or a fixed sum in
addition to the invoice price to arrive at the final price payable.
Where the goods
have been purchased on High Seas Sales basis, option `Y’ should be
indicated at S.No 9 in the format. Against S.No 10, the IEC &
Branch code of the original importers i.e. Seller of goods on high
seas, should be indicated. In the field of invoice details after the
field of currency, new fields for indicating the costs incurred over
and above the invoice value for purchasing goods on high seas have
been added. Where such expenses are incurred, (whether actually paid
or payable) as a percentage of invoice value, the percentage rate
should be indicated in the field “Rate”. Where a fixed amount is
paid or payable over the invoice value such amount should be
indicated against the field ‘amount’ and shall be in Indian
Rupees. The additional amount would get distributed
proportionately amongst the various items in the invoice for
determination of assessable value.
In case goods
relate to more than one invoices, the High Seas sales charges should
to be indicated against each invoice, proportionate to the value of
goods in the invoice.
The system shall add these charges to the CIF value of the goods for
computation of value for the purpose of levy of duty.
The data entry
operator at Service Center shall enter these details in the relevant
field in the system. These details will be printed on the check
list. The IEC & the name of the seller of the goods shall also
be printed at the end of the check list for verification by the
Importer / CHA.
the B/E shall be processed under the EDI-System as a normal B/E. The
Appraiser, Auditor, AC/DC at the time of processing the B/E will be
able to view the details of rate or value of High Seas charges. The
Appraiser assessing the B/E will also be able to change the rate or
value of High Seas Sales charges though change option. Principles of
natural justice would need to be followed wherever required.
The details of the
rate or value of High Sea Sales Charges and the IEC with name of the
Seller will also be printed on the assessed copy, & Importer’s
& Exchange Control copies of the B/E.
Imports by 100% EOUs :-
(A) Registration of EOU.
All the 100%
Export Oriented Units including STP / EHTP etc. will be required to
be registered as EOU in the System before filing of a bill of entry.
The designated officer shall make data entry for registration of an
EOU. All verifications and authentications including all checks to
determine the eligibility of the importer to be registered as an EOU
and for exemption from duties shall be carried out before a unit is
registered in the System as an EOU.
details should be furnished by the EOU for registration.
Importer Exporter Code (IEC)
(All other details
including BIN shall be captured from the information sent by DGFT
against the IEC)
EOU type :
I. A – EOU -
I. B – EOU –
I. C – EOU –
Agriculture / Floriculture
I. D – EOU –
I, E - EOU –
gems and jewellery
I. F – EOU –
II – STP
III – EHTP
EOU Approval No.
ECC ( Assessee Excise Control Code)
Central Excise office location code
Separate Registration would need to be made for each factory (based
on the various branch codes of the IEC) in case a 100% EOU has more
than one factory.
B ) Filing of Bill of Entry
of Bond details
In the Annexure
‘C’ format for declaration for data entry, S. No. 18 has
been added to capture the details of registration of various bonds
including the bond for 100% EOUs.
For a Bill of Entry for imports by 100% EOU indicate: - “Y” for
Bond No………. if bond is already executed with customs at the
point of import; `C’ Cex. Certificate.
No…………DT……………” where the bond is executed with
Central Excise authorities; and a procurement certificate has been
issued by them. ‘N’ where neither bond is executed nor Central
Excise Certificate is obtained before presenting the Bill of Entry.
Where the option given is ‘N’ the system shall require the bond
to be executed after assessment but before registration of B/E for
examination & out of charge.
Procedure for registration of bond/B.G. has been separately
indicated in this Public Notice
The importer should indicate in the format the type of bond as
“EO” for 100% EOUs and indicate details of the Bond No. or the
Central Excise certificate as the case may be. If Bond or Central
Excise Certificate are not indicated it would be ‘N’ i.e. NONE.
The data entry operator shall enter the related option Y or C and
enter the details of the bond or the certificate as the case may be
in the respective field in the system.
In the field of claim of assessment normal details shall be
indicated. However, in the fields of “Additional information for
claiming benefits under specified exemption schemes” in Col.(I)
the prescribed Exim code for the relevant scheme related to imports
like EOU/STP/EHTP would required to be indicated. The Exim codes for
the various schemes have already been notified in the Handbook of
Procedures issued by DGFT. In column No. 2 the relevant applicable
exemption notification No…………/Year……….with S.No. of
item in the notifications is required to be indicated against the
The data entry
operator shall enter the code of EOU against the field Exim code
…………………… after entry of Exim code enter notification
no. ../yr & S. No. After completion of entry of all the items of
the bill of entry, a check list will be printed. In the check list
against an item where EOU exemption is claimed the words (EOU) &
notification no. /yr & S.No. will be printed. At the end of the
check list details of bond indicating the bond no. bond code, amount
debited, Bank Guarantee debited or the details of certificate for
central excise will be printed.
The importer / CHA
shall check the correctness of the details in the check list &
return it to data entry operator for submission of the same in the
system. On submission, the bill of entry shall be directed to Group
VII for assessment. An unassessed copy of the bill of entry after
submission shall be taken by the importers.
Appraising of EOU B/E.
The importer /CHA
shall present the unassessed bill of entry along with the bonds /
certificate and other documents supporting the claims of assessment
under EOU to the designated Appraiser / Supdt. for making
shall recall the relevant bill of entry on the screen and complete
the assessment on the system after scrutiny of the documents. The
system will display EOU bond details or Central Excise certificate.
The appraiser will also be able to view the details of EOU
In case the
importer has already executed the bond and it is registered in the
system, the system will display the amount debited in the bond which
is equal to the duty foregone. If the appraiser desires to change
the amount for debiting the bond he can select through change option
and change the amount for the bond debit & BG. Where the BG is
not required the amount in the field of BG should be entered as
The appraiser has the option of removing EOU notification where the
importer is not found to be eligible for the exemption.
Where the importer
has not furnished bond or central excise certificate, the system
will require the assessing officer to specify the bond amount / BG
amount. The Appraiser shall specify the Bond & Bank Guarantee
amount in system. After processing by the Appraiser the B/E will be
audited by the Auditor and thereafter processed by the AC/DC. After
the assessment print of the Bill of Entry can be obtained. The
details of the bond / BG shall be printed on the bill of entry where
neither bond is debited nor a central excise certificate is
indicated the system will print the bond / BG requirements as
specified by the Appraiser.
In case the
importer has executed the bond with the central excise authorities,
he shall produce the procurement certificate issued by the central
excise officer to assessing officer along with the unassessed copy
of the Bill of Entry. Assessment of Bill of Entry would be done
after due verification of all the concerned documents. System would
generate a communication consignment and requesting for confirmation
about re-warehousing. System would enable monitoring of the movement
of the goods through appropriate MIS reports.
of the assessment the bill of entry shall be put to Bond queue for
execution / debiting of bond. Where any duty amount has been
assessed, the duty shall be deposited in the bank as usual. Unless
the Bond Officer completes the action of debiting bond in the
system, the B/E will not be available for registration for
examination and out of charge.
registration of Bond / BG has been explained earlier in this Public
28.6 Availing exemption
under JOBBING Scheme
No.32/97–Cus exempts goods imported for carrying out any job work
and re-export subject to conditions specified in the said
notification. Importers claiming the said exemption would be
required to indicate the relevant Exim code and Notification in the
columns “Additional information for claiming benefit under
specified exemptions schemes”. The bond type “JO” will be
indicated in the format for data entry, the Scheme code will be 20
and the exemption notification will be 032/97 item S.NO. 1. On
submission print of an un-assessed copy of the B/E will be taken and
presented to the designated Appraiser along with all the requisite
documents. The Appraiser will recall the B/E on screen for
assessment. Appraiser will be able to delete the notification to
deny the exemption if so warranted, specify the bond/BG requirements
and modify the bond/BG amounts. The B/E will be audited by the
Auditor and processed by the AC/DC. Details of notification, bond/BG
debits will be printed on respective copies of the B/E. The
procedure for execution and maintenance of bond/BG in the system
will like any other bond.
Assessment involving RSP / NCCD:
Importers, exporters, Custom House Agents and trade in general is
invited to clauses 110(b) and 129(1) & (2) of the Finance Bill,
2001 relating to amendment of Section 3 (2) of the Customs Tariff
Act, 1975 providing for declaration of ‘Retail Sale Price’ for
the purpose of calculation of additional duty leviable under the
said section and introduction of a new duty of excise to be called
as the National Calamity Contingent duty (NCCD) leviable on goods
specified in the Seventh Schedule to the said Finance Bill.
Provisions have made in the Indian Customs EDI-System (ICES)
for assessment of such articles leviable to additional duty under
section 3(1) of the Customs tariff Act, 75 based on RSP and NCCD.
form to be filed at the service centre by the importers/CHAs shall
be amended as follows:-
After Serial No.
----(Invoice details) and before Serial No. ------(claim of
assessment) the following Serial No. shall be inserted namely:-
Whether any of the items is leviable to additional duty under
Section 3 of CTA, 1975 with reference to the retail sale price
declared on the article ………….Y/N.
(b) If yes furnish the following particulars:-
No. of Units
Retail Sale Price
Rs. Per unit………………”.
would be required to declare the retail sale price of the items to
which the provisions of the Standards of Weights and Measures Act.
1976 or any other law in this behalf apply and which are notified
under a notification issued under Section 4A of the Central Excise
Act. 1944 [for example notification No. 5/2001-CE(NT) dated
1-3-2001] as specified in the proviso to Section 3(2) of the Customs
Tariff Act. 1975.
It would be advisable to specify these details at Serial No. …..
(Claim of assessment for each pack size of the imported item. For
example if tooth paste is imported in sizes of 50 gms., 100 gms. And
150 gms., it is suggested that these be noted as three separate
entries in the aforesaid Serial No. ….. (Claim to assessment since
they would be having three separate retail prices.
Provision has been
made in the system to declare different Retail Sale Price for part
of quantity of goods covered by an item in the Bill of Entry if the
goods are intended to be sold at different retail prices. Each
article, which has different characters, specification including the
difference in size of packing should be declared separate items in
the Bill of Entry with a separate unit retail sale price.
The retail sale
price would have to be indicated in Rupees and not in any foreign
currency and should conform to the provisions of the Standards of
Weights and Measures Act., 1976, the rules made there under or any
other law in this behalf.
Quantum of abatement need not be declared since the system would
apply the said reduction with reference to the Central Excise Tariff
Details of such items for which Retail Sale Price has been declared
may be carefully verified by the Importers/CHAs before handing over
the check list to the Service Centre Operator for submission of the
Bill of Entry. It may also be ensured that all the articles covered
in the invoice are carefully checked and Retail Sale Price declared
in respect of all such articles, which require declaration of Retail
Provision has also been made for amendment of declared Retail Sale
Price at different stages subject to appropriate approvals wherever