An application in the prescribed from has to be submitted to the office of the jurisdictional Joint Director of Foreign Trade wherein details including Bank Account Number and Pan Number have to be furnished. After processing the application, the office of the joint DGFT would grant the IEC Certificate. The IEC number has to be indicated in the documents filed with Customs for clearance of imported goods. This number is not required in case of import of gifts and baggage. Details can be obtained from DGFT’s website http//www.dgft.gov.in.

Any person importing goods has to file a Bill of Entry for the clearance of goods. The Bill of Entry can be filed online using the ICEGATE at the ICEGATE portal namely www.icegate.gov.in. The Bill of Entry can also be filed at the EDI Service Centre functioning in different Custom Houses wherein particulars are fed and a check list is generated. The importer can also fill in details in their respective business premises and bring in material in a floppy and hand over the same to the Server Center.

The details to be furnished while filing a Bill of Entry include the IEC Number, Import Invoice Number and date, Description of goods including Customs Tariff heading, Quantity of goods, Value of goods, relevant Notification No. and date if concessional rate of duty is claimed.

The main documents are as under: Bill of Entry Bill of Lading Import Invoice Certificate of Origin, if preferential rate of duty is claimed. Import license, if the item under import is restricted. Other documents depending upon facts of each case.

As on date most of the goods are freely importable. However, certain goods are in the restricted category for which an Import License is required.

Any imported goods should be cleared within thirty days from the date of unloading of goods at a Customs station failing which the goods may be disposed off by way of auction.

After the particulars of the Bill of Entry are filed by the importer or his agent, the EDI system of the Customs calculates the applicable duty on its own which is checked by the Appraising Officers of the Customs posted for this purpose and confirmed by the Assistant/Deputy Commissioner of Customs.

After the Bill of Entry is assessed by the proper officer of Customs and the duty liabilities is worked out, the applicable duty is to be paid.

This can be ascertained from the concerned Commissionerate/Custom House. As for example for Mumbai Customs House the duty cheques/drafts are to be drawn in the name of “RBI A/c Commissioner of Customs”.

Duty has to be paid within two days from the date on which the Bill of Entry is returned after assessment to the Importer/Agent for payment of duty. If the duty is not paid within the stipulated time, simple interest (15% per annum presently) on amount of duty is also payable (Section 47 of the Customs Act, 1962).

Yes. Bill of entry can also be filed up to 30 days before the arrival of the goods in India. The classification, valuation and duty can be checked and verified before hand so that when the consignment arrives it can be cleared immediately.

Every Customs House has authorized customs house agents licenced by that particular Custom House. Each Customs House Agent (CHA) has a licence/registration number and identity cards which can be verified from the nearest Customs House/Customs Station.

An importer/exporter can file documents on his own account without the help of any CHA. But before this he must get an authority/permission from the proper officer for ‘self clearance”. It is not mandatory to take the help of the CHA in clearing consignments.

After the payment of customs duty some other procedures remain to be undertaken. The stamp duty, Octroi and other dues of the post trust and shipping lines like demurrage and detention charges have to be paid. The goods may also be physically examined (on a selective basis) by the customs docks staff before out of charge from customs is given. There may also be some compulsory compliance requirements like clearance from drug controller, food inspector, public health officer, etc. depending upon the nature of the commodity.

For classification of goods for Customs purpose a global system is followed. This system is known as Harmonised System of Nomenclature (HSN). This is common to all countries of the world. Based on the description of goods, a particular classification can be arrived at as per the Customs Tariff which contains a list of commodities and their classifications.

The invoice value is generally accepted by Customs if the transaction has been at an arm’s length. In case the supplier and importer are related in any manner, the invoice price may not be accepted. The price of imported goods has to be compatible with the price of similar goods importer in India during that period.

Yes. India follows the Kyoto convention which is also followed by most countries around the world.