Page 102 - DHC Budget Book 2021-22 Final
P. 102
9.1
Amendments in Customs Act, 1962 [Effective from the enactment of the bill]
9.1.1 Introduction of Common Customs Electronic Portal for compliances under the Customs Law
A new Sec. 154C has been proposed to be inserted to empower CBIC to notify a common portal, called the Common Customs Electronic Portal, for facilitating registration, filing of bills of entry, shipping bills, other documents and forms prescribed under the Act.
In line with the above amendment, Clause (7B) has been proposed to be inserted in Sec. 2 to define “common portal” as the Common Customs Electronic Portal referred to in Sec. 154C.
New Clause (ca) also has been proposed to be inserted in Sec. 153(1), to provide for service of notices, orders, summons, etc. through common portal to encourage paperless processing.
For new exemptions introduced henceforth
- upto 31st day of March falling immediately after two years from the date of such grant or variation
For exemptions already in force as on the date on which Finance Bill, 2021 is enacted – the period of two years shall be reckoned from the 1st day of February, 2021
Comment:
The amendment has been proposed with
a view to achieve the overall objective of Customs duty rationalization with minimum distortions, wherein outdated exemptions
are being eliminated and new exemptions
are being introduced with a limited validity. However, such limitations shall apply only in cases where exemptions are granted “subject to specific conditions” and not in cases where the exemptions granted are absolute in nature.
Further as stated by Hon’ble FM in her budget speech, the already existing exemptions
are being constantly reviewed (80 outdated exemptions were eliminated last year and this year nearly 400 old exemptions are proposed to be reviewed to put in place a revised Customs duty structure from 1st October , 2021).
Second and Third Proviso to Sec. 149 have
been proposed to be inserted to provide for authorization and amendment of documents, as may be approved by CBIC, on self-amendment
basis by an importer or exporter electronically.
Comment:
At present, the Indian Customs Electronic Gateway (ICEGATE) is the electronic portal which provides e-filing services to the importers and exporters. The introduction of Common Customs Electronic Portal is proposed in line with the Common Goods and Services Tax Electronic Portal (GSTN) under GST law. The said portal is expected to offer a host of end-to- end services to the industry, including electronic filing, e-Payment, filing supporting documents, with an objective to restrict human intervention to the minimum level possible and allow faceless assessment in future. This is a welcome step towards the CG’s continuous effort towards ‘Ease of Doing Business’.
9.1.2 Sunset Clause proposed in respect of Conditional Exemptions under Customs
A new sub-section (4A) is proposed to be inserted in Sec. 25, to provide for time limit of availability of conditional exemption granted under the said provision, unless otherwise specified or varied or rescinded, as follows:
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INDIA BUDGET 2021-22
This amendment requires the importer to keep track of the sunset clause and plan in advance accordingly. It also needs to be seen whether any relaxation is given in case of imports in transit which may ultimately land after the sunset clause date.
9.1.3 Specific Timelines provided for completion of inquiry or investigation culminating into issuance of a SCN
Sec. 28BB has been proposed to be inserted
to provide for specific time limit of 2 years
from the date of initiation of audit, search, seizure or summons, etc. for completion of any proceedings resulting in issuance of SCN (which may further be extended by a period of 1 year by the Commissioner, on sufficient cause being shown).
In computing the above period, the period during which stay was granted by an order of a court
