Public Notice No. 135/2000-Cus., 26.12.2000

Payment of drawback under EDI System when the
price is declared on CIF/C & I basis- reg.
Attention of all concerned is invited to Ministry"s Circular No. 44/2000-Cus dated 15.5.2000 vide file no. 609/37/99-DBK Government of India, Ministry of Finance, Deptt. of Revenue on the above subject. Attention is also invited to Ministry"s letter vide File No. 609/93/2000-DBK dt. 31.8.2000 regarding insurance premium which is also to be read in conjunction with above Circular No. 44/2000-Cus dt. 15.5.2000 and standing order No. 7562/22.9.2000.

Exporters must declare the actual freight/insurance paid/payable by him on the shipping bill or when the goods are presented for examination. This declaration must reflect the freight and insurance charges actually borne by the exporter irrespective of the amount received by shipping lines or insurance Co. or any person engaged in the shipment of goods.

In cases where the exporter is unable to ascertain the actual charges, the declaration of freight & insurance should be filled on the basis of the standard published schedule.

The exporter should review each case of shipment after export has taken place and if the freight or insurance borne by him is higher than the one declared in the shipping bill, then the exporter is required to pay back to the Customs the excess amount of drawback of export incentive claimed/received there under.

The freefund/payment of the excess drawback amount can be made under account head MISC 037 head in the form of T.R.-6 Challan. The Challan will have to be signed by the concerned Appraising Officer and a separate file/register will be maintained for such cases.

Also regular test check of 10-15% of the claims cleared on the basis of the standard (freight & insurance) schedule will be carried out to verify the correctness of the freight & insurance charges declared.

Any misdeclaration of freight & insurance in order to claim higher drawback and subsequently resulting in less of revenue will be liable to be proceeded against under Customs Act, 1962.

- However, in cases where the freight paid is less than the one declared, no supplementary claim shall be entertained.

Sd/-
(S.P.S. PUNDIR)
Commissioner of Customs,
Export Promotion.


Attested


(A.K.CHAUDHARY)
Dy. Commissioner of Customs,
Drawback Department
MUMBAI