4.50

Payment of Customs Duty and Interest in case of bonafide default in EO

(a) Customs duty with interest as notified by DoR to be recovered from Authorisation holder on account of regularisation or enforcement of BG / LUT, shall be deposited by Authorisation holder in relevant Head of Account of Customs Revenue i.e., "Major Head 0037 - Customs and minor head 001-Import Duties" in prescribed T.R. Challan within 30 days of demand raised by Regional / Customs Authority and documentary evidence shall be produced to this effect to Regional Authority / Customs Authority immediately. Exporter can also make suo motu payment of customs duty and interest based on self/own calculation as per procedure laid down by DoR.

(b) Mode of payment: Following modes of payment are available:

(i) Payment in cash through TR Challan to Customs Authority.

(ii) Payment of customs duty through debit of valid duty credit scrips issued under Chapter 3 (excluding SHIS, SFIS and AIIS scrips) in terms of FTP (2009-14) or Chapter 3 of this FTP or post-export EPCG duty remission scheme scrip, in respect of goods which are permitted under the respective reward/duty remission scrip.

(c) Exporter shall obtain an endorsement from Customs authorities on the TR Challan 006 or on the back of the duty credit scrip(s) against which payment of customs duties have been accepted/debited and produce the same to RA along with duty calculation sheet at the time of regularization of their case.

(d) Regional Authority shall verify the quantity of excess import before redeeming the case. RA may direct licence holders to pay balance amount of customs duty after informing the reasons of the difference in the liability worked out by Authorisation holder and the calculations by Regional Authority. In such case, the balance amount of duty and interest, if any shall be paid by Authorisation holder within 30 days, for regularization of the matter.

(e) The interest shall be paid in cash through TR Challan 006 at the rate applicable on the date of payment of delayed duty amount to the Customs Authority.

(f) On receipt of said documentary evidence from Authorisation holder, Regional Authority shall redeem the case and inform details of recovery/ deposits made to the Customs Authority at the port of registration or the Commissioner of Central Excise having jurisdiction over the factory of the Authorisation holder, as the case may be.

(g) Payment of duty, interest and any dues for regularisation shall, however, be without prejudice to any other action that may be taken by Customs Authorities at any stage under Customs Act, 1962.