The Customs (Import of Goods at Concessional Rate of Duty) Rules, 2017 provides for the procedure to be followed for importing goods at a concessional rate of duty. Earlier, the importers were required to file all the forms under Customs IGCR Rules manually with customs authorities. The process of claiming the benefit of the concessional rate of duty has been made automatic from 1st March 2022 onwards. However, such a benefit was not available to the EOU due to the non-development of the system.
Vide Circular No. 11/2024-Customs dated 25th August 2024, the CBIC has clarified that automation of Customs IGCR Rules, 2022 shall be made available for EOU as well with effect from 01.09.2024.
1. Brief about Custom (Import of Goods at Concessional Rate of Duty) Rules, 2017
- Customs (Import of goods at Concessional Rate of Duty) Rules, 2017 (Customer IGCR Rules) allows the importer to import the goods at a concessional rate of customs duty subject to fulfillment of specified terms and conditions.
- To claim exemption, the importer is required to furnish certain information with the customs authority before import.
- EOUs are also required to comply with these rules to claim the benefit of exemption.
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2. Automation in Custom IGCR Rules, 2017
- Through Circular No. 04/2022-Custom dated 27th Feb 2022, the process of claiming benefit under Custom IGCR rules has been made automatic.
- The Rules prescribe the submission of the necessary details electronically, through the common portal.
- The Importer is required to follow the following procedure:
- The importer who intends to import goods at a concessional rate of duty shall give a one-time prior information of such goods being imported through a common portal.
- Upon acceptance of such information, a unique IGCR Identification Number (IIN) shall be generated and it shall be made available through a common portal to the jurisdictional customs officer as well as the officers at the respective port of import.
- The importer is required to furnish a one-time continuity bond to cover all the imports undertaken under this procedure.
- The importer shall mention the IIN and the continuity bond number and details while filing the bill of entry at the port of import. Based on the same, the Deputy Commissioner or Assistant Commissioner of Customs at the port of importation shall allow the benefit of exemption notification.
- Once a bill of entry is cleared for home consumption, the bond submitted by the importer gets debited automatically in the customs automated system. These details shall be available to the jurisdictional customs officer through the common portal.
- As per the circular issued in Feb 2022, The system architecture concerning EoUs is under development. The same shall be implemented in due course. Therefore, to date, EOUs are required to follow the old procedure for the import of goods instead of generating an IGCR Identification Number (IIN) in the system.
3. Automation of IGCR Rules for EOU
- As per Circular No. 11/2024-Customs dated 25th August 2024, Now, necessary developments have been completed on the System to allow clearances to EOUs under IGCR.
- Accordingly, all EOUs would be required to obtain an IGCR Identification Number (IIN) at the ICEGATE portal, and also register their IGCR bond for filing a bill of entry with IGCR benefit.
- Once this module is activated, the same process will be used for clearances from SEZ to EOUs, as well.
- Automation in the IGCR Rules, 2022 shall be made effect from 01.09.2024 for EOUs.
- Therefore, all EOUs may obtain an IGCR Identification Number (IIN) at the ICEGATE portal by registering immediately as the SEZ Unit.
