Bonded warehouse

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 September 2015 DEAR SI,

1> PLEASE LET ME KNOW ABOUT PRIVATE BOUNDED WAREHOUSE (YELLOW BILL OF ENTRY OR GREEN BILL OF ENTRY)

2> WHAT IS THE DIFFERENCE BETWEEN REFUND CLAIM & REBATE CLAIM

3> WHAT IS THE TERMINAL EXCISE DUTY & WHAT IS THE PROCEDURE REFUND CLAIM TERMINAL EXCISE DUTY.

REGARDS,
MAHESH CHAUDHARY

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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12 September 2015 THE CUSTOMS ACT, 1962 (52 of 1962)
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SECTION 58. Licensing of private warehouses. – (1) At any warehousing station, the Assistant Commissioner of Customs or Deputy Commissioner of Customs may license private warehouses wherein dutiable goods imported by or on behalf of the licensee, or any other imported goods in respect of which facilities for deposit in a public warehouse are not available, may be deposited.

(2)The Assistant Commissioner of Customs or Deputy Commissioner of Customs may cancel a licence granted under sub-section (1) -
(a) by giving one month’s notice in writing to the licensee; or

(b) if the licensee has contravened any provision of this Act or the rules or regulations or committed breach of any of the conditions of thelicence :

Provided that before any licence is cancelled under clause (b), the licensee shall be given a reasonable opportunity of being heard.

(3) Pending an enquiry whether a licence granted under sub-section (1) should be cancelled under clause (b) of sub-section (2), the Assistant Commissioner of Customs or Deputy Commissioner of Customs may suspend the licence.

Yellow Bill of Entry is for warehousing. It is also termed as ‘into bond Bill of Entry’ as bond is executed. Duty is not paid and imported goods are transferred to warehouse where these are stored. Green Bill of Entry is for clearance from warehouse on payment of customs duty. It is for ex-bond clearance.

2.
Refund is some thing which can arise in the normal course of transactions. Like Excess payment of duty, paid duty where it was not required to be paid. Rebate is some thing which arises out of export transactions.(please refer the rule 18 and 19 of Central Excise rule)

3.TERMINAL EXCISE DUTY
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The Director General of Foreign Trade (DGFT) has issued a public notice no. 31 dated 21st November 2012, allowing recipient of goods also to claim refund of terminal excise duty (TED) against deemed export supplies on production of a disclaimer form from the supplier.
Explanation:-
Deemed Exports:-
Deemed Exports refer to those transactions in which goods supplied do not leave country, and payment for such supplies is received either in Indian rupees or in free foreign exchange.
Categories of Supply:
Following categories of supply of goods by main / subcontractors shall be regarded as “Deemed Exports”, provided goods are manufactured in India:

requirement / DFIA;

Supply of goods to EOU / STP / EHTP / BTP;

Supply of capital goods to EPCG Authorisation holders;

Supply of goods to projects financed by multilateral or bilateral Agencies / Funds as notified by Department of Economic Affairs (DEA), MoF under International Competitive Bidding (ICB) in accordance with procedures of those Agencies / Funds, where legal agreements provide for tender evaluation without including customs duty; Supply and installation of goods and equipment (single responsibility of turnkey contracts) to projects financed by multilateral or bilateral Agencies / Funds as notified by DEA, MoF under ICB, in accordance with procedures of those Agencies / Funds, which bids may have been invited and evaluated on the basis of Delivered Duty Paid (DDP) prices for goods manufactured abroad;

Supply of capital goods, including in unassembled / disassembled condition as well as plants, machinery, accessories, tools, dies and such goods which are used for installation purposes till stage of commercial production, and spares to extent of 10% of FOR value to fertilizer plants;

Supply of goods to any project or purpose in respect of which the MoF, by a notification, permits import of such goods at zero customs duty;

Supply of goods to power projects and refineries not covered in (f) above;

Supply of marine freight containers by 100% EOU (Domestic freight containers-manufacturers) provided said containers are exported out of India within 6 months or such further period as permitted by customs;

Supply to projects funded by UN Agencies; and

Supply of goods to nuclear power projects through competitive bidding as opposed to ICB.

TED application be filed in concerned Regional Licensing Authority of DGFT.

Ramesh verma