Clarification regarding circular no.10/2012-customs

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Davindar Singh (Querist)
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29 December 2012 Dear Sir,

I need a clarification regarding Refund of 4% SAD scheme in reference to Circular No.10/2012-Customs dated 29.03.2012 wherein as per para 4 it is mentioned that

“Board also reiterates Para 8 of Board’s Circular No. 27/2010-Customs, dated 13-08-2010 wherein it was mentioned that in the interest of ensuring expeditious grant of refund of 4% SAD, the importers may be advised to make the initial payment of 4% CVD in cash.”

DGFT has also informed that no re-crediting shall be done if such payment is made by means of scrips. In other words, in future exporters should pay SAD component in cash if they want a refund.”

Please clarify whether said SAD component only can be paid in cash and rest through scrip or we have to pay all the duties i.e. BCD, CVD & SAD in cash to get the SAD refund.

Because we were paying custom duties through scrip as per said circular it is clearly mentioned that “NO re-crediting of SAD shall be done if such payment is made by means of scrip.”

Thanks & regards,

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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29 December 2012 davinder ji,

supersede this old notifcation and public in this case it is updation :

Circular No.10/2012-Customs

F.No.401/16/2012-Cus.III

Government of India

Ministry of Finance

Department of Revenue

Central Board of Excise and Customs

North Block, Room No. 253-A,

New Delhi, the 29th March 2012.

To,

All Chief Commissioners of Customs/Customs (Prev.),

All Chief Commissioners of Customs & Central Excise,

All Commissioners of Customs/Customs (Prev.),

All Commissioners of Customs & Central Excise.

Subject:- Refund of 4% CVD (SAD)-Extension of time upto 30th June 2012, for using re-credited 4% CVD (SAD) amount in DEPB-Regarding.

Sir / Madam,

Your kind attention is invited to the Circular No.02/2012-Customs, dated 16-02-2012, regarding procedure on refund of 4% CVD (SAD). The above Circular provides the facility of manual filing of Bill of Entry for utilizing the amount of re-credited 4% CVD refunds (SAD) for payment of duty in case of re-credited DEPB/ Reward Scheme scrips upto 31-03-2012.

2. The matter has been examined in consultation with Director General of Foreign Trade (DGFT) and it has been decided to extend time limit for using re-credited DEPB scrips/ Reward Scheme scrips in case of 4% CVD (SAD) upto 30-06-2012.

3. Board also directs all Chief Commissioner of Customs to ensure that all pending application for refund of 4% SAD paid through DEPB/reward scrips are disposed of by 30-04-2012. The Chief Commissioner may constitute a special team to liquidate these refund claims. The report in this regard should be sent to Board by 04-05-2012.

4. Board also reiterates Para 8 of Board’s Circular No. 27/2010-Customs, dated 13-08-2010 wherein it was mentioned that in the interest of ensuring expeditious grant of refund of 4% SAD, the importers may be advised to make the initial payment of 4% CVD in cash. DGFT has also informed that no re-crediting shall be done if such payment is made by means of scrips. In other words, in future exporters should pay SAD component in cash if they want a refund.

5. A suitable Public Notice and Standing Order may be issued for the guidance of the trade and staff.

Yours faithfully,

(Vikas)

Under Secretary (Customs-III/VI)

Davindar Singh

Davindar Singh (Querist)
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29 December 2012 Dear Sir,

Thanks for your reply but please clarify in layman language whether only SAD component can be paid in cash and rest duties through scrips

or not

Or we have to pay 100% custom duties through cash to get the SAD refund.

Thanks & regards,

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RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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03 January 2013 eminent expert please take part and guide dear author....

Davindar Singh

Davindar Singh (Querist)
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03 January 2013 Dear Sir,

Waiting for comments / guidance of eminent expert.