Subject : Amendment of Customs and Central Excise Duties Drawback Rules, 1995 to delegate powers to the Commissioners of Customs for conversion of Shipping Bills to Drawback S/ Bills – Reg.
Attention is invited to Ministry’s Budget Notification No. 32/98-Customs (NT) dated the 2nd June, 1998 (Copy enclosed)1 amending Rule 12(1)(a) of the Customs & Central Excise Duties Drawback Rules, 1995, with view to delegating powers of relaxation of this rule to Commissioners of Customs. Rule 12(1)(a) inter alia requires an exporter to make a declaration on the Shipping Bill that a claim for drawback is being made at the rate at which drawback would be admissible, and that the exporter has paid duties of Customs and Central Excise of which drawback is being claimed.Online GST Certification Course by TaxGuru & MSME- Click here to Join
2. Hitherto, representations for relaxation of Rule 12(1)(a) were being considered in the Ministry based on a factual report obtained from the concerned Customs House in terms of Ministry’s Circular No. 74/97-Cus. dt 30.12.97 issued vide F. No. 609/443/97-DBK.
3. These powers now stand delegated through the introduction of the new provisions viz. Proviso to Rule 12(1)(a). Hence all such cases in future may be disposed by the concerned Commissioner of Customs at the Customs House at which the Shipping Bill was filed for export. The commissioners, may on receipt of a written representation from the exporter ensure that the exercise of the power under the proviso is done as per the guidelines prescribed in Ministry’s Circular No. 74/97-Customs dated 30.12.1997 issued vide F. No. 609/443/97-DBK and that the drawback is otherwise admissible on merits.
4. Furthermore, where the exporter is required to file an application for brand rate of drawback, relaxation under Rule 12(1)(a) should not be granted unless the exporter has filed a brand rate application within relevant time limit with the Directorate of Drawback.
5. All pending representations, where the Ministry have called for factual reports in accordance with the guidelines under Circular No. 74/97-Customs dated 30.12.1997 and have not been furnished to the Ministry may please be disposed off by the Commissioners at their own and on merits and in accordance with the recommendations made in the factual report.
6. This Circular may be given wide publicity and suitable Public Notices/ Standing Orders for guidance of Trade/ staff may please be issued immediately.