CBIC Notifies Customs Valuation Rules 2023
This is in line with the budget proposal which proposed amending section 14 of the Customs Act by levying additional obligations on the importer for a specific category of imported goods
The center has notified Customs (Assistance In Value Declaration Of Identified Imported Goods) Rules, 2023, which is a measure to reduce the undervaluation of certain imported goods. The rules will become effective as of February 11, 2023, as per a notification by the Central Board Of Indirect Taxes And Customs (CBIC). This is in line with the budget proposal which proposed amending section 14 of the Customs Act by levying additional obligations on the importer for a specific category of imported goods. They strongly belive that importers are evading duties by not declaring the treu value of their goods which results in lesser value to the government.
To simplify the process, two committees will be formed: one is the screening committee for the preliminary examination of ‘identified goods’ and one evaluation committee for a thorough examination. The list of items that will be selected by the committee will include the specified goods determined by the board, if it has reason to suspect that the goods’ value may not have been accurately or truthfully declared. A screening and evaluation committee will create a list of these goods and make recommendations. The concerned parties will need to identify the goods in order to declare their value using the Unique Quantity Code. Under The Customs Automated SystemImporters of identified goods will have to fulfill additional obligations and the assessment of goods may be subject to additional inspections. In If a violation is found, further proceedings will be brought under the Customs Valuation Rules 2007.
