Customs Audit & Bonded Manufacturing scheme in Customs

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In the last few years, customs clearan ce has undergone a paradigm shift, from largely being focused on revenue collection, to greater impetus on trade facilitation and ease of doing business, without compromising on the revenue. Towards this aim of balancing the intricate requirement of trade facilitation as well as revenue protection, Onsite Post Clearan ce Audit (OSPCA) was introduced. Wherein compliance checks shifted from the clearan ce stage to the post clearan ce stage

One of the worst impacted sectors due to the pandemic has been the manufacturing sector.

Government has now announced the scheme of duty deferment and manufacturing in Customs Bonded Warehouses (CBWs), a WTO- complied scheme

Since last year, CBIC has been issuing new regulations, circulars and FAQs for more clarity under the said scheme

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• Benefits & Eligibility under the scheme
• Impact of supply chain/ distribution and other movement of goods
  • challenge in evaluating the point of taxability and the measure of the duty liability for movement at various intermediate stages
• Comparative study & benefit analysis with the existing schemes
• Duty fr ee import of Capital Goods and inputs
• Treatment in case of Transitional/ spill over aspects
  • Treatment of open Advance Authorisations & EPCG licenses. Both the scenarios where export obligations completed or pending to be completed;
  • Treatment in case of existing stock of raw materials and Work in Progress, which are duty paid;
  • Return of goods supplied prior to opting of the scheme;
  • Possibility of conversion of the existing licenses into the MOOWR scheme.
• Challenges faced by bonded warehouses
• Post clearan ce audit in customs
• Role of Customs Audit
• Preparation for Audit
• Transaction based audit (TBA) and premises based audit (PBA)
• Issues arising out of Audit

Princeton Academy Resource

https://princetonacademy.in/resources/

Foreign Trade Policy https://commerce.gov.in/