Levy of Custom Duty - Customs Act,1962, Indirect Tax Laws Video Lecture | Indirect Tax Laws - B Com

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so prints I believe that you had done
Chapter one unit number one well not
time to start unit number two in this
unit lots of sections are in world but
before I go as per the study material
I'll explain you all the sections which
are there in this part in my way and
then later on we will therefore the
material so you have to keep your copy
and pen ready and right now we don't
need a steady material just stick to
what I am doing okay so in this chapter
we are concerned with section 12 13 14
15 16 20 21 22 23 24 25 these many
sections we are going to cover so what
is missing is section 17 18 and 19 these
are not there in this chapter so first I
am going to explain you all these
sections in my way and then later on
will go through the module and once
again we will be doing so while doing it
itself we will be already revising it
okay for the purpose of customs what is
the taxable event taxable event is
import or export right so let me write
slowly taxable event
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so taxable even for the purpose of
customs this is import of goods or
export of goods right now
even before we go into the details of
the section we must understand what is
called import of what is called export
then the things will become more clearer
so import is a process input is a
process right so it is in multiple steps
number one origin of the goods
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is
outside India
what is India that we have already
discussed earlier right but here the
meaning will slightly change for this
purpose India extends up to 200 nautical
miles from the coastline for the purpose
of duty it is up to 12 nautical miles
that is Indian territorial waters but in
general this is up to 200 nautical miles
from coastline so India this extends up
to 200 nautical miles
from
baseline or you can say from the
coastline right so origin of the butcher
should be from a place beyond India
beyond 200 nautical miles number to
import begins then goods enter into
Indian territorial waters now this is as
per definition of our definition of the
word India in the act right so the
import begins so just entering in the
Indian Territory water that is not
import that is the beginning of import
so import begins the moment Goods enter
into Indian territorial waters okay
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number three import continues
until goods are under control of
custom authorities
so even goods have landed in India
import is not complete because after the
lending of goods there is a procedure
and after completing the procedure only
the importer will have a right to take
the goods out of the customs so that he
can make use of those words so until
that is completed goods continue to be
under the control of customs in the
process of import
continues number for import is complete
only when goods are removed
for
when goods are removed for hole
consumption
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when goods are removed for home
consumption so friends before I proceed
let me tell you once again that whatever
I am writing on the board you also keep
on writing simultaneously because I
don't keep the things to for a longer
period on the board lots of spaces
needed right so keep on writing
continuously okay so here import is
complete only when the goods are removed
for home consumption no removal for home
consumption this is a technical term
removal for home consumption means
technique it is technical so this is
removal all payment are applicable duty
they're not saying on payment of duty
basing on payment of applicable duty so
by chance if some article is already
fully exempt to no duties payable so
applicability is nil right so on when
the goods are removed on payment of
appropriate duty on applicable Duty then
it is said to be removal for home
consumption so there is a procedure for
removal of the would say bill of entry
is required to be filed under Section 46
then assessment of the votes is there as
per Section 17 or 18 including 19 then
the Duty is payable as per Section 47
and then the removal order is filed
under Section 47 itself alternative is
that the imported goods can be removed
for the purpose of warehousing and then
the when the goods are already lying in
the way route then an another below
contains file for the for removal for
home consumption that is covered under
Section 68 okay so here we are seeing
the import right so the import the first
point is the boots we should originate
from the place of outside India number
two import begins only when goods enter
into Indian territorial waters number
three the in code continue as long as
the goods are under the control of
custom authorities and number four
import is complete only when the only
when the goods have been removed for
home conserved
and removal for home consumption means
on payment of applicable duty now there
may be a situation when Goods never
enter into Indian Territory waters do
that brought from a place outside India
but those are used somewhere outside
Indian Territory waters and the external
limit that is up to 200 nautical mines
the question will be whether that is
also an import for the purpose of custom
or not right let me explain you through
the drawings I hope this is already
noted okay now let's say this is the
baseline right Indian Territory waters
is up to this point Indian custom water
is up to this point and then we have
this 200 nautical miles right so this is
12 this is another 12 this is 176 so in
total we have 200 nautical miles from
baseline this is baseline this is Indian
Territory water this is Indian custom
water this is free transit zone rather
exclusive Indian economic zone exclusive
Indian economic zone okay so as per the
definition of the word India if the
goods are coming from outside
and those enter into this area only then
the input begins my question is that
goods are brought from outside India
let's say somewhere here right and the
goods are being used here this is the
place where the goods are being used
right the question is whether Duty is
payable or not listen the word carefully
what's brought from outside India and
those are being used
which is outside Indian territory water
the question is whether it is also an
import answer is the yes
why reason is simple because this is a
free transit zone only for passing note
for any use there in right so this area
this is called free transit zone right
so this is only for transit it is free
not free for otherwise so if the words
are brought from outside India those are
used within this area at any time custom
duty will become payable they are on
also and if those are only passing no
duty right
but once boots entered into Indian
Territory water then all the provisions
the custom Act become applicable and
duty also gets attracted which Duty that
is what is applicable okay so this is
about import so I said import is a
process it begins only pro when the
goods are originating from a place
outside India goods enter into Indian
Territory waters as room where goods are
under the control of customer thority
the import process continues and import
is complete only when the goods are
removed for home consumption on payment
of applicable duty okay now just
opposite this export
no in case of export
for the purpose of customs
it begins then
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goods are brought
to
place of export export begins when the
boots are brought to the place of export
now place of export this you can keep in
inverted what is the meaning of place of
export so this is either custom port or
this may be custom airport or this may
be land custom station so there from the
boots will ultimately are sent outside
for the purpose of being delivered
abroad right so export means goods have
sent outside before being delivered
abroad so actually to the process right
so export begins when the goods are
brought to the place of export French
dis I am explaining from the point of
view of customs right earlier in the
excise part there was a there was a
different interpretation for when the
export begins for the purpose of excise
it begin when the boots are removed from
the factory but for the purpose of
customs export begins only when the
goods are brought to the place of export
right so if there is a confusion be very
clear that right now we are talking
about from the point of view of customs
so export begins only when the goods are
brought to the place of export now when
the goods appearing brought again there
is the process right again a bill of
export has to be filed under Section 15
then the export permission is granted by
the officer under Section 51 right and
then only goods are allowed to be loaded
on the vessel or aircraft not before
that
so again goods are under the control of
customs department right and even if the
goods have been loaded on the vessel or
on the aircraft on the vehicle but until
the water of India as per customs that
is indeed a little water is crossed the
goods are within India so here
like export continues export continues
as long as goods are willing Indian
territorial waters
I said who would say brought to the
place of export export documents file
permission was obtained from the officer
goods have been loaded on the vessel it
still the export is not complete because
the vessel is still within Indian
territorial waters even if the vessel
has departed from the port is still the
export is not complete as long as goods
are within Indian territorial water so
expert continues as long as goods are
within Indian territorial waters number
three export is complete only when
goods have crossed only when Goods have
crossed Indian territorial water right
now what I am writing that is most
important for being delivered abroad for
me
delivered abroad right so just crossing
the Indian Territory water itself is not
enough but the crossing should be for
the purpose of being delivered abroad if
woods are not crossing that ultimate
limit of India that is 200 nautical
miles right so then this purpose is not
satisfied then the export is not
complete so just crossing the Indian
territory water is not enough what is
more important is that the goods are
crossing the Indian territory with with
the object of being delivered abroad
right so again if I draw the same line
right so this is the base line this is
this line this is Indian territorial
waters this is Indian custom waters and
again we have this 200 nautical miles
limit so if the boots begin from here
and goods are brought to this area right
this this is India okay so starting from
any part in India going beyond the
Indian Territory but the object of 200
nautical mile is not satisfied goods are
not going to cross the 200 nautical my
goods are not going to be delivered
abroad this is not an export for key
frames so this is basic concept of what
is import what is export okay so this is
a very first thing for understanding the
custom law what is import what is export
right and the lot deals with goods only
what is good that is that is the topic
of detailed discussion sometime later
note in this chapter because this
chapter is not referring to all those
things right but I can give you a
reference what is the meaning of goods
what is the meaning of the word goods
for the purpose of customs so Goods
means baggage
number two stores
number three vessels aircraft vehicle
number four negotiable instruments
number five all other
moveables so this is the definition of
words for the purpose of customs okay as
far as the stores baggage vessels are
concerned we have specific provisions we
have specific provisions for this right
negotiable instrument we are not going
to refer again this is only for the
purpose of definition and all the goods
which do not fit within the category of
the first three then those are coming
under this and these are governed by
general provisions majority of the
provisions are general provisions so all
the goods
other than baggage stores vessel
aircraft vehicle those are governed by
general provision so this Act deals with
import and export of goods only right it
doesn't deal with person coming to India
person living and if it does not deal
with a person
it deals only with the goods okay so
goods means baggage the stores of vessel
aircraft vehicle number four negotiable
instruments number five all of that
movable so when it comes in the
particular chapter of the steady metal I
will explain you each and everything
again this is only for your reference so
this Act deals with the import and
export off you go to import means
bringing the woods from a place outside
India - India and export means from
sending the boots from India to a place
outside India for being delivered abroad
okay so this is the taxable event so
once you understand this then we can
move in that specific sections and
whatever is relevant I'll explain you
one by one okay not section 12 this is
the charging section for the purpose of
Act right now even before I explain you
this section there are three stages for
the tax
three stages first stage is Livi Livi is
equal to imposition so tax is imposed by
law and login can be made only if so
authorized by the US by the Constitution
and that we have already talked about
the constitutional authority of the
Customs Act so the central government is
already empowered by the Constitution to
levy the duty on import and export of
goods on which import and which export
we'll talk about in that set in the
separate chapter later on
you
you