Para 8.9 — CAM
Original Rule Text
8.9 SETTLEMENT OF DEBITS RELATING TO CUSTOMS DUTY ETC.
8.9.1 The procedure for the realisation of customs duty on goods imported by the various Governments/Departments has been laid down by the Department of Revenue.
8.9.2 Under this procedure, there will be no book transfers and the Department importing goods shall pay the customs duty by cheque, drawn in favour of the Chief Accounts Officer of the Customs House concerned or through e-payment.
8.9.3 Customs duty on foreign post, parcels and mail will continue to be collected by the Postal Department through authorised mode. The Customs Officers in Foreign Post Offices will do this after assessment of duty payable. A monthly statement of such assessed and collected duty will be prepared by the Foreign Post Office concerned, and send in duplicate to the Customs Officer in charge of the Foreign Post Office. The Customs Officer shall return one copy to the Post Office after checking/verification, and send the duplicate copy to the PAO concerned. The Pay and Accounts Officer will watch receipt of the amount from the Director of Accounts (Postal), Nagpur. (Authority: Para 22.1 and 22.2 of Scheme for Collection of Revenue and Payment of Refunds etc. in the Central Board of Indirect Taxes and Customs.)
What This Means
This paragraph describes how customs duty on imported goods is settled between government departments. Instead of internal book transfers, the importing department must pay customs duty by cheque drawn in favor of the Chief Accounts Officer of the Customs House concerned, or through e-payment. For customs duty on foreign postal parcels and mail articles, the Department of Posts deducts the duty from the recipient and remits it through a prescribed procedure. This ensures that customs revenue is properly collected and accounted for even when the importer is another government department.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1No book transfers for customs duty — payment must be by cheque or e-payment
- 2Cheque drawn in favor of Chief Accounts Officer of the Customs House
- 3Department of Posts handles customs duty on foreign postal parcels separately
- 4Ensures proper collection of customs revenue from government importers
- 5Procedure is prescribed by the Department of Revenue
Practical Example
The Ministry of Defence imports specialized equipment from Germany. When the shipment arrives at Mumbai Customs, the Defence Ministry's PAO issues a cheque for the customs duty amount in favor of the Chief Accounts Officer, Mumbai Customs House. The Customs House credits the duty to the customs revenue head. No internal book adjustment is used — the payment flows as if the importer were a private party.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why can't customs duty be settled through internal book transfers between departments?▼
How is customs duty on international parcels handled?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.