Background

• After introduction of GST, Government made necessary changes in format of Shipping Bill to incorporate details of tax invoice issued under GST law. Presently, Shipping Bill incorporates all major fields of tax invoice like GSTIN, Invoice number and date, IGST amount, IGST rate etc.

• In nascent stage of GST implementation, exporters were making multiple errors in feeding tax invoice data in Shipping Bill. As a result, IGST refunds were being held up since refunds were processed only after data in GST portal matches with ICEGATE.

• To address such errors, CBIC issued various Circulars wherein exporters were given an option to file concordance table (comprising of particulars of tax invoice and Shipping Bill). Basis this, customs officer corrected such mismatches between Shipping Bill and GST returns in ICEGATE portal to enable processing of refund.

Recent Notification and Circular

• Despite passage of time, mistakes were still being made by exporters in feeding tax invoice particulars in Shipping Bill. In this reference, Government has recently issued Circular No.5/2021–Customs dated February 17, 2021 wherein they have appointed an officer to overlook and handle such mismatches in invoice particulars (irrespective of date of filing of Shipping Bill) on payment of fee of Rs.1,000/-.

• To facilitate such levy, amendments have been made in the Levy of Fees (Customs Document) Regulations, 1970 enforced by the Levy of Fees (Customs Documents) Amendment Regulations, 2021 [Notification No.17/2021–Customs (NT) dated February 17, 2021]. Vide this amendment, Government has imposed fee of Rs.1,000/- per customs document (i.e. per Shipping Bill) for handling mismatch between Shipping Bill and GST returns in ICEGATE.

NITYA Comments: The proposed fee is equal to fee relating to amendment in other documents like Shipping Bill, bill of entry, import or export manifest etc. 

To avoid levy of fee, exporters can attempt to feed correct data in first go in Shipping Bills. 

Trust you will find the Insight useful. In case of any clarifications, please feel free to connect.

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