Importers or customs clearing agents file a bill of entry on or before the arrival of imported goods, and it’s an instrument. As a part of the customs clearance process, it’s submitted to the Customs department. The importer is allowed to assert ITC on the things once this can be completed. The bill of entry is often used for either domestic or bond purposes. The bond number and date of issuance should be provided when it’s issued for bond clearance.

Who Should Issue A Bill Of Entry?

Bill of entry should be issued by:

  • Firms that import goods from other countries.
  • Businesses that buy commodities from SEZs and resell them in India.

Procedure

An authorized Customs officer will inspect the goods when the bill of entry is filed. The importer of goods must next clear the commodities by paying the basic customs duty, IGST, and GST compensation cess. The IGST and compensation cess are eligible for ITC, but not the basic customs duty.

A Bill Of Entry Is Written In The Following Format:

Here is an example of a bill of entry in the GST regime, based on the rules set forth by the government:

  • The port code and the license number are also important.
  • Importer’s name and address, as well as the customs house agent code and the Import Export Code (IEC). If the importer is a registered taxpayer, the address will be filled in automatically.

NOTE:

The IEC field is where most taxpayers will enter their GSTIN (or temporary GSTIN). They can utilize their PAN/UIN if they don’t have a regular or provisional GSTIN. The importer will be given an ITC for the IGST and compensating cess paid to clear the goods based on this. ITC, on the other hand, cannot be claimed on the basic customs charge paid on the products.

  • The name of the vessel, the port of shipment, the country of origin and its code, the country of consignment and its code (if different from the country of origin), and the date on which the bill of lading was issued are all required.
  • Details about the commodities and they are worth

Quantity And Packages

What Is Bill Of Entry?

  • Serial number, product description, and merchandise unit code
  • The total number of packages, likewise as their weight and volume
  • The goods’ description (details should lean separately for every class)
  • The exemption notification and therefore the year are included within the customs tariff headline.

Taxes On Imports

The nature of the code of conduct

  • The things have a measurable value. Additional charges, like landing and handling fees (if applicable), is listed here.
  • Customs tax is levied at a basic rate and for a basic amount.

Additional Duty

What Is Bill Of Entry?

  • Central Excise Tariff (CET) with reference to the exemption notification and year
  • Special Additional Duty (SAD) for Customs
  • Value, rate and total additional duty

IGST

  • GST code, IGST rate, and IGST amount
  • Compensation cess amount
  • Exemption notification for claiming exemption from IGST
  • Total amount of duty (assessable value plus custom duty and extra charges) in words, and total number of packages in words

Two Declaration And Signature Sections:

One for the Customs agent, and one for the importer.