Chapter-5 Arrangement for Post Clearance Audit

Chapter-5  Arrangement for Post Clearance Audit

26. Importers need to keep the documents safely :

The importers shall keep the following documents and papers relating to the import for the purpose of post clearance audit pursuant to Section 34 of the Act, for a period of Four years from the date of import:

(a) Import Declaration form, customs receipt, purchase document;
(b) Sales invoice and sales document
(c) Stock list with specific amount
(d) Banking transaction relating to import and sales of goods
(e) Balance Sheet and Profit and loss account and relating document
(f) If the transaction is done through computer system, such a system
(g) Any other documents relating to import, export and sale

27. Other provisions for post clearance audit :

(1) For the purpose of Sub-section (2) of Section 34 of the Act, in order to determine whether the transaction value of the goods as declared by the importer is realistic or not, the value may be determined through the application of the all or any of the methods as stipulated in Section 13 of the Act.

(2) For the purpose of Sub-section (2) of Section 34 of the Act, in order to determine whether the quantity of the goods as declared by the importer is correct or not, the quantity may be determined by physical verification of the stock.

(3) In order to determine the reality of the value as declared in the customs office at the time of import, the ledger of transaction may be checked from the sales of the product up to the retail level.

(4) In order to do post clearance audit, the customs officer or the Director General shall notify the concerned importer about the date and time of audit in advance, to the extent practicable.

28. Power to demand documents :

(1) The Director General or the customs Officer who conducts Post Clearance Auditor, may ask for the documents as required, for the purpose of auditing from the bank, financial institution, any person or institution relating to the importer’s business  transaction or goods regarding the payment, Bank deposit, profit and loss  account, tax returns, invoices, and other documents etc.

(2) It shall be the duty of the concerned bank, financial institution or other agencies to make available the documents as requested pursuant to Sub-rule (1).

(3) Department may frame and implement procedure to manage and simplify post clearance audit and the procedure so framed shall not contravene the provisions of the Act and these Rules.