The Central Board of Indirect Taxes & Customs (CBIC) on January 7 has introduced a new initiative to offer its flagship “Liberalised Authorised Economic Operator Package” for micro, small and medium enterprises (MSMEs) for swift customs clearances.
In order to attract MSMEs to become Authorised Economic Operators (AEOs) and avail the various benefits, the CBIC has relaxed the compliance criteria provided the MSMEs have a valid certificate from their line-Ministry. The relaxed requirements allow MSMEs who have filed a minimum of 10 Customs clearance documents in one year and who have a clean compliance record over 2 years to apply for the scheme, the CBIC said in a press release
The documentary requirements have also been appreciably simplified. Another feature is that the CBIC commits to take a decision on an application for grant of AEO status within only 15 days from electronic submission of complete documents for AEO Tier 1.
Another important benefit available to specified AEOs is that their payment of Customs duty is deferred and need not to be paid before the clearance of the imported goods by Customs.
CBIC’s flagship ‘Liberalised MSME AEO Package’ scheme is a voluntary compliance programme which enables swifter Customs clearance for accredited stakeholders in the global supply chain namely importers, exporters, logistic service providers, custodians etc.