CUSTOMS 1. Legal provisions for recovery of arrears of ... - Taxmann

OFFICE OF THE CHIEF COMMISSIONER (TAR)
C.R. BUILDINGS: I P ESTATE: NEW DELHI
No.CC/TAR/53/2007 Dated: April 23,2008
Subject: Write off/abandonment of irrecoverable amount of arrears of revenue – reg.
The CBEC had instructed that any proposal for write off of the arrears of revenue may be sent to
Board only after completely following the directions/guidelines contained in the Board’s OM
dated 12.8.2004 circulated under F.No.296/34/2004-CX.9 (Pt.) dated 12.8.2004, that too in the
Performa already prescribed vide Board letter F.No. 290/4/85/CX-9 dated 23.3.1985.
2. The Board vide letter F.No. 296/34/2008-CX-9 dated 20.03.2008 has further advised that the
procedure step by step as are enclosed herewith (Annexure ‘A’) have to be followed with respect
to recovery of arrears which have become difficult to recover.
3. It is accordingly advised that any case for write off of revenue/penalty may be sent to the
Board after following the directions/guidelines enclosed herewith in proper proforma. It is
needless to repeat that only those matters wherein revenue involved is more than Rs.15 lakhs
would be referred to the Board for write off.
B.R. Tripathi
Commissioner (TAR)
GUIDELINES / PROCEDURE FOR WRITE OFF/ ABANDONMENT OF
IRRECOVERABLE AMOUNT OF ARREARS OF REVENUE
• Deducting such amounts from any money owing to the defaulter;
• Attachment and sale of excisable goods belonging to the defaulter
• If the goods belonging to a Central Excise defaulter are under the control of Customs
officers anywhere in the country (including Ports, ICSs, CFSs, Bonded Warehouses),
such officers would be required to recover the said amount by detaining and selling such
goods belonging to the defaulter.
• If the amount cannot be recovered by the aforesaid means, any movable or immovable
property belonging to or under the control of the defaulter will be detained under Section
142(1)(c ) read with Customs(Attachment of Property of Defaulters for Recovery of
Government Dues) Rules, 1995.
• If any dues are not paid within 30 days of the detention as above, the said property would
be sold in the prescribed manner.
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