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CS Executive · Tax Laws and Practice · Concept of Indirect Taxes at a Glance

Compare self-assessment under Section 59 of the CGST Act, 2017 with section 17 of the Customs Act, 1962. Which statement is correct as per the text of these provisions?

Under section 17 of the Customs Act, the importer or exporter self-assesses duty when entering goods, and the proper officer may verify and re-assess if the self-assessment is incorrect. Section 59 of the CGST Act only requires self-assessment and returns, with no re-assessment power.

  1. AUnder section 17 of the Customs Act the importer or exporter self-assesses duty on entering goods, and the proper officer may verify and re-assess if it is not done correctlyCorrect
  2. BUnder section 17 the proper officer assesses duty first and the importer merely pays it
  3. CUnder section 59 of the CGST Act the proper officer may re-assess by the same section
  4. DUnder section 17 the proper officer must examine every consignment before clearance

Explanation

Section 17(1) Customs makes the importer or exporter self-assess duty when entering goods; 17(2) lets the officer verify, with selection primarily on risk evaluation, and 17(4) allows re-assessment if self-assessment is incorrect. Section 59 CGST only imposes self-assessment and return filing. Verification is not mandatory for every consignment.

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