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CMA Final · Indirect Tax Laws and Practice · Duty Drawback

Which of the following is a condition for drawback on re-export of duty-paid imported goods under Section 74(1)?

The goods must be identified to the satisfaction of the Assistant Commissioner or Deputy Commissioner of Customs as the goods which were imported. The section also requires entry for export within two years of duty payment, but contains no condition on mode of export or value.

  1. AThe goods must have been imported within the last six months
  2. BThe goods must be identified to the satisfaction of the Assistant Commissioner or Deputy Commissioner of Customs as the goods which were importedCorrect
  3. CThe goods must have been exported only by sea
  4. DThe goods must have a value above Rs 1,00,000

Explanation

Section 74(1)(a) requires identification to the satisfaction of the Assistant Commissioner or Deputy Commissioner of Customs as the goods which were imported. The other options impose time, mode or value conditions that the section does not contain, as exports as baggage or by post are also covered.

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