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CMA Final · Indirect Tax Laws and Practice · Trade Facilitation Measures

Which of the following is NOT among the stated purposes for which the Board may act under section 143AA of the Customs Act, 1962?

Increasing the rate of customs duty is not a listed purpose. Section 143AA permits the Board to act to maintain transparency, expedite clearance, reduce transaction cost, and balance customs control with facilitation of legitimate trade, but it says nothing about raising duty rates.

  1. AMaintaining transparency in import and export documentation
  2. BExpediting clearance or release of goods entered for import or export
  3. CReducing the transaction cost of clearance of goods
  4. DIncreasing the rate of customs duty on selected goodsCorrect

Explanation

Section 143AA lists four purposes: transparency in documentation, expediting clearance or release, reducing transaction cost, and maintaining balance between customs control and facilitation of legitimate trade. Raising duty rates is not a facilitation purpose listed there.

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