Bill of entry meaning
Bill of entry is a legal document that is filed by the importer or the customs clearance agent at the time of arrival of the imported goods. It’s sent to Customs as part of the customs clearance process. Importers can then claim ITC (Input Tax Credit) for the goods once this has been completed.
Bill of Entry: Working
A legal document must be filed by the importer or customs agent when goods are imported. A bill of entry is the legal document used for this purpose. A bill of entry must be submitted to the customs department as part of the clearance process.
Either a bond clearance bill of entry or a home use bill of entry can be issued. The importer can only claim the ITC after issuing the bill of entry. Both importers and sellers of goods in India who purchase goods from SEZs Special Economic Zone) issue this bill of entry.
Bill of entry format is fairly simple and includes some important information such as the port code and licence number, importer’s name and address, customs house agent code, importer’s export code (IEC), country of origin, country of consignment, port of shipment, vessel’s name, and other important information.
A customs officer examines the relevant goods after the bill of entry is filed, and after that, the importer must pay GST, IGST, and customs duties. GST and IGST are paid to clear the goods, and the importer can claim the ITC compensation process, but no customs duty.
IGST, GST, and customs duties paid by the importer will also be included in the bill of entry. As well as this, there will be two sections on the bill for the signatures of both the importer and the customs agent. It is only valid and verified once both parties have signed it.
