APPLICABILITY OF PENALTY ON WAREHOUSED GOODS

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..... In case of warehoused goods kept in warehouse for a period longer than permissible (more than 5 years in this case as it is 100% EOU) interest u/s 61 (2) read with NN. 28/2002 is payable for the delay along with duty. My query is that whether penalty is also payable ? Whereas S. 59 (1) (c) provides for imposing penalty for violation of any provision of the custom act, does not clearance o .....

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..... f goods within the permissible time in terms of S. 61(1) even though paying interest u/s 61(2) amounts to Violation of Act ?? I understand that in terms of S. 61 if the importer do not removes the warehoused goods within the permissible / extended time period, such person can remove goods by paying interest on delay period along with duty but there should not be violation of the act as the e .....

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..... nabling proviso (2) of S. 61 provides for an option to hold the goods beyond the permissible period without triggering Violation Of Act. Please clarify the exact position. - Reply By Mahir S - The Reply = Rahulji, If the assessee has not filed an application for the extension of warehousing period before the expiration of the 5 years period, then department may after expiry of the period, is .....

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..... sue an order on its own for removal of such goods on payment of duty, interest and penalty. If application for extension period is made prior to expiration of 5 years period, then it appears no need for any penalty. - Reply By CS RAHUL AGARWAL - The Reply = Thank you Mihir Ji. Yes i agree with you this could be the position w.r.t imposing penalty. - Reply By Mahir S - The Reply = Yes Sir.. .....

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..... - APPLICABILITY OF PENALTY ON WAREHOUSED GOODS - Query Started By: - CS RAHUL AGARWAL Dated:- 6-2-2016 Customs - Import - Export - Customs - SEZ - Got 3 Replies - Customs - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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