What Happens if I Fail to Comply with IGCR Timelines?

The IGCR Rules, 2017 are built on trust and compliance. Importers availing concessional duty must follow strict timelines for filing returns, utilizing goods, and reporting to Customs. Failure to comply can lead to serious consequences:

1. Suspension of IGCR Benefits:
   Customs may suspend the importer’s right to avail concessional duty for future imports until compliance is restored.
2. Demand of Duty:
   If goods are not used for the declared purpose within the prescribed time, Customs can demand payment of the differential duty along with interest.
3. Forfeiture of Bank Guarantee:
   The bond and bank guarantee executed at the time of registration may be invoked if timelines are violated.
4. Penalties:
   Non-compliance can attract penalties under the Customs Act, 1962, in addition to repayment of duty concessions.
5. Audit and Scrutiny:
   Importers who miss deadlines may face stricter Customs audits, leading to delays and additional documentation requirements.
6. Legal Consequences:
   Repeated or deliberate violations can lead to cancellation of IGCR registration and possible legal proceedings.

👉 In short: Delays or missed filings = loss of concession, duty repayment, penalties, and tighter scrutiny. Timely compliance is essential to continue enjoying the benefits of IGCR.

Learn more about IGCR at https://www.jparks.co/services/apply-for-igcr-clearance/