Background
Under the IGCR Rules, companies importing capital goods, raw materials, or components at concessional duty rates must comply with strict CBIC and ICEGATE regulations. This includes bond execution, BG submission, monthly return filings, and addendums—a process that can easily overwhelm importers.
At JPARKS INDIA, we simplify IGCR clearance for businesses by handling documentation, timely bond registration, and continuous compliance support.
Client Profiles
1. Industrial Importer (2023–24)
- Bond Executed: ₹2.1 Cr
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Bank Guarantees:
- ₹10.5 Lakh (Nov 2023)
- ₹4.5 Lakh (Jan 2024 addendum)
- ₹2.1 Cr (Jan 2024 addendum)
- ₹2.0 Cr (Feb 2024 addendum)
Outcome: All BGs were lodged and tracked seamlessly, ensuring uninterrupted imports.
2. Energy Sector Importer (2023–24 to 2024–25)
- Bond Executed: ₹2.1 Cr (March 2024)
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Addendums in FY 2024–25:
- ₹2.0 Cr (May 2024)
- ₹2.8 Cr (Oct 2024)
- ₹1.4 Cr (Nov 2024)
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Additional Parallel Bonds:
- ₹10 Lakh (May 2024)
- Addendums: ₹20 Lakh (June 2024), ₹28 Lakh (July 2024), ₹18 Lakh (Sept 2024)
Outcome: By splitting bonds across financial years and carefully managing addendums, the client maintained compliance while scaling imports.
Challenges Addressed
- Regulatory Complexity: Frequent addendums and strict six-month utilization deadlines.
- Financial Exposure: High-value bonds (up to ₹2.1 Cr) required precise BG structuring.
- Digital Transition: Migration to ICEGATE e-filing from September 2024.
JPARKS INDIA’s Role
- Guided clients through bond execution and addendum filings.
- Managed BG submissions and ensured they were proportionate to duty liability.
- Ensured monthly compliance filings (Form IGCR-3) to CBIC through ICEGATE.
- Provided end-to-end advisory, from registration to clearance, ensuring no penalties or forfeiture of concessions.
Results
- Zero Delays: All clients cleared consignments without duty disputes.
- Financial Security: Correct bond sizing reduced risk of over-blocking funds.
- Seamless Compliance: Monthly returns filed error-free, even during regulatory changes in 2024.
Client Impact
Both clients continued importing goods worth crores under concessional duty without compliance hurdles. By partnering with JPARKS INDIA, they gained:
- Time savings on complex filings
- Financial efficiency in BG allocations
- Peace of mind with proactive compliance tracking