All export-oriented industries can release their products sent back by the buyers and re-export those without paying duty-taxes on certain conditions.
The exporters have to follow six-point dos issued by the National Board of Revenue (NBR), including re-export of the returned products within six months of their release.
Exporters who do not enjoy bonded-warehouse facility have to pay duty and taxes on temporary admission of returned products.
With the issuance of the recent order, dated March 16, by customs (export and bond) division, all of the exporters will be able to release the returned products and re-export those without needing to pay duties and taxes.
However, they have to give unconditional and sustained bank guarantee, equivalent to customs duty (except Advance Income Tax), prior to the release of the products.
Exporters have to complete the re-export of returned products within six months of their release. In case of failure in re-export within the given timeframe customs authority will encash the submitted bank guarantee for collecting due duty-taxes and take punitive action as per law.
For re-export, the returned products should go through intensive and 100 per cent physical examination under direct supervision of at least an assistant commissioner-level officer to verify volume, weight and description of the product consignments.
Exporters have to submit no-objection certificate obtained from the office of the chief controller of import and export, Bangladesh Bank (BB), copies of export order having validity of shipment or new (attested by the lien bank) to the customs authority at the time of re-export and release of products.
Customs officials said 100 per cent export-oriented industries are enjoying bonded-warehouse facility and they can release-re-export products smoothly.
There are a number of entrepreneurs who both export their products and sell on the local market. They do not enjoy bonded- warehouse facility. When their products are sent back buyers, they have to pay customs duty as per law at the time of release of the products.
Officials said the customs law has the provision to check duty-evasion through sale of the returned products on the local market.
But, the volume of rebounded products, especially in readymade garment sector, has been increasing gradually, causing concern among local general exporters over what they call tricky customs law.
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