Documentation is a key aspect of the export-import business. As export shipments are expected to go from one country to another, it requires a fair bit of documentation and regulations. The export consignments are expected to have official documents that include all the possible information about goods being shipped. A Bill of Entry is an example of one of the documents that are part of the process.
What is a Bill of Entry?
A Bill of Entry or BOE is a document that is filed by the clearing agents or the importer when the shipped goods reach the last port of destination. As per the customs clearance process, the BOE is provided to Customs from the exporter’s country.
The BOE can be issued from two stakeholders:
- Agencies that are importing goods from other countries
- Agencies that are expected to sell goods after buying them from an SEZ
Requirement of Bill of Entry
A Bill of Entry is a critical document that is required in the export-import process. Here are the reasons why a Bill of Entry is required:
- Provides the required information about the consignment to the importer to be further related to customs.
- Helps the Customs Department to verify the details shared by the exporter at the time of sending the shipment
- Works as a document to authenticate for the authorities to confirm that the consignment is not carrying any illegal goods
- Helps Customs to arrive at the amount of duty to be charged if any.
Various types of BOE
There are various types of Bills of Entry. These can be explained as follows:
Bill of Entry for House Consumption
This type of BOE is suitable for products that are bought by the importer for a specific business activity or self-consumption.
Bill of Entry for Warehousing
It is also known as the Bond Bill of Entry. It is primarily issued in cases when the importer does not want to settle the import duties when goods are being dispatched. As a result, the products are stored in a warehouse till the time the importer clears all dues with customs.
Bill of Entry for Ex-Bond Goods
This type of BOE is issued when an importer needs to release the goods from the warehouse and overrule the Bill of Entry for Warehousing.
Contents of Bill of Entry
The Bill of Entry usually has all details related to the goods being shipped. The key details that are part of the BOE are as follows:
- IEC details of Exporter and importer
- Details of the Importer/ CHA
- Details of the Exporter
- Destination Port of the shipment and Port Code
- Description and value of the goods like weight, quantity, dimensions, etc.
- Rate and value of import duty
Documents Needed for Bill of Entry
Apart from the information, the Bill of Entry is expected to carry relevant documents. These documents are dependent on the products being shipped. The key documents needed are as follows:
- Declaration from Importer or Customs handling agent
- Letter of credit or Bank draft
- Packing List
- Insurance documents
- Shipping invoice
- Bill of Lading
Process of Submitting and Filling BOE
Filling and submitting a BOE is an easy process. Here are the steps you can follow for the same:
- The shipment mode is to be confirmed by the importer or the customs clearing agent. In case the products are being sent using air transportation, the ACC Import Commissionerate will handle the process. In the case of a courier, the New Courier Terminal of the ACC Export Commissionerate (NCT) will handle the process.
- EDI (Electronic Data Exchange) is used by customs handling agents or importers to fill the BOE. The EDI service centres are used with the ICEGATE website. ICEGATE Portal has the BOE format.
- After the BOE has been processed by the Customs Department, the importer or customs handling agent will register the goods and settle the required duty on the ICEGATE website. The entire process is executed online.
- The Customs Department looks at all the submitted paperwork and arrives at the Out of Charge if any.
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1. Who issues the BOE?
BOE is issued by either exporter or importer.
2. When is a BOE filed?
A BOE is usually filed upon or before the goods reach the end destination.
3. How is BOE is different from a Bill of Lading?
BOE is based on the declaration from the importer or CHA. While the Bill of Lading is by a shipping line for goods shipment.