What is the validity of a Customs Broker License issued in India?

Customs Broker License is issued under the Customs Broker Licensing regulation to valid of 2018. Under regulation-9 it is said that a license will be valid for a period of 10 years. It further says that if the Customs broker is also an AEO or that is an Authorized Economic Operator, the validity of the license will automatically extend to the validity of the Authorized Economic Operator. It further states that at the end of the 10 year period, one month before the period ends it is mandatory for the Customs broker to apply to the Commissioner of Customs for renewal of License.

In case one delays the submissions of papers due to any genuine reason the Commissioner of Customs may take into account the reasons and waive the mandatory period of one month by imposing a penalty of ` 2000/- and after that the license would be renewed for another 10 years. The renewal fees presently is ` 15,000/- for every 10 years.

Custom broker license regulations and Eligibility

Anyone who acts as an importer-exporter agent for the use of the transaction business will be licensed with the National Customs Academy, Indirect Taxes and Narcotics (NACIN). To regulate the licensing of customs brokers, the Government of India introduced the Customs Brokers Licensing Regulations (CBLR, 2018). Rules have been issued as per Aadhaar Act 2016, Companies Act 2013, Finance Act 1994 and CBDT Act 2017.

Rules relating to any type of business relating to the import and export of goods, relating to the entry or departure of goods in any custom unit. Including audit. According to the rules, no person will trade as a customs broker unless licensed according to the rules. The following are the types of customs brokers that need to be licensed:

· The importer or exporter does business only through his account at the customs station

· Any authorized employee who does business on behalf of the company is issued a temporary pass or identity card by the Deputy Commissioner of Customs or Assistant Officers.

· An agent is hired for ancillary work to enter or clean one or more ships or aircraft.

· Any person, company, firm or organization

· Any applicant applying for a license to work as a customs broker must meet the following conditions:

· Must be a citizen of India

· Should not be ruled as bankrupt

· Must have valid Aadhaar and PAN card

· Should not be under Central Excise Act 1944, Finance Act 1994, CBDT Act 2017

· No one should be convicted of a felony or a pending case

· The applicant should have graduated from a recognized university

· Must have a professional degree in Management, Accounting, Finance, CA, CS, MBA, LLM, ACMA or FCMA

    However, if the applicant does not have a professional degree specified as an option, the person will have two years of experience in a customs broker transaction as a G-card holder. The applicant should have a certificate certifying financial viability issued by the principal commissioner of customs, customs or the designated bank.