(Updated in 2022) [As amended by G.S.R. 471(E), dt. 24/06/2022] [14th May, 2018] In exercise of the powers conferred by sub-section (2) of Section 146 of the Customs Act, 1962 (52 of 1962), and in supersession of the Customs Brokers Licensing Regulations, 2013, published vide number G.S.R. 395(E), dated the 21st June, 2013, except as respect things done or omitted to be done before such supersession, the Central Board of Indirect Taxes and Customs hereby makes the following regulations, namely:--

Read full Act

S.1 Short title, commencement and application.--

1. These regulations may be called the Customs Brokers Licensing Regulations, 2018.

2. They shall come into force on the date of publication in the Official Gazette.

3. These regulations shall apply to, a Customs Broker who has been licensed and such other persons who have been employed or engaged by a licensed Customs Broker under these regulations or the Customs House Agents Licensing Regulations, 1984 or the Customs House Agents Licensing Regulations, 2004 or the Customs Brokers Licensing Regulations, 2013.

4. Every license granted or renewed under these regulations shall be deemed to have been granted or renewed in favour of the licensee, and no license shall be sold or otherwise transferred.

S.2 Definitions.--

(1) In these regulations, unless the context otherwise requires,

(a) "Aadhaar number" means an identification number issued to an individual under sub-section (3) of Section 3 of the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016 (18 of 2016);

(b) "Act" means the Customs Act, 1962 (52 of 1962);

(c) "company" means a company as defined in the Companies Act, 2013 (18 of 2013);

(d) "Customs Broker" means a person licensed under these regulations to act as an agent on behalf of the importer or an exporter for purposes of transaction of any business relating to the entry or departure of conveyances or the import or export of goods at any Customs Station including audit;

(e) "firm", "firm name", "partner" and "partnership" shall have the same meanings respectively assigned to them in the Indian Partnership Act, 1932 (9 of 1932), but the expression "partner" shall also include any person who, being a minor, h

S.3 Customs Brokers to be licensed.--

No person shall carry on business as a Customs Broker relating to the entry or departure of a conveyance or the import or export of goods including work relating to audit at any Customs Station unless such person holds a license granted under these regulations:

Provided that no license under these regulations shall be required by--

(a) an importer or exporter transacting any business at a Customs Station solely on his own account;

(b) any employee of any person or a firm transacting business generally on behalf of such person or firm, and holding an identity card or a temporary pass issued by the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be; and

(c) an agent employed for one or more vessels or aircrafts in order solely to enter or clear such vessels or aircrafts for work incidental to his employment as such agent.

S.4 Invitation of application.--

(1) The ¹[National Academy of Customs, Indirect Taxes and Narcotics (NACIN)] shall in the month of

²[August] of every year invite applications for conducting examination and subsequent grant of license to act as Customs Broker in Form A by publication in two leading national daily newspapers in English and Hindi in addition to disseminating the information on the web portal:

³[Provided that in respect of the applications invited by the Directorate General of Performance Management (DGPM) in April, 2018, the online written examination shall be conducted by the National Academy of Customs, Indirect Taxes and Narcotics (NACIN) in the first quarter of the calendar year 2019.]

(2) The application for a license to act as a Customs Broker in a Customs Station in Form A along with a fee of five hundred rupees shall be made to the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, having jurisdiction over th

S.5 Conditions to be fulfilled by the applicants.--

(1) The applicant for a license to act as a Customs Broker in a Customs Station, shall before applying to the Principal Commissioner of Customs or Commissioner of Customs, meet the following conditions that:--

a. he is a citizen of India;

b. he is a person of sound mind;

c. he is not adjudicated as insolvent;

d. he holds an Aadhaar number;

e. he holds a valid PAN card;

f. he has not been penalised for any offence under the Act, the Central Excise Act, 1944 (1 of 1944), the Finance Act, 1994 (32 of 1994), the Central Goods and Services Act, 2017 (12 of 2017) and Integrated Goods and Services Tax Act, 2017 (13 of 2017);

g. he has neither been convicted by a competent court for an offence nor any criminal proceeding is pending against him in any court of law;

h. an individual applicant or in case the applicant is a firm, its partner or in the case of a company, its director or an authorised employee who may handle the Customs work

S.6 Examination of the applicant.--

(1) An applicant, who satisfies the requirements of Regulation 5, shall be required to appear for a written ¹[x x x x] as well as oral examination conducted by the ²[National Academy of Customs, Indirect Taxes and Narcotics (NACIN)]:

Provided that an applicant who has already passed the examination referred to in Regulation 9 of the Custom House Agents Licensing Regulation, 1984 or Regulation 8 of the Custom House Agents Licensing Regulation, 2004 or Regulation 6 of the Customs Brokers Licensing Regulations, 2013 shall not be required to appear for any further examination.

³[(2) The online written examination shall be conducted by the National Academy of Customs, Indirect Taxes and Narcotics (NACIN) in the first quarter of each calendar year for which intimation shall be sent individually to applicants in advance before the date of examination and the result of the said examination shall be declared preferably within one month of the da

S.7 Grant of License.--

(1) The applicant who has passed the written as well as oral examination shall make a payment of a fee of five thousand rupees within two months of the declaration of the results of the oral examination and inform the payment particulars to the Principal Commissioner or Commissioner of Customs referred to in sub-regulation (2) of Regulation 4 and the said Principal Commissioner or Commissioner shall, on verification of the payment particulars grant license to the applicant within one month of the payment of the said fee:

Provided that where the successful applicant fails to make the payment of the said fee within the stipulated period, the right to be granted a license to an applicant shall be forfeited.

(2) The applicant who has paid the fee referred to in sub-regulation (1) shall be granted a license by the Principal Commissioner or Commissioner of Customs, as below:

(a) n individual shall be granted the license in Form B1 if that individual has passed the exa

S.8 Execution of bond and furnishing of security.--

(1) Before granting the license under Regulation 7, the Principal Commissioner or Commissioner of Customs shall require the successful applicant to enter into a bond in Form D and where specified a surety bond in Form E for due observance of these regulations and furnish a bank guarantee, or a postal security or National Saving Certificate or a fixed deposit receipt issued by a nationalised bank, in the name of the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, for an amount of five lakhs rupees for carrying out the business as a Customs Broker.

(2) In cases where a postal security or National Saving Certificate or a fixed deposit receipt is furnished, the benefit of interest on the instrument shall accrue to the Customs Broker concerned.

S.9 Surrender of License.--

(1) A licensee may surrender the license granted under Customs House Agents Licensing Regulations, 1984, the Customs House Agents Licensing Regulations, 2004, the Customs Brokers Licensing Regulations, 2013 or the Customs Brokers Licensing Regulations, 2018 through a written request to the Principal Commissioner of Customs or Commissioner of Customs who has issued the license, as the case may be.

(2) On receipt of the request under sub-regulation (1), the Principal Commissioner of Customs or Commissioner of Customs may revoke the license if,--

(a) the licensee has paid all dues payable to the Central Government under the provisions of the Act, rules or regulations made thereunder; and

(b) no proceedings are pending against the licensee under the Act or the rules or regulations made thereunder.]

S.10 Period of validity of a license.--

(1) A license granted under Customs House Agents Licensing Regulations, 1984, the Customs House Agents Licensing Regulations, 2004, the Customs Brokers Licensing Regulations, 2013 or the Customs Brokers Licensing Regulations, 2018 shall be valid unless and until revoked in terms of provisions under sub-regulation (2) of Regulation 8-A or Regulation 14.

(2) Notwithstanding anything contained above, the license shall be deemed invalid, if the licensee is found to be inactive for a period of one year.

Explanation.-- The term 'inactive' refers to a Customs Broker who does not transact any business pertaining to Customs during a period of one year excluding the period for which a license has been suspended under Regulation 16.

(3) Subject to the provisions of Regulation 7, the Principal Commissioner of Customs or Commissioner of Customs may, on an application made by the licensee in Form I, after his license has been deemed invalid under sub-regulation (2), renew the

S.11 Obligations of Customs Broker.--

A Customs Broker shall--

(a) obtain an authorisation from each of the companies, firms or individuals by whom he is for the time being employed as a Customs Broker and produce such authorisation whenever required by the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be;

(b) transact business in the Customs Station either personally or through an authorised employee duly approved by the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be;

(c) not represent a client in any matter to which the Customs Broker, as a former employee of the Central Board of Indirect taxes and Customs gave personal consideration, or as to the facts of which he gained knowledge, while in Government service;

(d) advise his client to comply with the provisions of the Act, other allied Acts and the rules and regulations thereof, and in case of noncompliance, shall bring the matter to the notice of the Deputy Co

S.12 Change in constitution of any firm or a company.--

(1) In the case of any firm or a company, granted a license under these regulations, any change in the constitution which makes the holding of such license invalid in view of the conditions specified in clause (b) of sub-regulation (2) of Regulation 7 notwithstanding the continued engagement or employment of the person who has passed the examination referred to in Regulation 6, then such change shall be reported by such firm or company, as the case may be, to the Principal Commissioner or Commissioner of Customs forthwith, and any such firm or a company undergoing such change shall make a fresh application to the said Principal Commissioner or Commissioner of Customs within a period of sixty days from the date of such change for the grant of license under Regulation 7, and the Principal Commissioner or Commissioner of Customs may, if there is nothing adverse against such firm or company, as the case may be, grant a fresh license.

(2) The firm or company making an application

S.13 Change in the constitution of a concern.--

(1) Where a license granted or renewed under these regulations in favour of a person, not being a firm or a company, changes constitution of his concern to a firm or a company, such new firm or new company may, pending the grant of a license in accordance with these regulations, be permitted to act as Customs Broker through an employee duly qualified as per Regulation 6, with the approval of the Principal Commissioner of Customs or Commissioner of Customs, as the case may be.

(2) Notwithstanding anything contained in sub-regulation (1), where a license granted or renewed under these regulations in favour of a person which has ceased to be in force because of the death of that person, his legal heir, who is a major and a G card holder, referred to in sub-regulation (5) of Regulation 13, may be permitted to work as a Customs Broker with the approval of the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, and such legal heir shall be required to

S.14 Engagement or employment of persons.--

(1) A person who has qualified the examination referred to in Regulation 6 may engage himself in the work relating to the clearance of goods through customs on behalf of a firm or a company licensed under these regulations.

2. A Customs broker who has been issued a license under sub-regulation (2) of Regulation 7 shall be issued a photo-identity card in Form F by the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be:

Provided that in the case of the license issued under clause (b) of sub-regulation (2) of Regulation 7, the photo-identity card in Form F shall be issued to the person or persons who has actually passed the examination referred to in Regulation 6.

3. A Customs Broker may, having regard to the volume of business transacted by him, employ any number of persons other than an F card holder to assist him after verifying their antecedents and identity at the declared address by using reliable, independent, authentic d

S.15 Revocation of licence or imposition of penalty.--

The Principal Commissioner or Commissioner of Customs may, subject to the provisions of regulation 17, revoke the license of a Customs Broker and order for forfeiture of part or whole of security, on any of the following grounds, namely:--

(a) failure to comply with any of the conditions of the bond executed by him under regulation 8;

(b) failure to comply with any of the provisions of these regulations, within his jurisdiction or anywhere else;

(c) commits any misconduct, whether within his jurisdiction or anywhere else which in the opinion of the Principal Commissioner or Commissioner of Customs renders him unfit to transact any business in the Customs Station;

(d) adjudicated as an insolvent;

(e) of unsound mind; and

(f) convicted by a competent court for an offence involving moral turpitude or otherwise.

S.16 Prohibition.--

Notwithstanding anything contained in these regulations, the Principal Commissioner or Commissioner of Customs other than those referred to in Regulation 7 may prohibit any Customs Broker from working in one or more sections of the Customs Station, if he is satisfied that such Customs Broker has not fulfilled his obligations as laid down under Regulation 10 in relation to work in that section or sections:

Provided that the period for which any Customs Broker may be prohibited from transacting business in one or more of the Customs Stations shall not exceed one month from the date of such prohibition:

Provided further that where the license of the Customs broker is suspended as a consequence to prohibition, the time period specified in Regulation 16, shall be reckoned from the date of such suspension.

S.17 Suspension of license.--

(1) Notwithstanding anything contained in Regulation 14, the Principal Commissioner or Commissioner of Customs may, in appropriate cases where immediate action is necessary, suspend the license of a Customs Broker where an enquiry against such Customs Broker is pending or contemplated:

Provided that where the Principal Commissioner or Commissioner of Customs may deem fit for reasons to be recorded in writing, he may suspend the license for a specified number of Customs Stations.

(2) Where a license is suspended under sub-regulation (1), the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, shall, within fifteen days from the date of such suspension, give an opportunity of hearing to the Customs Broker whose license is suspended and may pass such order as he deems fit either revoking the suspension or continuing it, as the case may be, within fifteen days from the date of hearing granted to the Customs Broker:

Provided that in case

S.18 Procedure for revoking license or imposing penalty.--

(1) The Principal Commissioner or Commissioner of Customs shall issue a notice in writing to the Customs Broker within a period of ninety days from the date of receipt of an offence report, stating the grounds on which it is proposed to revoke the license or impose penalty requiring the said Customs Broker to submit within thirty days to the Deputy Commissioner of Customs or Assistant Commissioner of Customs nominated by him, a written statement of defense and also to specify in the said statement whether the Customs Broker desires to be heard in person by the said Deputy Commissioner of Customs or Assistant Commissioner of Customs.

(2) The Commissioner of Customs may, on receipt of the written statement from the Customs Broker, or where no such statement has been received within the time-limit specified in the notice referred to in sub-regulation (1), direct the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be, to inquire into the groun

S.19 Penalty.--

(1) The Principal Commissioner or Commissioner of Customs may impose penalty not exceeding fifty thousand rupees on a Customs Broker or F card holder who contravenes any provisions of these regulations or who fails to comply with any provision of these regulations.

(2) The Deputy Commissioner or an Assistant Commissioner of Customs may impose penalty not exceeding ten thousand rupees on a G card holder who contravenes any provisions of these regulations in connection with the proceedings against the Customs Broker.

(3) The imposition of penalty or any action taken under these regulations shall be without prejudice to the action that may be taken against the Customs Broker or F card holder or G card holder under the provisions of the Customs Act, 1962 (52 of 1962) or any other law for the time being in force.

S.20 Appeal.--

A Customs Broker or F card holder, who is aggrieved by any order passed by the Principal Commissioner of Customs or Commissioner of Customs, as the case may be, under Regulation 16 or Regulation 17, may prefer an appeal under Section 129-A of the Act to the Customs, Central Excise and Service Tax Appellate Tribunal established under sub-section (1) of Section 129 of the Act:

Provided that a G card holder aggrieved by any order passed by the Deputy Commissioner or Assistant Commissioner of Customs under these regulations may prefer an appeal under Section 128 of the Act to the Commissioner of Customs (Appeals) against the orders of the Deputy Commissioner or Assistant Commissioner of Customs, as the case may be, who shall proceed to decide the appeal expeditiously within two months of the filing of the appeal.

S.21 Membership of associations.--

¹[(l) Each Customs Broker shall enroll himself as a member of the Customs Brokers' Association at every jurisdiction he operates, if there is such an Association registered in the Customs Station, where the Customs Broker is operating and recognised by the Principal Commissioner of Customs or Commissioner of Customs, as the case may be.

(2) No Customs Broker shall enroll himself in more than one Association, at a given time, in a particular jurisdiction.]

(3) The Principal Commissioner of Customs or Commissioner of Customs, as the case may be, at any Customs Station, may recognise more than one Customs Broker association provided that the minimum number of members of each such association shall not be less than thirty per cent of the total licenses issued in Form Bl or Form B2 or intimation received in the Form C.

S.22 Power to relax.--

Where an applicant or a Customs Broker or NACIN makes a representation to the Board that he or it, as the case may be, is unable to comply with his or its duties or obligations within the time period as specified under any provision of these regulations, for the reasons beyond his or its control, but otherwise satisfy all other conditions, if any, as provided under such provision, the Board may, after consideration of the representation, and for reasons to be recorded in writing, allow a further time period for compliance of such duties or obligations.]

S.23

FORM A [See sub-regulation (2) of Regulation 4] Application Form for Grant of Customs Broker's License under Section 146 of the Customs Act, 1962 1. Name of the applicant:-- 2. Full address of the applicant:-- 3. Aadhaar Number:-- 4. Names, Permanent Account Numbers (PAN) and address of each of the partners of the firm or the directors of the company, as the case may be, in case the applicant is a firm or a company:-- 5. Name and Permanent Account Numbers (PAN) of its partner/partners or director/directors who will actually be engaged in the work as Customs Broker, in case the applicant is a firm or a company:-- 6. Educational qualification of each of the person S.24 S.26 FORM B-1 [See Regulation 7(2)(a)] License for Customs Broker (L-I) License No. .......................... Valid up to ........................... Shri/Shrimati.................................................address................................... is hereby authorised to transact business as Customs Broker all over India subject to the conditions laid down in this license. Specimen signature of the Customs Broker: ........................................................................ Customs Station of issue: Signature of the Principal Commissioner of Customs/Commissioner of Customs (with seal) FORM B-2 [See Regulation 7(2)(b)] License for Customs Broker (L-O) License No............................. Valid up to...................... M/s./Shri/Ms...................................................................address................................... is/are hereby authorised to transact business as Customs Broker all over India subject to the conditions laid down in this license. Further, in the case of firm or a company, the Customs Broker's work shall be transacted through one of the following persons:-- Name of person(s) Specimen Signature ( FORM C [See sub-regulation (3) of Regulation 7] Intimation by Customs Broker to work at another Customs Station 1. Name of the Customs Broker:-- 2. Aadhaar Number:-- 3. Permanent Account Number (PAN):-- 4. Full address of the Customs Broker:-- 5. Customs Broker License No. and Custom House of issue:-- 6. Name, Permanent Account Numbers (PAN) and address of each of the partners of the firm or the directors of the company, as the case may be, in case the applicant is a firm or a company:-- 7. Name(s) of its partner/partners or direct or/directors and Permanent Account Numbers (PAN) who will actually be engaged in the work as Customs B S.27 FORM D [See Regulation 8] BOND No. ................. of 20....... Know all men by these present that we are held and firmly bound to the President of India in the sum of Rs. ....................(....................) for payment whereof we hereby bind ourselves, and each of us bind himself and each of our heirs, executors and administrators firmly by these present dated this....................................day of.............................................in the year two thousand...................................... Whereas the said ............................................has been authorized to act as a Customs Broker under Section 146 of the Customs Act, 1962 (52 of 1962), and the said....................... S.28 FORM E [See Regulation 8] SURETY BOND No............of 20..... Know all men by these presents that we......................................................................... (A)................................. and.......................(B)..............................are held and firmly bound to the President of India in the sum of Rs. 5,00,000/- (Rupees Five Lakh) only for payment whereof we hereby bind ourselves and each of us binds himself and each of our heirs, executors and administrators firmly by these presents dated this day................................of .................................in the year two thousand and....................................... Whereas the said...............................(A S.29 FORM F [See sub-regulation (2) of Regulation 13] Identity Card Customs Broker Licence No. ....................... M/s./Shri/Ms.: Identity Card Designation (Proprietor, Partner, Director, Employee): Permanent Account Number (PAN): Aadhaar Number: Photo withsignature and seal of Deputy/ Assistant Commissioner of Customs Issued at: Valid up to: Name of the Customs Broker: Type of Customs Broker: (Proprietorship/Firm/Pv S.30 FORM G [See sub-regulation (5) of Regulation 13] Valid up to ..................... Identity Card   Photo with signature and seal of Deputy/ Assistant Commissioner of Customs Shri/Ms.....................................of..............................having been registered in the books of this office as an authorized employee of Shri/Sarvashri/Ms./M/s. ............................... of ................................. having been authorized by him/them to transact business at the...............................Custom House on his/their behalf is hereby permitted to do so S.31 FORM H [See sub-regulation (9) of Regulation 13] Valid upto.......................... IDENTITY-CUM-AUTHORITY CARD   Photo with signature and seal of Deputy/ Assistant Commissioner of Customs Shri/Ms...............................of .....................having been registered in the books of this office as employee of Shri/Sarvashri/Ms./..................... (Customs Broker License No............................) for assisting the Customs Broker or his authorized employee(s). This identity card is valid for a period of five years from the date of issuanc S.32 1[FORM I [See sub-regulation (3) of Regulation 9] Application by Customs Broker to renew license To, The Principal Commissioner/Commissioner of Customs, Address 1. Name of the Customs Broker:- 2. Full address of the Customs Broker:- 3. Customs Broker License No. and Custom House of issue:- 4. Has the applicant paid all dues payable to the Central Government under the provisions of the Customs Act, rules or regulations made thereunder (Yes/No) 5. Whether bond and furnishing of security executed under Regulation 8 is still active (Yes/No) 6.