Section 146 of The Customs Act,1962
1[146. Licence for customs brokers.--(1) 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 at any customs station unless such person holds a licence granted in this behalf in accordance with the regulations.
- (2)The Board may make regulations for the purpose of carrying out the provisions of this section and, in particular, such regulations may provide for--
- (a)the authority by which a licence may be granted under this section and the period of validity of such licence;
- (b)the form of the licence and the fees payable therefor;
- (c)the qualifications of persons who may apply for a licence and the qualifications of persons to be employed by a licensee to assist him in his work as a customs broker;
- (d)the manner of conducting the examination;
- (e)the restrictions and conditions (including the furnishing of security by the licensee) subject to which a licence may be granted;
- (f)the circumstances in which a licence may be suspended or revoked; and
- (g)the appeals, if any, against an order of suspension or revocation of a licence, and the period within which such appeal may be filed.]
Summary
- No person is allowed to work as a customs broker unless they have been granted a valid license under the official regulations.
- A license is mandatory for any business that helps clear the import or export of goods, or handles the arrival and departure of transport vessels, planes, or vehicles.
- The Central Board of Indirect Taxes and Customs is empowered to write the rules and regulations governing customs brokers.
- These rules specify the qualifications needed to get a license, the exams candidates must pass, the fees, and the security deposit required.
- The regulations also set the rules for how a license can be suspended or cancelled, and how a broker can appeal such decisions.
Practical examples
FAQ
1. Can I clear goods for others at a port without a license under Section 146 of the Customs Act?
No, under Section 146 of the Customs Act, 1962, you cannot carry on business as a customs broker unless you hold a license granted in accordance with the regulations.
2. Who has the authority to make rules for licensing customs brokers under Section 146 of the Customs Act?
Under Section 146 of the Customs Act, 1962, the Central Board has the power to make regulations for licensing, exams, and qualifications.
3. What happens if a customs broker violates the conditions of their license under Section 146 of the Customs Act?
Under Section 146 of the Customs Act, 1962, the license can be suspended or revoked in accordance with the circumstances specified in the board regulations.
Test yourself
Q1.Under Section 146 of the Customs Act, 1962, what is a person strictly prohibited from doing unless they hold a valid license?
Q2.Under Section 146 of the Customs Act, 1962, who is authorized to make regulations regarding the qualifications, exams, and fees for customs brokers?
Q3.Under Section 146 of the Customs Act, 1962, which of the following details may be specified in the regulations made by the Board?
Q4.Under Section 146 of the Customs Act, 1962, what is a licensed customs broker allowed to do that an unlicensed individual cannot do as a business?