CBIC to integrate ICEGATE – GSTN so that TR-6 data can auto-update Bill of Entry: SOP Soon

The Central Board of Indirect Taxes and Customs (CBIC) may soon introduce a standard operating procedure (SOP) to help the importers claim Input Tax Credit (ITC) paid after goods are cleared. Sometimes importers underpay Integrated Goods and Services Tax (IGST) dues because of valuation differences, classification errors or other mismatches. These errors are usually discovered later during internal audits or by Customs officers, after which the importers are required to pay the remaining IGST using TR-6 challans. But the issue is that these importers are struggling to claim ITC on IGST paid after goods clearance.

As per existing regulations, only the initial IGST noted in the Bill of Entry (BoE) can be claimed as an ITC Claim. The additional IGST paid later through TR-6 challans does not get linked to the BoE. This stops the importers from claiming ITC on the remaining IGST, because changing the Bill of Entry takes too much time and paperwork. As per a government official, earlier, the Application Programming Interface (API), which is the digital link between the Customs department’s ICEGATE and the GST Network (GSTN), was not working out for these post-clearance payments. Due to this, the TR-6 data could not flow into GSTN to update the BoE.

Therefore, to solve this, the Central Board of Indirect Taxes and Customs (CBIC) is likely to issue a Standard Operating Procedure (SOP) soon. This SOP will guide GST officers and businesses on how to link TR-6 challan payments to the original Bill of Entry. The government is also working on connecting the API between ICEGATE and GSTN, so that TR-6 data will automatically update in the BoE. Once this system is in place, businesses will be able to claim ITC smoothly.

The government also plans to introduce a new web platform where importers can willingly report errors in customs declarations, pay the difference and even claim refunds online. This will be part of a new legal framework for post-clearance corrections, as announced in the Budget.