Concise Guide for CHALR Examination Marine Soft Tech

Concise Guide
For
CHALR Examination

Editor
J. Srinivasa Rao
Ex-Radio Officer, M.B.A (Shipping & Port Management), M.I.C.S. (U.K)

Designed & Intended By

Intended
B. Karimula Babu

Published by

Marine Soft Tech

Visakhapatnam

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 Concise Guide for CHALR Examination Marine Soft Tech

Purpose of this book

This book is a study guide which has been created for those individuals who are studying for the Rule-8 Examination.
We have compiled this guide in such a way that it is practical, current and valuable to both the candidates who want
to appear for the examinations and working professionals.

This Guide consists of three 3 Parts . Part-A introduces us to the Customs Act, 1962, the basics, Part-B is covered with
more than 500 important Questions and suggested Answers for the written examinations. These questions and answers
include answers for the all most all past examination papers, especially exams held between 1986 and 2004 ie for
about 25 years. This section also covers Question papers for the last 25 years and Questions and suggested answers
for the Rule-8 Examinations held from 2004 to 2010. Part-C covers objective type, more than 1000 question & answers,
ideally prepared for the Rule-8 Oral Examinations and also useful for the G-Card Examinations.

We sincerely suggest the candidates to be thorough with the Customs bear act. and the rest will be taken care by this
guide. This guide will not only make you clear the examinations but also improves your breadth and depth of knowledge
in Customs to excel within the Shipping Fraternity and enhance your skills.

This Guide, the CHA examination preparation material offered by Marine Soft Tech is very comprehensive and covers
all exam questions that need to be covered to pass the CHA exam. Professionals and experts at Marine Soft Tech are
dedicated and they have prepared exam study Guide with great effort. It gives you powerful material that will prepare
you for the day of exam and it will help you to enhance your skills and knowledge.

We guarantee your success in CHA exams and we assure you that you will be successful CHA by preparing from study
guide, because here we provide your complete study solutions. Our update, accurate information, will guide you along
the path of success.

At Marine Soft Tech we are always striving to provide you the unique study tips that lead you ultimately to success.

Terms to use:

The contents of this book including all information, text, graphics, images and other material are for general educational
purposes only and are not intended to be used for official usage. The author and publisher have tried their best to
provide authentic information based on the available material from vairous sources only for education purposes. We
do not endorse any statements or opinions made in the Materials nor determine the truthfulness, accuracy, reliability,
currency or completeness thereof. We do not take any responsibility for the Materials nor will be responsible for any
damages to users of this book, however caused. Use of this book or Materials and any reliance on the Materials will be
at your own risk.

While the advice given in this book has been developed using the best information currently available, it is intended
purely as guidance to be used at the user’s own risk. No responsibility is accepted by the author or publisher or by any
person, firm corporation or organization (who or which has been in way concerned with the furnishing of information
or data, the compilation or any translation, publishing, supply or sale of the book) for the accuracy of any information
or advice given in the document or any omission from the document or for any consequence whatsoever resulting
directly or indirectly from compliance with or adoption of guidance contained in the book even if caused by a failure to
exercise reasonable care.

Copy Right

All rights reserved. No part of this publication material protected by this copy right notice may be reproduced in any form or
by any means, electronic, mechanical, photocopying, recording, or any other information storage retrieval storage retrieval
system of any nature without permission in writing from the publisher and copyright owner.

Disclaimer

This book is published for guidance only and should not be construed as a legal document or official publication. Editor and Publisher
make every effort to ensure that the contents are correct. Due care and diligence has been taken while preparing, editing and printing
this book, neither the Editor nor the Publisher of this book be held responsible or liable in any manner for any inaccuracies, errors or
omissions relating to the contents in this book. We shall not be liable to any person or organization for any loss, damage or expense
caused by reliance on the information or advice in this book or as an effect thereof. Users are advised by the Publisher of this book to
make appropriate and adequate enquiries before making financial commitments with specific regard to contents in this book. While
every care has been taken in publishing and printing of this Book, the Author, Publisher and printer are not responsible for any mistake,
omission or misprint.

Price: Rs. 1,400/-

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 Concise Guide for CHALR Examination Marine Soft Tech
Preface
This book provides crucial information and explains in a lucid, professional manner the basic elements
of the Customs Act. It also plays an important role in developing knowledge in Customs Rules and
Regulations, especially to improve knowledge the candidates who seek to make excellent career in
Clearing & Forwarding sector. Though the regulation examinations are very critical to clear, the book
is designed in a such way that one can easily understand the Act, Rules and Regulations of Customs.

As we all know that through reading and clear understanding of the Customs Act, 1962 is fundamental
to pass through the regulation examinations. The rules are complex. This book highlights the relevant
Sections and Rules contained in the Customs Act.

To study outlines the various tools, such as Questions and Answers and suggested answers for the
past examination papers which are at the disposal of the Candidates wishing to improve their knowledge.

We believe it is essential that a qualified CHA has a thorough knowledge of certain profession specific
subjects plus a sufficient knowledge of the Act, Rules, Regulations etc., so that they can communicate
with a specialist professional. This results in less confusion, misunderstanding and hopefully less
contractual risk. Professionally qualified personnel are consequently ideally placed to undertake the
key executive roles in the shipping service sector.

This timely book makes an effort to peel back some the complexities, and helps developing knowledge
and may assist them in their efforts to grow their career though EXIM trade.

The true value of this book is only gained if the candidate reads the entire book thoroughly.

Though I faced innumerable odds during compilation of this compendium, I did not give up and I
sincerely hope that you will receive it very warmly as a tool to help you in passing regulation
examinations by aiding you in serving as a ready reckoner of data on the Customs Act, Rules and
Regulations.

To acknowledge a debt is not to pay it, but merely to admit you owe it. It this context, I owe so much
to the people who provided valuable support for this venture. Some participated actively; others
helped to lay a foundation over the years. I have been fortunate in my career, having the opportunity
to work with some successful and wise superiors and colleagues.

I sincerely express my thanks to Mr. K.V.Sagar, Mr. K.Venugopal, Ms. V. Gayatri, Ms. Asha, Mr.
Ananth, Ms. P.Latha, Mrs. Hemalatha, Mrs. Lalitha, Mr. Manoj Sharma, Mr.Vicky Chand, Mr.
Dharmarao, Mr. Das, Mr. Dinesh and Mr. Appa Rao for their able assistance in bringing out this
book. With out their enthusiastic support, it would not have been possible for me to complete this
project. I am very much thankful to each of them.

I would like to acknowledge with grateful thanks the generous secretarial help of my Colleagues and
Friends. They all have provided me with encouragement, forbearance and above all, complete
professionalism to enable this enlarged and enriched book to be possible, for which I am greatly
indebted.

Finally, I would like to acknowledge with grateful thanks the generous help of Shri. G.J. Prasad Garu
who has provided me with encouragement forbearance and, above all, complete professionalism to
enable this enlarged and enriched first Edition to be possible, for which I am greatly indebted.

With Kind Regards,

Srinivas.

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Concise Guide for CHALR Examination Marine Soft Tech

S.C. Choudhury, I.R.S.,

Former Commissioner of Customs,
Custom House, Visakhapatnam, and
Director Customs, CBEC

S.C. Choudhury, I.R.S.,

Foreword

The Customs Act is like a veritable Bhagavad-Gita every time you

read a Section, you were likely to get a new meaning out of it. The
procedures are evolving on a day to day basis keeping pace with the
changing trade patterns and need of importing and exporting community.
It is therefore very difficult for a new comer who understands the Act and
gets a grip on the procedures. This compilation by Sri Srinivasa Rao
would be of immense help to the aspirants of CHALR Examinations.
Especially the Question Bank and the Examination papers will be very
useful to the applicants.

Many concepts are clarified in a very lucid language. The book would
also be very useful to new officers joining the departments who are yet to
get clear concepts. I specially commend this book to young Preventive
Officers, Examiners and Appraisers.

I am sure the readers of this Book would benefit immensely from

this.

(S.C.Choudhury)

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 Concise Guide for CHALR Examination Marine Soft Tech
TA B L E O F C O N T E N T S

Part – A : Customs Act Page No.

a. Introduction to Customs Act ........................................................ 8 - 25

b. Extracts of the Customs Act,1962 ................................................ 26 - 44

c. Abbreviations & Definitions .......................................................... 45 - 56

d. The Customs Act in Nutshell
1. Basic Concepts & Definitions ............................................ 57 - 58
2. Types of Customs Duties .................................................. 59 - 64
3. Excemptio of Duty on Pilfered Goods Sec. 13 ..................... 65
4. Valuation of Goods: Sec 14 ............................................... 66 - 74
5. Relevant Date Sec. 15 & 16 ............................................. 75
6. Provisional Assessment of duty Sec. 18 ............................. 76
7. Re-Importation of goods Sec. 20 ....................................... 76
8. Differences among sec. 13, 22 and 23 ............................... 77
9. Power to grant exemption from duty Sec. 25 ..................... 77 - 78
10. Notice for payment of duties, interest etc. Sec. 28 ............... 78
11. Import Procedure & Export Procedure ............................... 79 - 82
12. Transit & Transshipment of Goods Sec. 52 to 56 ................ 83 - 84
13 Warehousing of Imported Goods Sec. 57 to 73................... 85 - 86
14. Baggage Sec. 77 to 81 ....................................................... 87
15. Safeguard & Anti Dumping Duty ....................................... 88
e. Export Promotion Councils .......................................................... 89 - 103

Part – B : Question Bank for CHALR Written Examination

1) List of Questions - Questions & Suggested Answers for CHALR

Written Examination..................................................................... 105 - 369

2) Questions & Suggested Answers for the past CHALR Examination

from 2004 to 2010. ...................................................................... 370 - 494

3) Past Question Papers for the last 25 years .................................... 495 - 548

Part – C : Question Bank for CHALR Oral Examination.

1) Questions – Multiple Choice .................................................................. 550 - 573

2) Questions – True or False ...................................................................... 574 - 587

3) Questions – Fill in the Blanks ................................................................ 588- 596

4) Questions – Short .................................................................................. 597 - 602

5) Key for the above Objective type Questions ............................................. 603- 624