FACELESS ASSESSMENT
Logistics Insider|February 2023
A Right step, but still a long way to EODB
PRAMOD SANT
FACELESS ASSESSMENT

Faceless Assessment by Customs is a classic example of a system made with good progressive intention, but which resulted in hardship and challenges to the industry during implementation and is yet to be streamlined.

As the name suggests, Faceless Assessment refers to the process of assessment without direct physical interaction of stakeholders with the help of technology, to result in speedy processing, standardization and exclude human biases. The faceless assessment was first introduced in 2019 for direct tax. Customs implemented Faceless Assessment as a progressive initiative and step to counter allegations of collusion of Officers, Customs Brokers, and importers.

It was expected that with reduced direct interaction, assessment would be uniform and will not be barred by subjective interpretation of laws, while also being free from any bias, and would get completed in a shorter period. However, despite various steps like implementing a pilot program, phase wise implementation, release of 80 pages of guidelines, FAQ and several dialogues and outreach programs, the challenges of Faceless Assessment are reduced but not eliminated, and neither does the industry see any benefits of it.

TURANT CUSTOMS

Ministry of Finance, CBIC via a circular 9/2019 dated 28.2.2019 introduced Turant Customs as next generation reforms consisting of three main pillars 1) Paperless Customs 2) Contactless customs, and 3) Faceless Customs. The Ministry aimed to achieve the following objectives:

● Achieve EODB ranking within top 50

● Use technology as a lever for faster clearance and release of goods 

● Uniform practice and transparency of decision 

● Avoid routine inter-phase and port shopping for favorable assessment 

● Reduction in transaction cost 

FACELESS ASSESSMENT - DIRECT TAX AND CUSTOMS

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