Sections 108A-108B explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 108A makes a list of public bodies, banks, registrars and other record-holders furnish to the proper officer information that is considered relevant for the Customs Act. It gives a seven-day window to cure a defective return and a notice of up to thirty days for a default. Section 108B then allows a penalty of one hundred rupees for each day of continued failure. This article explains both as printed in the text on the CBIC portal updated to 30 March 2022.
Any person falling in one of the seventeen classes (a) to (q) of section 108A(1), and who is responsible for maintaining records or holding information considered relevant for the purposes of the Act, must furnish that information to the proper officer in the manner prescribed by rules. A defective return can be cured within seven days of the intimation (or longer if allowed). If a person still has not furnished it, the proper officer may serve a notice requiring it within a period not exceeding thirty days. If the person fails within that notice period, the officer may direct a penalty of one hundred rupees for each day the failure continues (section 108B).
The text consulted is the CBIC copy last updated on 30 March 2022 (the Act as amended up to the Finance Act, 2022). Later Finance Acts may have changed these sections, so check them before acting.
Where these sections fit
Sections 108A and 108B were inserted by sections 2 and 3 of the Taxation Laws (Amendment) Act, 2017 (18 of 2017), with effect from 1-7-2017, as the footnotes print. They follow the powers to examine and summon persons in sections 107 and 108 and are followed by sections 109 and 109A.
If your organisation holds records that may be asked for under these sections, or has received a notice, our legal consultation page explains how we can help.
Section 108A(1): who must furnish information
The obligation applies to any person, being one of the following.
| Clause | Person |
|---|---|
| (a) | A local authority or other public body or association |
| (b) | Any authority of the State Government responsible for the collection of value added tax, sales tax or any other tax relating to goods or services |
| (c) | An income-tax authority appointed under the Income-tax Act, 1961 |
| (d) | A banking company |
| (e) | A co-operative bank |
| (f) | A financial institution, or a non-banking financial company |
| (g) | A State Electricity Board, an electricity distribution or transmission licensee, or any other entity entrusted with such functions by the Central Government or State Government |
| (h) | The Registrar or Sub-Registrar appointed under the Registration Act, 1908 |
| (i) | A Registrar within the meaning of the Companies Act, 2013 |
| (j) | The registering authority empowered to register motor vehicles |
| (k) | The Collector referred to in the land acquisition law named in the clause |
| (l) | A recognised stock exchange |
| (m) | A depository |
| (n) | The Post Master General |
| (o) | The Director General of Foreign Trade |
| (p) | The General Manager of a Zonal Railway |
| (q) | An officer of the Reserve Bank of India |
Clauses (d), (e), (f), (k), (l), (m), (n), (o), (p) and (q) each tie the term to a named Act or clause in the text; the text consulted does not need to be expanded here and this article says nothing more about those other Acts.
The person must be one who is responsible for maintaining record of registration or statement of accounts or holding any other information under any of the Acts specified or under any other law for the time being in force, which is considered relevant for the purposes of this Act. Such a person shall furnish such information to the proper officer in such manner as may be prescribed by rules made under this Act.
Note that the obligation is on record-holders, and covers information under "any other law" too. The test of relevance is that the information is "considered relevant" for the purposes of the Act; the text does not say who considers or how.
Section 108A(2): defective information
Where the proper officer considers that the information furnished is defective, he may intimate the defect to the person and give him an opportunity of rectifying it within seven days from the date of intimation, or within such further period as the proper officer may allow on an application made in this behalf.
If the defect is not rectified within the seven days or the further period, then, notwithstanding anything in any other provision of the Act, the information is deemed as not furnished and the provisions of the Act shall apply.
| Step | Period |
|---|---|
| Proper officer intimates the defect | Date of intimation starts the clock |
| Person rectifies | Within seven days, or further period allowed on application |
| Not rectified | Information deemed not furnished |
Section 108A(3): notice for non-furnishing
Where a person required to furnish information has not furnished it within the time specified in sub-section (1) or sub-section (2), the proper officer may serve a notice requiring the person to furnish it within a period not exceeding thirty days from the date of service of the notice, and the person shall furnish it.
The text says "not exceeding thirty days": the notice may give a shorter period than thirty days. The text does not give a time specified in sub-section (1) other than the manner prescribed by rules.
Section 108B: penalty for failure
Section 108B says that where the person who is required to furnish information under section 108A fails to do so within the period specified in the notice issued under sub-section (3), the proper officer may direct the person to pay, by way of penalty, a sum of one hundred rupees for each day of the period during which the failure to furnish such information continues.
Points to notice:
- The penalty is discretionary ("may direct").
- It follows only a notice under section 108A(3) and the lapse of the period in that notice.
- It runs per day of continued failure, at the figure in the section.
- The text sets no ceiling on the total and no end date other than the end of the failure. This article adds none.
Example. A district registrar's office is asked to furnish certain registration records relevant for the purposes of the Act. The records furnished contain gaps. The proper officer intimates the defect, and the office has seven days to rectify. It does not. A notice then requires the information within a period not exceeding thirty days. The office still does not furnish it within the notice period. The proper officer may direct a penalty of one hundred rupees for each day the failure continues.
The rules that implement section 108A
The Customs (Furnishing of Information) Rules, 2017 were made under section 108A read with section 156 of the Act, as their own opening lines say. The copy consulted for this series is dated 14 December 2017 (that is the date of that file, not of the Act text). Its contents list covers the definition, the information to be furnished, and the format, periodicity and manner of furnishing information. This article does not set out any rule-wise detail.
Practical points for record-holders
- Check whether you are in a listed class. Clauses (a) to (q) are specific.
- Furnish in the prescribed manner. The manner is set by rules made under the Act.
- Act fast on a defect intimation. You have seven days, or more if allowed on application.
- Apply in writing for extra time if needed; the text allows a further period on an application.
- Treat a notice seriously. After a notice under sub-section (3), a daily penalty may follow on continued failure.
For businesses that are importers or exporters and are not themselves in the list, our customs compliance checklist for importers may help organise records.
Need help with an information notice?
If an organisation has received an intimation or a notice under section 108A, our team can help read it against the text and plan a response. See our legal consultation page.
Key takeaways
- Section 108A lists seventeen classes of record-holder, from clause (a) to (q), who must furnish relevant information to the proper officer in the manner prescribed.
- A defect can be cured within seven days of intimation, or within a further period allowed on application.
- If information is still not furnished, the proper officer may serve a notice requiring it within a period not exceeding thirty days.
- Under section 108B the proper officer may direct a penalty of one hundred rupees for each day of continued failure after the notice period.
- Later Finance Acts may have changed these sections; check before acting.
Read next
- Sections 107 and 108: examination of persons and summons
- Sections 109 and 109A: goods imported by land and controlled delivery
- Section 110: seizure of goods and the six-month notice rule
- Customs compliance checklist for importers
Disclaimer: Based on the Customs Act, 1962 as published on the CBIC Tax Information Portal, updated to 30 March 2022 (amended up to the Finance Act, 2022), as consulted on 2 October 2026. Finance Acts of 2023 and later, and the current rules, regulations and notifications, should be checked. This article is general information, not legal advice; check the official text before acting.