CBIC introduces payment aggregator facility on ICEGATE for customs duty

In a move that is expected to help ease payments of customs duties and enhance ease of doing business, the government has introduced the payment aggregator facility on the ICEGATE portal.

To this effect, the Central Board of Indirect Taxes and Customs has enabled payment aggregator as an authorised mode that will facilitate customs duty payment through a variety of digital means. This will enable credit or debit card or Unified Payment Interface for the first time as well as Internet banking through the payment aggregator mode that will allow payments through 41 banks instead of the 23 live banks that are directly integrated.

“This payment aggregator option will complement the existing payment modes such as Internet Banking through authorised banker mode and NEFT/RTGS payment through RBI,” the CBIC said in a recent circular, adding that as available in the other authorised modes, the payment aggregator mode also allows importers to make transaction-wise payments in the platform, wherein the systems shall route the payment instantaneously through Electronic Cash Ledger before accounting for duty payment.

The CBIC had introduced Electronic Cash Ledger in April 2023 for seamless integration with the banks and introduction of deposits for subsequent duty payments. It extended this to courier shipments in March 2024.

Experts welcomed the move and said the availability of multiple means of digital payments is in line with current payment trends and preferences.

Manoj Mishra, Partner and Tax Controversy Management Leader, Grant Thornton Bharat said the availability of multiple digital payment options such as credit and debit cards, UPI, and net banking will help reduce reliance on limited banking channels and provide greater flexibility, speed, and convenience to importers. “This is expected to reduce delays, streamline payment processes, and improve the overall user experience on the ICEGATE platform,” he said.

Ikesh Nagpal, Lead-Indirect Tax, AKM Global pointed out that ICEGATE essentially functions as the digital backbone of Indian customs. It is the interface through which importers and exporters file documents, track clearances, and discharge duty payments. “While the system has evolved significantly over the time, the payment mechanism remained largely anchored to a limited set of authorised banks and conventional channels such as net banking and NEFT/RTGS,” he pointed out, noting that from a trade perspective, the impact is quite tangible.

“It brings in greater flexibility and speed, particularly in time-sensitive clearance situations, by reducing dependence on a limited set of banks. More importantly, the introduction of UPI is significant enabler being simple, widely accessible, and typically does not involve transaction costs, which makes a real difference for smaller taxpayers,” he said.