Custom duty

Custom Duty - Rates,
Valuation, Online
Payment
Powered By http://www.taxqueries.in/

CONTENTS
 Introduction
 Custom duty on imports and exports
 Custom duty rates
 Types of custom duty
 Valuation of custom duty
 Custom duty payment

CUSTOM DUTY INTRODUCTION
 Custom Duty is a type of indirect tax levied on
imports (imported goods) into India and exports
(exported goods) out of India.
 Duties levied on exported goods are known as
Export Duty, and duties levied on imported
goods are known as Import Duty.
 Countries levy customs duty on import or export
of goods as a means to raise revenue.

CUSTOM DUTY ON IMPORTS AND
EXPORTS
 It is levied as per the value of goods or weight,
dimensions and another such basis according to the
goods.
 If duties are based on the quantity/dimensions/weight,
then they are called as specific duties.
 If duties are based on the value of goods, they are
called as ad valorem duties.
 The combination of both value of goods and
quantity/weight, as well as various other factors, are
called as specific duties

CUSTOMS DUTY IN INDIA
 Customs duty in India is defined under the Customs Act, 1962. All
matters related to Customs Duty fall under the CBEC (Central
Board of Excise & Customs).
 Central Board of Excise & Customs has various divisions that take
care of the field work including Customs, Commission rate of
Customs, etc.
 Some of the definitions under Customs Act, 1962 is as follows.
 Bill of Entry: Basic document for the assessment of custom duty.
 Customs Airport: It means any airport appointed under Sec 7(a) to
be a customs airport and includes a place appointed under section
7(aa) to be an air freight station.

 Customs Area: The area of the custom station and
includes any area in which imported goods or export
goods are ordinarily kept before clearance by customs
authorities.
 Custom Station: Custom Station means any customs
port, customs airport or land custom station.
 Dutiable Goods: Any goods which are chargeable to
duty and on which duty has not paid.
 India: India includes Indian territorial waters. It also
includes any creek or tidal water.

CUSTOM DUTY RATES
 The Basic Customs Duty are 5%, 7.5% & 10%.
 The highest rate of basic customs duty is 10% for non-
agricultural items (with some exceptions).
 On baggage, the general rate of duty is 35% and no
additional duty of customs is leviable on baggage.

TYPES OF CUSTOM DUTY
 Basic Custom Duty
 Additional Customs Duty
 Protective Duty
 Safeguard Duty
 Anti-dumping Duty
 Anti-subsidy Duty
 Education Cess

Classification of Goods
 The Customs Tariff Act, 1975 provides
the Classification of Goods and the Rates of Custom
Duty. It comprises of 2 schedules.
 First Schedule.
 Second Schedule.
• First Schedule: In this schedule goods chargeable
with import duty are listed. It is also known as
‘Import Tariff’.
• Second Schedule: In this 2nd schedule goods
chargeable with export duty are listed. It is also
known as ‘Export Tariff’.

Valuation of Custom Duty
 Import Valuation Rules:
• Transaction value of identical goods
• Transaction value of similar goods
• Deductive Value
• Computed Value
• Residual method of valuation
 Export Valuation Rules:
• Transaction value
• Determination of value by comparison
• Computed value
• Residual method

Custom Duty Payment
 procedure for Custom Duty Payment:
 Customs Duty can be paid online in the portal “icegate.gov.in“.
 Visit the website and click on e-Payment or utilise the direct link
given below.
 Enter the IEC and Location Code, which are mandatory and click
on submit.
 You can see all the unpaid challans of yours.
 Select the desired challan and choose a payment method.
 Make the payment at that particular bank’s payment gateway.
 After payment, you will be redirected to the ICEGATE portal.
 Take a print of payment copy for further reference.

THANK YOU
For more details http://www.taxqueries.in/custom-duty/customs-duty-rates-
valuation/

Custom duty

Recommended

Recommended

More Related Content

Recently uploaded

Recently uploaded (20)

Featured

Featured (20)

Custom duty