Important Changes in Customs Tariff post Union Budget 2017-18 in India
Dated: 02/02/2017
Notification No. 6/2017-Customs
The Government of India has made slew of changes in the customs tariff in its Budget announcement for 2017-18. The Customs department hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue) No. 12/2012-Customs, dated the 17th March, 2012, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 185 (E), dated the 17th March, 2012, namely:-
In the said notification,-
- in the Table,-
- against serial Β number Β 138, Β for Β the Β entry Β in Β column Β (4), Β the Β entry Β β2.5%β Β shall Β be substituted;
- after serial number 172A and the entries relating thereto, the following serial number and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β172B | 2902 41 00 | o-Xylene | Nil | – | -β; |
- for serial number 181A and the entries relating thereto, the following serial number and entries shall be substituted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β181A | 2914 61 00,
2914 69 90 |
Anthraquinone or 2-Ethyl Anthraquinone, for use in manufacture of Hydrogen Peroxide | 2.5% | – | 5β; |
- against serial number 182, for the entry in column (3), the entry βPurified Terephthalic Acid (PTA), Medium Quality Terephthalic Acid (MTA) and Qualified Terephthalic Acid (QTA)β shall be substituted;
- after serial number 208 and the entries relating thereto, the following serial numbers and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β208A | 3201 20 00 | Wattle extract | 2.5% | – | – |
| 208B | 3201 90 20 | Myrobalan fruit extract | 2.5% | – | -β; |
- after serial number 214 and the entries relating thereto, the following serial number and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β214A | 3404 20 00 | VinylΒ Β PolyethyleneΒ Β GlycolΒ Β forΒ Β useΒ Β in manufacture of Poly Carboxylate Ether | 7.5% | – | 5β; |
- after serial number 230 B and the entries relating thereto, the following serial numbers and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β230 C | 3815 90 00 | Catalyst for use in the manufacture of cast components of Wind Operated Electricity Generator | 5% | – | 46 |
| 230 D | 3909 40 90 | Resin for use in the manufacture of cast components of Wind Operated Electricity Generator | 5% | – | 46β; |
- after serial number 294 and the entries relating thereto, the following serial number and entries shall be inserted, namely :-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β294A | 5404 19 90 | Monofilament yarn | 5% | – | 29Aβ; |
- against serial Β number Β 305A, Β for Β the Β entry Β in Β column Β (4), Β the Β entry Β βNilβ Β shall Β be substituted;
- for serial number 324 and the entries relating thereto, the following serial number and entries, shall be substituted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β324 | 71 | (i)Β Β Β Silver, in any form, other than medallions and silver coins having silver content not below 99.9% or semi-manufactured forms of silver falling under sub-heading 7106 92;
(ii)Β Β Β Medallions and silver coins having silver content not below 99.9% or semi-manufactured forms of silver falling under sub-heading 7106 92, other than imports of such goods through post, courier or baggage. Explanation. – For the purposes of this entry, silver in any form shall not include foreign currency coins, jewellery Β made Β of Β silver Β or Β articles |
10%
10% |
Nil
– |
–
– |
| made of silver.β; |
- after serial number 333B and the entries relating thereto, the following serial numbers and entries shall be inserted, namely :-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β333C | 7208 | Hot rolled coils for use in manufacture of welded tubes and pipes falling under heading 7305 or 7306 | 10% | – | 5 |
| 333D | 7212 40 00 | Co-polymer coated MS tapes / stainless steel tapes for use in manufacture of telecommunication grade optical fibres or optical fibre cables | 10% | – | 5 |
| 333E | 7225 19 90 | Magnesium Oxide (MgO) coated cold rolled steel coils for use in manufacture of cold rolled grain oriented steel (CRGO) falling under 7225 11 00 | 5% | – | 5β; |
- against serial Β number Β 337, Β for Β the Β entry Β in Β column Β (4), Β the Β entry Β βNilβ Β shall Β be
substituted;
- after serial number 371D and the entries relating thereto, the following serial number and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β371E | 2818 20 90 | Clay 2 Powder (Alumax) for use in ceramic substrate for catalytic convertors | 5% | – | 5β; |
- after serial number 400 and the entries relating thereto, the following serial number and entries shall be inserted, namely :-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β400A | 8421 99 00 | All goods other than Reverse Osmosis (RO) membrane element for household type filters | 7.5% | – | -β; |
- against serial number 406B, for the entry in column (3), the entry βBall screws for use in the manufacture of CNC Lathes (tariff items 8458 11 00, 8458 91 00), Machining Centres (tariff items 8457 10 10, 8457 10 20) or all types of CNC machine tools falling under headings 8456 to 8463β shall be substituted;
- against serial number 406C, for the entry in column (3), the entry βLinear Motion Guides for use in the manufacture of CNC Lathes (tariff items 8458 11 00, 8458 91 00), Machining Centres (tariff items 8457 10 10, 8457 10 20) or all types of CNC machine tools falling under headings 8456 to 8463β shall be substituted;
- against serial number 406D, for the entry in column (3), the entry βCNC Systems for use in the manufacture of CNC Lathes (tariff items 8458 11 00, 8458 91 00), Machining Centres (tariff items 8457 10 10, 8457 10 20) or all types of CNC machine tools falling under headings 8456 to 8463β shall be substituted;
- after serial number 408 and the entries relating thereto, the following serial number and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β408A | 84 or
85 |
The following goods, namely :-
(i)Β Β Β Β Micro ATMs as per standards version 1.5.1; (ii)Β Β Fingerprint reader / scanner; (iii)Iris scanner; (iv) Miniaturised POS card reader for mPOS (other than Mobile phone or Tablet Computer); (v)Β Β Parts and components for use in the manufacture of the goods mentioned at (i) to (iv) above. |
Nil Nil Nil Nil
Nil |
–
– – – – |
–
– – – 5β; |
- after serial number 410 and the entries relating thereto, the following serial numbers and entries shall be inserted, namely:-
| (1) | (2) | (3) | (4) | (5) | (6) |
| β410 A | Any Chapter | All parts for use in the manufacture of LED lights or fixtures including LED Lamps | 5% | – | 5 |
| 410 B | Any Chapter | All inputs for use in the manufacture of LED (Light Emitting Diode) driver or MCPCB (Metal Core Printed Circuit Board) for LED lights and fixtures or LED Lamps | 5% | – | 5β; |
- against serial number 519, for the entry in column (3), the entry βGoods imported through postal parcels, packets and letters, the CIF value of which is not more than one thousand rupees per consignmentβ shall be substituted;
- in the Annexure,
- in Condition 27, for condition (b), the following condition shall be substituted, namely:-
β(b) The total value of goods imported shall not exceed 5% of the FOB value of leather footwear or synthetic footwear or other leather products, exported during the preceding financial-year;β;
- after Condition No.29, the following condition shall be inserted, namely:-
- in Condition No.40A, after clause (d), the following clause shall be inserted, namely:-
β(e) where the goods so imported are sought to be disposed of, the importer or the transferee, as the case may be, may pay the duty of customs which would have been payable but for the exemption contained herein, on the depreciated value of such goods subject to the condition that the importer or the transferee, as the case may be, produces before the Assistant Commissioner of Customs or Deputy Commissioner of Customs, as the case may be, having jurisdiction over the port of import, a certificate from a duly authorised officer of the Directorate General of Hydro Carbons in the Ministry of Petroleum and Natural Gas, Government of India, to the effect that the said goods are no longer required for the petroleum operations or coal bed methane operations, and the depreciated value of the goods shall be equal to the original value of the goods at the time of import reduced by the percentage points calculated by straight line method as specified below for each quarter of a year or part thereof from the date of clearance of the goods, namely:-
- for each quarter in the first year at the rate of 4 per ;
- for each quarter in the second year at the rate of 3 per ;
- for each quarter in the third year at the rate of 5 per cent.; and
- for each quarter in the fourth year and subsequent years at the rate of 2 per , subject to the maximum of 70 per cent.β;
- in List 5, item 23 and the entries relating thereto shall be
Source: CBIC, Dept. of Revenue, Ministry of Finance, Govt. of India
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Note.- The principal notification No.12/2012-Customs, dated the 17th March, 2012 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R.185(E), dated the 17thΒ March, 2012 and last amended vide notification No.62/2016- Customs, dated the 31stΒ December, 2016, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 1202(E), dated the 31stΒ December, 2016.
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