Customs Tariff Act

Introduction

  • This Act may be called the Customs Tariff Act, 1975.
  • It extends to the whole of India
  • It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint.

Customs Act was passed in 1962 by parliament. Customs Act was treated as Revenue Act which consists of 17 chapters and 161 sections. The rules under customs act are:

  • Duty drawback rules 1995.
  • Baggage rules, 1998.
  • Re-export of imported goods.

Definitions

  • The rates at which duties of customs shall be levied under the Customs Act, 1962, are specified in the First and Second Schedules.
  • Any article which is imported into India shall, in addition, be liable to a duty (hereafter in this section referred to as the additional duty) equal to the excise duty for the time being leviable on a like article if produced or manufactured in India and if such excise duty on a like article is leviable at any percentage of its value, the additional duty to which the imported article shall be so liable shall be calculated at that percentage of the value of the imported article
  • Provided that in case of any alcoholic liquor for human consumption imported into India, the Central Government may, by notification in the Official Gazette, specify the rate of additional duty having regard to the excise duty for the time being leviable on a like alcoholic liquor produced or manufactured in different States or, if a like alcoholic liquor is not produced or manufactured in any State, then, having regard to the excise duty which would be leviable for the time being in different States on the class or description of alcoholic liquor to which such imported alcoholic liquor belongs.

The rates of customs duty was indicated in the customs tariff act 1975 as amended from time to time under Finance Acts. This act contains 2 schedules. In first schedule, it defines the classification and rate of duty for imports. Import duty is levied only a few items. And in second schedule, it defines the classification and rate of duty for exports. Export Duty is levied only on a few items. It makes provisions for duties like anti dumping duty, protective duties etc.

Levy of duties of customs is regulated by the customs act 1962 while the rates of duties are fixed by the Customs Tariff Act 1975.

Import Duty of Taxable Event:It is the day of crossing of customs barrier and not on the date when goods landed in India and entered territorial waters.

Export Duty of Taxable Event: It is the day of crossing the customs barrier, but Export is complete when it crosses territorial waters.


Customs Tariff Act 1975


Customs Act was passed in 1962 by parliament. Customs Act was treated as Revenue Act which consists of 17 chapters and 161 sections. The rules under customs act are:

  • Duty drawback rules 1995.
  • Baggage rules, 1998.
  • Re-export of imported goods.

Customs Tariff Act 1975

The rates of customs duty was indicated in the customs tariff act 1975 as amended from time to time under Finance Acts. This act contains 2 schedules. In first schedule, it defines the classification and rate of duty for imports. Import duty is levied only a few items. And in second schedule, it defines the classification and rate of duty for exports. Export Duty is levied only on a few items. It makes provisions for duties like anti dumping duty, protective duties etc.

Levy of duties of customs is regulated by the customs act 1962 while the rates of duties are fixed by the Customs Tariff Act 1975.

Import Duty of Taxable Event:It is the day of crossing of customs barrier and not on the date when goods landed in India and entered territorial waters.

Export Duty of Taxable Event: It is the day of crossing the customs barrier, but Export is complete when it crosses territorial waters.

References

For further details please visit the sites:-

www.cbec.gov.in
www.eximin.net
www.cybex.in