Many time it happens that the goods manufactured or produced in India, which is exported from India, are due to whatsoever reason re-imported. In such cases the conditions and restrictions as applicable to other imported goods are applicable to such re-imported goods.
Thus, the normal Customs duty is payable on re imports. However the following concessions are allowed to re imports.
1. If goods is exported under claim for drawback of any Customs duty or Excise duty levied by the Union:
Where any goods exported under the claim of Customs Duty drawback or the excise duty levied by the Union in such case at the time of re-import of the duty chargeable is equal to the amount of the customs or excise duty claimed as drawback at the time of exportation of the goods.
For example, ABC Limited re imports some goods which were initially exported. The actual customs duty chargeable on the said goods at the time of re -import is Rs. 35000. However, at the time of export ABC Limited had claimed Rs. 10000 as Customs duty draw back or excise duty drawback; in this case ABC Limited will have to pay Rs. 10000 as duty at the time of re -import of the goods and not Rs. 35000.
1A. if goods are exported under claim for drawback of any Excise duty levied by a State:
Where any goods exported under the claim of drawback of excise duty levied by a State, in such case at the time of re-import of the goods the duty chargeable is equal to the amount of the excise duty claimed as drawback at the time of exportation of the goods.
1B. Where any goods exported under the claim of rebate of excise duty, in such case at the time of re import of the goods the duty chargeable is equal to the amount of the rebate claimed of the excise duty at the time of export of the goods.
1C. if goods are exported under Bond (LUT) without payment of the Central Excise duty:
Where any goods is exported under Bond/Letter of Under Taking (LUT) without payment of Central Excise duty, in such case at the time of re-import ofgoods the duty chargeable is equal to the central excise duty which is claimed as exempt under Bond (LUT) and not paid at the time of export of the goods.
1D. if goods are exported under duty exemption scheme or Export Promotion of Capital Goods Scheme:
Where any goods exported under Advance Authorisation (Advance Licence) or EPCG Licence towards discharge of the export obligation undertaken in such case, the duty will be chargeable is the equal to the excise duty chargeable at the time and place of importation of the of goods and subject to the following conditions applicable for such goods:
i. In case of Advance Authorisation should not be closed and export so effected should not be considered as export towards fulfillment of export obligation.
ii. In case of EPCG licence the period of EO fulfillment of export performance should not be expired.
iii. The importer should intimate the details of the re imported consignment to the Assistant Commissioner or Deputy Commissioner Central Excise in charge of the factory where the goods exported were manufactured and to the licensing authority regarding the fact of re-import and produce a dated acknowledgement of such intimation at the time of clearance of goods.
iv. The manufacturer exporters who are registered with the Central Excise Authorities may be permitted to clear the goods without payment of Central Excise duty under Transit Bond to be executed with the Customs Authorities, such bond will be cancelled on the production of certificate issued by the Central excise authorities about the receipt of the re imported goods in to the factory of the concerned manufacturer.
v. If goods not falling above exported for repairs abroad.
Where any goods not falling above is exported for repairs outside India and returned to India after repair the Customs duty is chargeable on the cost of repair including the value of material used in repairand insurance and freight charges for sending the goods abroad and receiving the goods.
vi. If goods not falling above 1 and 2
Where any goods not falling above 1 and 2 are re imported Nil duty is chargeable.
If the goods is not manufactured or produced in India but it is imported can also be exported for whatever reason and re imported in India.
In nutshell, not export incentive is admissible if the exported goods are re imported.
Where any goods manufacture or produced in India or not is re imported, it is required to have identification that the re imported goods is the same goods which was exported from India. The Customs authorities may carry out 100% examination of goods and also carry out sampling of the goods to identify that the goods is the same what was exported earlier.
Where any machinery or its parts are exported for repair, rework etc manufactured or produced in India or not, the machinery or its parts must have identification mark or numbers so that at the time of re import the goods can be identify that the exported and re imported goods are the same, if it is not possible to identify the same then it will be treated as fresh import and full customs duty will be payable by the importer.