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import duties

kartik mahajan (9 Points)

21 June 2017

what are the new import duties, is cvd and svd applicable after gst ?

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10 Replies

HARIDASS CHUNDER (14 Points)
Replied 21 June 2017

no, only Basic and IGST applicable

1 Like

kartik mahajan (9 Points)
Replied 21 June 2017

hello sir I am new in imports I am planning to import wood whose duties are as follow 10%basic duty ,4.71% other duties like cvd ,cesses there is no antidumping duty there for total duty is 14.71% and vat in Punjab is 6.05%
now the gst on imported wood is 18% Can you please explain to me what will be the total duty after implementation of gst and what will be the gst rates ?

Arun Verma (Manager) (53 Points)
Replied 21 June 2017

basic duty + IGST 18%

kartik mahajan (9 Points)
Replied 21 June 2017

what about sgst and cgst do I Have to pay any other taxes other than basic duty +18% igst I mean any state level taxes ?

Arun Verma (Manager) (53 Points)
Replied 21 June 2017

if the same has been consumed in that particular state belongs to importer .... then that IGST would be equally shared by that state and centre (CGST n SGST)

kartik mahajan (9 Points)
Replied 21 June 2017

thank-you for the information

kartik mahajan (9 Points)
Replied 21 June 2017

can I ask for your contact ?

Arun Verma (Manager) (53 Points)
Replied 21 June 2017

I m not an expert 😉....

Sarma Mkvh (4 Points)
Replied 21 June 2017

with DSIR registration, under 51/96-2, we are paying a total customs duty of 5.15%, where bcd is not zero. kindly update duty post GST.

Mohan Kumar (2 Points)
Replied 23 October 2018

From the time of Customs Act passed by parliament (1962), we have come across many changes in the rules of the same. One of the most revolutionary change took place in the whole the tax system is GST. To brief you the changes and impact of it on Import duties let me give a try. Generally, we all know that Import duty will be charged on the actual imported value of goods. In addition to this GST came into the picture by replacing many other taxes. We have three types of GST. they are CGST, SGST, IGST. Under import, IGST (Integrated Goods & Services Tax) got charged.

Let me give you a basic info about how Calculation of taxes payable on import of goods:

Value after customs duty= An actual value of goods imported + Basic Customs Duty.
Value after IGST= the value after customs duty× IGST Rate .
Total value of duties payable on imports= Customs Duty + IGST+GST Cess.

We have different types of Customs duties, let me address a few of them.

Basic Customs Duty:
This is applicable to all goods falling under section 12 of the Customs Act.
Counter Vailing Duty (CVD):
It is similar to central excise duty, this is charged on goods produced within the geographical boundaries of India. It is calculated on the aggregate value of the goods which include basic customs duty and landing charges.
Education Cess:
The Education Cess is a tax in India ordered to help cover the costs of government-sponsored programs. The CESS was levied in 2004. Although the rate is assessed at 2 percent of income, it is collected independently of other taxes and applies to all Indian citizens and corporations as well as anyone living in India.
Anti-Dumping Policy:
This is levied when the value of the goods is less than the market price.
Customs Duty Rates:
Depending on the nature of goods, the duty rates vary from 0% to 150%. At the same time, there are some goods which are exempt from paying import duty. Since rates are subject to change from time to time, you could refer to the Central Board of Indirect Taxes & Customs.

If you are researching about this, probably you are going to jump in to import related business if I am not wrong. Good luck for you guys. To give a small suggestion, don't take strains by going through all the stuff like customs formalities and customs clearance. There will be many documents needs to be submitted. Don't stuff your brains with all the tensions. Focus on choosing the best logistics partner. Nowadays they are many logistics service providers (interlink) who take care of everything related to the document submission, Customs formalities, Customs clearance, etc... As you are starting your own business, apparently you will have many works to move it forward.