CBIC Issues Master Circular on Uniform Implementation of Baggage Rules, 2026

Simplifying Passenger Clearance Through Digitisation, Risk-Based Controls and Passenger Facilitation

The Central Board of Indirect Taxes and Customs (CBIC) has issued Circular No. 04/2026–Customs dated 1st February, 2026, laying down comprehensive guidelines for uniform implementation of the Baggage Rules, 2026 and the Customs Baggage (Declaration and Processing) Regulations, 2026.

The Circular assumes significance as it consolidates statutory provisions with long-standing operational instructions issued through multiple earlier circulars, thereby creating a single, authoritative reference framework for both field formations and passengers.

Legislative Background

The Baggage Rules, 2026 and the Customs Baggage (Declaration and Processing) Regulations, 2026, notified vide Notifications No. 14/2026-Customs (N.T.) and 15/2026-Customs (N.T.) dated 01.02.2026, supersede the earlier Baggage Rules, 2016.

The revised baggage regime aims to:

• Simplify procedures
• Enhance passenger facilitation
• Promote transparency
• Enable electronic and advance declarations
• Ensure smooth and predictable baggage clearance

This Master Circular is clarificatory in nature and does not expand or dilute any statutory provision. It also supersedes all earlier circulars listed in Annexure A, ensuring uniformity in practice across Customs formations.

Scope and Applicability - The provisions apply to all passengers arriving in or departing from India, including:

• Residents and non-residents
• Tourists
• NRIs and OCI cardholders
• Foreigners with valid visas
• Crew members
• Diplomatic personnel

Notably, the Rules introduce a new passenger category—foreigners with valid visas other than tourist visas, recognising their long-term residence in India and providing differentiated treatment.

The Circular covers both accompanied and unaccompanied baggage at airports, seaports, land customs stations, and other notified customs locations.

Key Clarifications and Operational Guidelines

1. Electronic Declaration of Baggage

• Passengers carrying dutiable, restricted, or prohibited goods are mandatorily required to file an electronic Customs Declaration Form under the 2026 Regulations.
• Declarations may be filed on arrival or up to three days in advance
• DG Systems has introduced the “Atithi” web and mobile application
• Green Channel remains available for passengers with nothing to declare
• Non-declaration or mis-declaration attracts penal action under the Customs Act, 1962
• Unaccompanied baggage containing dutiable personal effects must also be declared electronically.

2. Personal Effects and Duty-Free Allowances

The Rules adopt a Revised Kyoto Convention–aligned definition of personal effects, covering articles reasonably required for personal use during travel, excluding commercial goods. Key highlights include:

• Used personal effects required for daily necessities are allowed duty-free without value limit
• Officers are not required to routinely verify newness unless articles appear prima facie new
• Monetary duty-free allowances and Transfer of Residence (TR) benefits are available based on passenger category and duration of stay, as specified in Annexure B

3. Temporary Export and Temporary Import Certificates

To facilitate hassle-free re-import:

• Passengers may obtain an export certificate via the Atithi platform before departure
• Certificates remain valid for six months or till first return, whichever is earlier
• Tourists may be granted temporary duty-free import of valuables:
• Subject to declaration
• Mandatory re-export at departure or within six months
• Issuance of temporary baggage import certificates

4. Jewellery and Valuables: A Structured Framework

The Baggage Rules, 2026 introduce a distinct treatment for jewellery, including a special allowance for eligible passengers.

Key provisions include:

• Used personal jewellery required for daily necessities allowed duty-free
• Jewellery not forming part of personal effects is:
• Dutiable, unless covered by re-import certification
• Subject to temporary import and mandatory re-export for tourists
• Special duty-free jewellery allowance is available to eligible residents and Indian-origin tourists residing abroad for over one year
• Non-bona fide or undeclared jewellery attracts strict action under the Customs Act

5. Goods in Commercial Quantity

Goods in commercial quantity are not eligible for clearance as bona fide baggage. However:

• Marginal excess of freely importable goods may be allowed on payment of duty
• Presence of some commercial goods does not render the entire baggage non-bona fide
• Admissible concessions continue for remaining bona fide baggage

6. Detention, Release and Re-export of Goods

Where passengers cannot pay duty or carry restricted/prohibited goods:

• Customs may detain articles and issue a detention receipt
• Procedures for appraisement, release, or re-export must be clearly explained
• Temporary baggage import certificates and detention receipts are to be used as facilitative instruments, balancing passenger convenience with regulatory safeguards

7. Unaccompanied Baggage

All provisions applicable to accompanied baggage apply, except the general free allowance. Important safeguards include:

• Mandatory establishment of bona fide nature
• Risk-based examination through selectivity criteria
• Integration of CBD-I (Atithi) and CBD-II (ICEGATE) declarations to prevent misuse
• Provision for transhipment to another customs station under bond and security

8. Special Categories of Passengers

• Crew members are entitled only to limited concessions
• Diplomatic baggage is governed strictly by the Baggage Rules, 2026
• Import of firearms and motor vehicles continues to be regulated under ITC (HS) and DGFT policy; no independent entitlement arises under the Baggage Rules

9. Land Border Arrivals

Passengers arriving by land are entitled only to duty-free clearance of used personal effects required for daily necessities. General duty-free allowances applicable to air and sea passengers do not apply.

10. Import of Gold and Silver

Eligible passengers may import gold and silver strictly in accordance with Notification No. 45/2025-Customs dated 24.10.2025, as amended.

11. Risk-Based Verification

Verification of baggage declarations will be risk-based, and indiscriminate examination of bona fide baggage is discouraged. Supervisory officers are tasked with ensuring uniform application and preventing unnecessary passenger inconvenience.

Implementation and Outreach

Field formations are directed to issue public notices and conduct passenger outreach

Coordination with airlines and stakeholders is emphasised

DG Systems will issue detailed traveller guidelines through the Atithi platform

Any implementation difficulties may be escalated to the Board

Conclusion

Circular No. 04/2026–Customs represents a holistic, passenger-centric reform of India’s baggage clearance framework. By integrating digitisation, risk-based controls, and global best practices, CBIC has struck a careful balance between facilitation, revenue protection, and regulatory compliance. The Master Circular not only enhances clarity and predictability but also marks a decisive step towards a modern, technology-enabled, and traveller-friendly customs environment.