Duty credit on Import

[Ashok Tank]

Dear Sir/Madam,

Kindly inform formula to calculate custom and excise duty from import bill of entry. Also clarify on maximum/total duty credit allowed on imports in Cenvat register and column number where to be recorded.

Thanks

[YAGAY and SUN]

From CBEC/ICEGATE Website you can get the duty calculation and the CENVAT credit shall be available to you would be sum total of CVD + SAD.

[Ganeshan Kalyani]

Sir, the formula is as below:

A) Cost = ×××

B) Add: landing charges = 1% of cost

C) Assessable value = A+B

D) BCD = C x % of duty applicable

E) Value = C + D

F) CVD = E x % of CVD

G) Total value = E + F

H) Ed. Cess = (D+F)*3%

I) Total Import value = G+H.

Thanks.

However please cross check with the import duty calculator before implementation. Thanks.

AI Summary

CENVAT credit on imports: credit allowed for countervailing duty and special additional duty, to be recorded in Cenvat register.
The document provides a stepwise duty computation: start with cost, add landing charges to get assessable value, compute basic customs duty on that value, add that duty to value to calculate countervailing duty, aggregate duties and apply education cess on specified duty aggregates to obtain total import value. It further states that CENVAT credit on imports comprises the sum of countervailing duty and special additional duty and should be recorded in the Cenvat register; users should verify calculations with official import duty tools.