IMPORTING MATERIAL TO CUSTOMS PRIVATE BONDED WAREHOUSE

[RAMAKRISHNA M]

Hi,

With GST implementation, whether IGST is applicable for materials importing by a "CUSTOMS PRIVATE BONDED WAREHOUSE"

This is business aspect and the above imported material will be supplied to SEZ & 100% EOU from customs Private Bonded Warehouse.

[Kishan Barai]

Based on your inquiry posted, no IGST would be levied when kept of Custom Bonded Warehouse but products supplied to SEZ & EOU must be exported. If they are sold in domestic area against ARO then benefit of duty saved could not be obtained.

[RAMAKRISHNA M]

Dear Kishan, thanks for revert. I agree with you that any supplies to SEZ / EOU's no duty but if they sell those products in local instead of exports, duty will be levied.

Here we are importing Machinery spare parts which will be used in Granite Manufacturing units.

Request you to reconfirm whether these Imported Machinery Spare Parts will attract IGST while importing from Foreign nation.

[Kishan Barai]

Yea, it will attract IGST if imported Material used for domestic consumption

[RAMAKRISHNA M]

Dear Kishanji,

My question is while importing these machinery Spare parts, whether we need to pay IGST at the time of imports

[RAMAKRISHNA M]

IF A "CUSTOMS PRIVATE BONDED WAREHOUSE" - IMPORTS MACHINERY SPARE PARTS - WHETHER IGST IS PAYABLE FOR THESE IMPORTS

AI Summary

IGST on imports: applies when imported goods are brought into domestic consumption; not payable while under bond for export.
IGST on imports into a customs private bonded warehouse depends on the goods' destination: no IGST is payable while goods remain under bond for onward export to SEZs or 100% EOUs, but IGST is attracted if the goods are removed for domestic consumption or sold in the local market instead of being exported.