customs Duty for IMPORTED Raw Materials

[RAMAKRISHNA M]

We are Importing products from Italy and supplying to SEZ / EOU's in India

after supplying these products SEZ / EOU units with warranty period of 2 years.

with in 2 years any repairs, we need to do free process.

For Process & Repairs, need IMPORTED RAW MATERIALS.

IF WE IMPORT THOSE RAW MATERIAL, IS CUSTOMS DUTY IS APPLICABLE OR NOT

thanks & regards,

​​​​​​​Ramakrishna.M

AI Summary

Clarification Sought on Customs Duty for Repair Materials Supplied to SEZs/EOUs; Exemptions and Drawbacks Discussed A discussion on a forum addresses whether customs duty applies to imported raw materials used for repairing products supplied to Special Economic Zones (SEZ) or Export Oriented Units (EOU) in India. A participant inquires about duty drawbacks for these materials, as they are used in warranty repairs. Responses clarify that customs duty is generally applicable, with exemptions possible under specific notifications for service providers. However, duty drawbacks are not available for clearances to EOUs. Another participant suggests that duty drawbacks might be possible if the supply to SEZ is treated as exports.