Tarrif rate

[RAMESH ANANTHAKRISHNAN]

Dear Sir,

We are producing synthetic filaments falls under under Chapter 54. Ministry of Finance has issued Notification No: 80/2017 dated 27.10.2017 announcing the increase of import duty for certain products especially in Chapter 54 from 7.5% to 20%.

We understand that the above the ministry has proposed to increase the tariff but this will be amended only after issuing Effective rate Notification. Is it right? If so, normally how long the department will issue the effective rate notification.

Kindly advise.

[DR.MARIAPPAN GOVINDARAJAN]

It cannot be ascertained. It may be notified early or it will take time.

[KASTURI SETHI]

Notification is always implemented either from the date of issue of notification or from a specific date mentioned in the notification per se. Here Notification says 'immediate action' in the first paragraph.

[Rajagopalan Ranganathan]

Sir,

The Notification No. 80/2017 had been issued on 27.10.2017. since no separate date is provided for coming into effect of the said notification it is effective from 27.10.2017. Therefore in respect of headings 5401, 5402, 5403, 5404, 5405 and 5406, the rate of duty is “20%” with effect from 27.10.2017.

[Ganeshan Kalyani]

Yes, if date of notification is not mentioned specifically then the date of notification is the date when the amendment comes into effect.

[CSSANJAY MALHOTRA]

Dear Ramesh,

Seems you missed out Custom Notification No. 82/2017 dated 27.10.17. Same shall resolve your query.

AI Summary

Tariff notification effective date: increased import duty applies from notification date when no separate commencement date is specified. When a tariff amendment notification does not specify a commencement date, the amendment takes effect from the date of issuance of that notification; a separate effective rate notification is unnecessary unless the issuing instrument provides otherwise. Practitioners should check for related customs notifications that may clarify scope or transitional arrangements.