Customs (Import of Goods at Concessional Rate of Duty) Rules, 2017 - Whether finished goods allowed?

[Nagarajan PV]

Dear Sir,

Good Morning.

With reference to above, I wish to know whether the importer who is having manufacturing set up for Manufacture of Electronic goods like Mobile phones & Telecom Products is eligible to import accessories as finished product under these rules vide notification no. 050/2017 sno. 508.

They also import components / parts for assembly / manufacture of these items. However they are importing Adapter (finished and packed) along with these components / parts. Whether this is allowed to be cleared under the Duty exemption under said RULES.

Please clarify.

Regards,

Nagarajan PV

AI Summary

Conditional exemption requires Annexure III compliance and actual user use; finished accessories cannot be imported under that concession.
Serial number 508 of Notification No. 50/2017 is a conditional exemption subject to the Rules' conditions, including rule 4's requirement that imported goods be used for manufacture or to provide an output service. Annexure III is required to claim the concession and the exemption is subject to the actual user condition. Parts cannot be imported as finished goods where the serial entry is limited to specified uses. The onus to satisfy conditions and file returns rests with the importer; serial 508 applies to STB use and does not extend to mobile phone adaptors.