IGST on Import

[KUMAR Narasimhan]

Dear Sir/Madam,

A GST registered person bringing the Imported goods along with him in flight for selling that product in India.

Should the IGST to be paid for the product during the customs clearance in the Airport. Please help me to understand the customs procedure with respect to the above situation.

[Shilpi Jain]

At the time of customs clearance of passenger, the goods can be assessed to customs. There is a certain limit of exemption available for baggage. The rest gets taxed under customs.

[Raghunandhaanan rvi]

Sir,

Commercial goods cannot be imported as baggage even though you pay the duty rate applicable to baggage. The baggage rate is higher than the normal import rate.

Such goods may be allowed clearance on payment of redemption fine and penalty and duty payment. However, IGST is exempted if duty is payable at the baggage rate.

[KUMAR Narasimhan]

Dear Mam / Sir,

Thank you for the information.

AI Summary

IGST on imported baggage: commercial goods are assessed as imports and taxed unless baggage duty applies. When a GST-registered person brings goods as accompanied baggage, customs assess them at arrival: a baggage exemption limit applies and excess is taxable. Commercial goods cannot be imported as baggage and, if treated as such, may be cleared only upon payment of customs duty, redemption fines and penalties. IGST is exempt where duty is payable at the baggage rate, but standard import assessment and tax exposure apply for commercial imports.