TaxTMI 
TaxTMI 
TaxTMI 
Changes in Customs, Central Excise, GST law and rates have been proposed through the Finance (No.2) Bill, 2024
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....ic customs duty and AIDC on imports of crude soyabean oil and 'crude sunflower seed oil subject to availability of unutilized quota in TRQ authoriiation for FY 2022-23 allotted by DGFT and Bill of lading issued on or before 31st March,2023; (iv) through Clause 108 read with the Fifth Schedule, amendment has been proposed in Notification No. 12/2012- Central Excise dated 17.3.2012 to extend the timeline to submit the final Mega Power Certificate ; (v) through Clause 109 read with the Sixth Schedule, exemption from Clean Environment Cess has been proposed on excisable goods lying in stock as on 30.6.2017 on which appropriate GST Compensation Cess has been paid on supply of such goods or after 1.7.2017. The changes proposed through sub -clause (a) of Clause 107 will take effect on the midnight of 23rd/24th July ,2024 by virtue of a declaration under The Provisional Collection of Taxes Act, 2023. The other changes proposed in the Bill would come into effect on the enactment of the Bill or from the date specified in the Finance (No.2) Bill. 3. Changes have also been proposed in the CGST Act , IGST, Act, UTGST Act and GST (Compensation to States) Act 2017, through Clauses 110 ....
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....se in processing of seafood. (4). Chemicals and petrochemicals: a) The BCD on Ammonium Nitrate has been increased from 7.5% to 10%. b) The tariff rate of CTH 3920 and 3921 has been increased to 15%. Consequently, from 24.7.2024 , PVC Flex Films/Flex Banners will attract 25% by virtue of declaration under Provisional Collection of Taxes Act 2023. However, Notification No 50/2017-Customs has been amended to maintain the existing rate of 10% on items other than PVC Flex Films/Flex Banners. (5). Drugs The BCD has been fully exempted on the following Cancer Drugs: (i) Trastuzumab Deruxtecan (ii) Osimertinib (iii) Durvalumab (6). Textile and Leather Sector a) The BCD has been reduced from 7.5% to 5% on MDI for manufacture of spandex yarn to rectify duty inversion. This is subject to IGCR condition . b) The BCD has been reduced from 30% to 10% on Real Down Filling material from duck or goose for use in manufacture of textile or leather garments for export. c) Exemption has been extended to Wet white leather, Crust and finished leather for manufacture of textile or leather garments, leather /synthetic footwear or other leather products for export. d) Exemption ha....
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....terial for manufacture of CRGO steel has been continued upto 31.3.2026. Further, the exemption has also been extended to such specified raw materials for manufacture of CRGO Steel falling under tariff item 7226 11 00. (10). Capital Goods a) Certain specified capital goods has been added to the list of exempted goods for use in manufacture of solar cells and modules . b) Certain specified goods have been added in the exemption entry (S.No 404 of Notification no 50/2017-customs) for use in petroleum exploration operations (11). Others a) The BCD on Garden umbrella has been revised from 20% to 20% , whichever is higher (The duty rate is effective from 24.7.2024 by virtue of declaration under Provisional Collection of Taxes Act 2023) b) The BCD rate on Lab chemicals classified under HS 9802 00 00 has been increased from 10% to 150% (The duty rate is effective from 24.7.2024 by virtue of declaration under Provisional Collection of Taxes Act 2023) c) The tariff rate on areca nuts and prepared/ preserved areca nuts is being enhanced to 150% w.e.f 1.10.2024. However, there is no change in the effective BCD rate which continues at 30%. ( 12). Export duty The effective exp....
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....a Power Project certificate from 120 months to 156 months.[Clause 108 of the Bill] [These above changes shall come into force from date of assent to the Finance (No.2) Bill]. IV. OTHER CHANGES As a trade facilitation measure, Notification No. 45/2017-Customs dated 30.6.2017 has been amended to increase the time-period of duty free re-import of goods (other than those under export promotion schemes) exported under warranty from 3 years to 5 years, further extendable by 2 years. Similarly, Notification No. 153/94-Customs dated 13 July 1994 has been amended to extend the time limit for export from 6 months to 1 year, further extendable by 1 year, in the case of aircraft and vessels imported for maintenance, repair and overhauling. V. LEGISLATIVE AMENDMENTS a) Amendments in Customs Act, 1962 (i) Section 28 DA is being amended to enable the acceptance of different types of proof of origin provided in trade agreements in order to align the said section with new trade agreements which provide for self-certification. (ii) A proviso to sub-section (1) of Section 65 is being inserted to empower the Central Government to specify certain manufacturing and other operations in re....
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....o States) Act. 3) New sub-sections (5) and (6) are being inserted in section 16 of CGST act to relax the time limit to avail input tax credit as per section 16(4) of the CGST Act, retrospectively from 01.07.2017, as follows: a) In respect of initial years of implementation of GST, i.e., financial years 2017-18, 2018-19, 2019-20 and 2020-21: In respect of an invoice or debit note for the Financial Years 2017-18, 2018-19, 2019-20 and 2020-21, the registered person shall be entitled to take input tax credit in any return under section 39 which is filed upto the 30th day of November, 2021 b) with respect to cases where returns have been filed after revocation: The time limit to avail input tax credit in respect of an invoice or debit note, in cases where returns for the period from the date of cancellation of registration/ effective date of cancellation of registration till the date of revocation of cancellation of the registration, will be extended till the date of filing the said GSTR-3B return, subject to certain conditions, if the said return is filed by the registered person within thirty days of the order of revocation of cancellation of registration. 4) Section 74A i....
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....upply of goods nor as a supply of services. 10) Amendment is proposed in Section 13(3) of CGST Act by amending clause (b) and inserting a clause (c) to provide for a specific provision in section 13(3) for covering the cases where the invoice is required to be issued by the recipient of services in case of RCM supplies. 11) Clause (i) of Section 17 of CGST Act is being amended to restrict blockage of input tax credit for tax paid under Section 74 to demands up to FY 2023-24. 12) Second proviso may be inserted in section 30(2) of the CGST Act to provide for enabling clause to prescribe conditions and restrictions for revocation of cancellation of registration. 13) Clause (f) of section 31 of CGST Act is being amended to provide for an enabling provision to prescribe the time period within which the invoice has to be issued by the recipient under reverse charge mechanism and to clarify that a person registered solely for purpose of deducting TDS under section 51 of CGST Act shall be treated as a person not registered for the purpose of clause (f) of section 31(3) of the said Act. 14) Section 39 is being amended to mandate filing of returns by TDS deductors for every month, ....
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....f the Central Goods and Services Tax Act, subject to such conditions, safeguards and procedures as may be prescribed. Sub-section (5) is being inserted in the said Section to provide that no refund of unutilized input tax credit or of integrated tax paid on account of zero rated supply of goods shall be allowed in cases where the zero rated supply of goods is subjected to export duty (iv) Section 20 in the IGST Act is being amended, so as to reduce the maximum amount of pre-deposit payable for filing appeal before appellate authority from rupees fifty crores to rupees forty crores of integrated tax. Further, it proposes to reduce the maximum amount payable as pre-deposit for filing appeal before the Appellate Tribunal from rupees hundred crores to rupees forty crores of integrated tax. c) Amendments in the UT GST Act, 2017 (i) Sub-section (1) in Section 7 in the UTGST Act is being amended, so as to not levy union territory tax on Extra Neutral Alcohol used for manufacture of alcoholic liquor for human consumption. (ii) Section 8A in the UTGST Act is being inserted, so as to empower the Government to regularize non levy or short levy of union territory tax where it is found t....
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....ildren's Emergency Fund (UNICEF), Red Cross etc 2. 213 Drugs and materials 3. 428 Specified goods imported by accredited press cameraman 4. 429 Specified goods, imported by accredited journalist 5. 607 Life Saving drugs like Keytruda etc 6. 607A Lifesaving drugs/medicines for personal use 7. 611 Archaeological artefacts for exhibition in a museum 8. 612 Specified raw material for sports goods 9. 577 Lifesaving medical equipment for personal use 10. 549 Capital goods, raw materials and spares for repairs of ocean-going vessels 11. 550 Spare parts and consumables for repairs of ocean going vessels registered in India. (ii) Standalone Notifications SN Notification No Brief Description 1 16/1965-Customs dated 23 January 1965 Exemption to goods exported to foreign countries for display in show-rooms of Govt of India 2 80/1970-Customs 29 August 1970 Goods supplied freely under warranty as replacement for defective ones in lieu of earlier imported goods. 3 207/89-Customs dated 17 July 1989 Foodstuffs and provisions (excluding fruit products, tobacco, alcohol) by foreigners 4 147/94-Customs dated 13 July 1994 Fi....
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.... of an Indian Airline or of the Indian Air Force Annexure - II PROPOSED TO BE EXTENDED FOR A FURTHER PERIOD TILL 31ST MARCH 2026 (i) Entries under 50/2017-Customs S No S N of 50/17-Cus Brief Description 1. 17 Planting materials including seeds, plants, oil seeds etc. 2. 90 Lactose for manufacture of homeopathic medicines 3. 104 Specified goods used in processing of sea-food 4. 133 Gold ores and concentrates 5. 139 Bunker Fuels namely: (i). IFO 180 CST; (ii). IFO 380 CST; (iii). VLSFO (CTH 27) 6. 155 Liquefied petroleum gases (LPG) received from unit in SEZ and returned by the DTA unit to the SEZ unit 7. 164 Electrical energy supplied from SEZ unit to DTA 8. 165 Electrical energy supplied from SEZ to DTA 9. 172 Specified goods used in manufacture of silicon wafers or solar wafers, for manufacture of solar cell or module 10. 183 Medical use fission Molybdenum-99 (Mo-99) for use in manufacture of radio pharmaceuticals 11. 184 Pharmaceutical Reference Standard 12. 188 Goods for manufacture of ELISA Kits 13. 191 Maltol for manufacture of deferiprone 14. 204 Anthraquinone or 2-Ethyl Anthraquinone for use in manuf....
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....Steel wire used in wire saw for slicing of silicon wafers 35. 345A Simply Sawn Diamonds 36. 364A Spent catalyst or ash containing precious metals 37. 368 Ferrous Scrap 38. 378 Metal parts for manufacture of electrical insulators falling under heading 8546 39. 379 Pipes and tubes for use in manufacture of boilers 40. 380 Forged steel rings for manufacture of special bearings for use in wind operated electricity generators 41. 381 Flat copper wire for use in the manufacture of photo voltaic ribbon for manufacture of solar photovoltaic cell or modules 42. 392 Dies for drawing metal, where imported after repairs from abroad 43. 403 Parts and raw materials for offshore oil exploration 44. 415 Parts for manufacture of catalytic convertors 45. 415A Platinum or Palladium for manufacture of Noble Metal Compounds & Noble Metal Solutions 46. 416 Ceria zirconia compounds for use in the manufacture of washcoat for catalytic converters 47. 417 Cerium compounds for use in the manufacture of washcoat for catalytic converters 48. 418 Zeolite for for use in the manufacture of washcoat for catalytic converters 49. 422 Machine....
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....s, inputs or raw material for use in manufacture of Lithium ion cells 78. 527 Lithium ion cell use in manufacture of battery or battery pack 79. 527A Lithium Ion Cell for use in manufacture of battery or battery pack of cellular mobile 80. 527B Lithium Ion Cell manufacture of battery or battery pack of EV 81. 534 Parts of gliders or simulators of aircrafts (excluding rubber tyres and tubes of gliders) 82. 535 Raw materials for manufacture of aircraft and parts of aircraft 83. 535A Parts of aircraft for manufacture of aircraft or for manufacture of parts of aircraft by PSU under Min of Defence 84. 536 Parts, testing equipment, tools and tool-kits for maintenance, repair, and overhauling of aircraft, components or parts of aircrafts 85. 537 All goods of Heading 8802 (except 88026000-spacecraft) 86. 538 Components or parts, including engines, of aircraft of heading 8802 87. 539 (a) Satellites and payloads; (b) Ground equipment brought for testing of (a) 88. 539A Scientific and technical instruments etc for launch vehicles and satellites 89. 540 Specified goods imported by scheduled air transporter 90. 542 Specified goods....
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....ucts for export when imported by bonafide exporter 116. 404 Specified items including capital goods and raw materials for off shore oil exploration 117. 80A Algal oil for manufacture of aquatic food (ii) Standalone notifications S. No Notification No Brief Description 1 30/2017-Customs dated 30 June 2017 Exemption to motion picture, music, gaming software for use in gaming console printed or recorded on media 2 05/2017-Customs dated 2 February 2017 Exemption to machinery, components for setting up fuel cell based on waste to energy 3 113/2003-Customs dated 22 July 2003 Exemption to castor oil cake and castor de-oiled cake manufactured from indigenous castor oil seeds on indigenous plant and machinery by unit in SEZ and brought to DT A 4 81/2005-Customs dated 8 September 2005 Exemption to machinery/components for initial setting up of non-conventional power generation plants 5 26/2011-Customs dated 1 March 2011 Exemption to work of art, antiques in museum or art gallery 6 248/1976-Customs dated 2 August 1976 Exemption to precious stones imported by posts on 'approval or return' basis 7 24/2001-Customs dated 1st March 2001 Exemption ....
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....paper page transmission and reception facsimile system or equipment; and Telephoto transmission and reception system or equipment 14 495 Batteries for electrically operated vehicles, including two and three wheeled electric motor vehicles. 15 497 Active Energy Controller (AEC) for use in manufacture of Renewable Power System (RPS) inverters 16 579 Survey (DGPS) instruments, 3D modeling software for ore body simulation cum mine planning and exploration (geophysics and geochemistry) equipment required for surveying and prospecting of minerals 17 419 Aluminium Oxide for manufacture of washcoat of catalytic converter 18 420 Clay 2 powder for use in ceramic substrate for catalytic convertor 19 340 Solar tempered glass or solar tempered (anti-reflective coated) glass for use in manufacture of solar cells/panels/modules 20 565 Specified goods for use in the manufacture of Flexible Medical Video Endoscope [heading 9018] 21 566 Specific input goods for manufacture of syringes, needles, catheters and cannulae 22 568 Parts and components for manufacture of blood pressure monitors and blood glucose monitoring system (Glucometers) (i....