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    Comparative Legal Analysis of Aadhaar Intimation Fee Provisions : Clause 430 of the Income Tax Bill,...
    Compliance Fee for Delay in Furnishing Statements and Certificates : Clause 429 of Income Tax Bill, ...
    Fee for Delay in Income Tax Return Filing under Indian Income Tax Law : Clause 428 of the Income Tax...
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    Analysis of Stay and Amendment Provisions in Tax Recovery: Clause 415 of the Income Tax Bill, 2025 v...
    Validity and Amendment of Tax Recovery Certificates : Clause 413(4) of the Income Tax Bill, 2025 Vs....
    Jurisdiction and Procedure for Tax Recovery : Clause 414 of the Income Tax Bill, 2025 Vs. Section 22...
    Evolution and Implications of Tax Recovery Provisions in India : Clause 413 of the Income Tax Bill, ...
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    Act RulesBills
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    Aadhaar intimation fee imposed for belated compliance, payable on late intimation through subordinate legislation.
    Clause 430 of the Income Tax Bill, 2025 prescribes an administrative fee for failure to intimate Aadhaar by the prescribed date: the fee is payable at the time of belated intimation, is to be set by subordinate rules subject to a statutory ceiling, and operates without prejudice to other consequences under the Act. The provision delegates essential operational elements-prescribed date, fee quantum, and collection mechanism-to rule-making while retaining a maximum cap and signalling continuity with the existing compliance approach.
    Act RulesBills
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    Fee for delay in furnishing statements requires payment before submission and is capped at the amount concerned.
    Clause 429 imposes an administrative fee for failure to deliver or furnish prescribed statements or certificates by scientific research and charitable institutions, accruing daily and capped at the amount in respect of which the failure occurred; payment of the fee is required before the delayed document or certificate may be filed, and the levy operates without prejudice to other consequences under the Act.
    Act RulesBills
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    Late filing fee for income tax returns: income linked penalties retained, alongside other liabilities and administrative discretion.
    Clause 428 imposes a fee where a person required to furnish a return under Section 263 fails to file within the prescribed time, with an income linked structure: a higher fee for those above a specified income threshold and a capped lower fee otherwise; the clause operates without prejudice to interest, penalties, or prosecution and retains administrative discretion through "not exceeding" wording for the lower slab.
    Act RulesBills
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    Fee for default in furnishing TDS/TCS statements requires pre payment before filing and is capped by tax liability.
    Clause 427 imposes a statutory fee for default in furnishing TDS/TCS statements as triggered by section 393(3)(b), prescribing a fixed per day charge for each day of delay, capped at the amount of tax deductible or collectible, and requiring payment of the fee before delivery of the delayed statement; the provision operates without prejudice to other consequences under the Act and mirrors the substantive structure of Section 234E while omitting explicit commencement and detailed procedural rules.
    Act RulesBills
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    Interest on excess refunds: Bill imposes interest from refund grant to regular assessment, with reduction if appellate orders confirm refund.
    Clause 426 charges simple interest on refunds granted under section 270(1) that exceed amounts determined on regular assessment, with interest computed from the date of grant to the date of regular assessment. Assessments under section 279 are deemed "regular assessment" for this purpose. Interest is reduced where appellate or revisionary orders ultimately validate the refund in whole or part. The clause mirrors Section 234D's core mechanics but changes cross-references and lacks an explicit retrospective application, raising transitional and interpretational concerns.
    Act RulesBills
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    Interest for deferment of advance tax simplified to lump-sum rates, changing computation and compliance implications.
    Clause 425 prescribes lump-sum interest rates on shortfalls in advance tax instalments tied to specified due dates and percentage targets, retains partial compliance safe-harbours and exemptions for certain unpredictable income categories provided tax is paid by the final instalment, and defines the tax base for interest by allowing deductions for TDS/TCS and specified tax credits; it shifts from monthly computation to a simplified tabled regime while leaving interpretive gaps around new cross-references and treatment of early rectification of shortfalls.
    Act RulesBills
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    Interest on advance tax: default triggers automatic monthly interest until assessment or regular assessment is completed.
    Clause 424 establishes interest for failure to pay advance tax or where advance payments are below the prescribed benchmark, charging monthly interest from the first April following the tax year until determination of total income or completion of regular assessment. Interest is computed on net assessed tax after reductions for TDS/TCS, foreign tax reliefs and specified credits. The clause clarifies interpretative points about regular assessments, excludes certain additional income-tax from the assessed base, allows reduction of interest upon pre-assessment payment, and prescribes additional interest on increments arising from reassessment.
    Act RulesBills
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    Interest on late tax returns: monthly interest applied under new provision with clarified computation and adjustment mechanism.
    A formulaic charging provision imposes simple monthly interest on tax due where returns are filed late or not filed, with a matrix of scenarios specifying for each the starting date, ending date and tax base for interest computation. The clause mandates adjustment of interest following appellate or revisional orders to reflect the final tax, permits reduction by previously paid interest and credits, excludes certain additional taxes from the tax base, and deems specified first time assessments as regular assessments for interest purposes.
    Act RulesBills
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    Government's right to recover tax arrears preserved, allowing concurrent statutory and civil recovery remedies.
    Clause 421 preserves the Government's right to recover tax arrears by methods beyond the statutory recovery modes, expressly allowing reliance on any other law for recovery and the institution of civil suits; it authorises assessing officers or the Government to pursue such alternative or concurrent remedies notwithstanding that recovery under the tax statute is being undertaken.
    Act RulesBills
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    Delegated legislative power to frame broad tax schemes may permit statutory modification, raising oversight and legal certainty concerns.
    Clause 532 grants the Central Government a broad power to frame schemes for any purpose under the Income Tax Act by notification, aiming to eliminate taxpayer interface where technologically feasible and to optimise resources; it permits notifications to disapply or modify statutory provisions to implement schemes, validates amendment of existing schemes under the 1961 Act, and requires notifications to be laid before Parliament, raising questions about the scope of delegated legislation and safeguards for legal certainty and taxpayer rights.
    Act RulesBills
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    Tax clearance certificate requirement conditions departure to secure tax liabilities and imposes carrier liability for non-compliance.
    Clause 420 requires a tax clearance certificate or an undertaking from an employer/payer before certain non-domiciled persons who earn Indian-source income may depart, excepting tourists; domiciled persons must furnish prescribed information (including PAN) and may be restricted from leaving if the tax authority records reasons and obtains senior approval. Owners or charterers of ships and aircraft are vicariously liable for departures without clearance, and the Board may make rules for implementation.
    Act RulesBills
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    Recovery of ancillary tax liabilities: non tax sums become recoverable using the same arrears procedures and enforcement tools.
    Clause 419 provides that any sum imposed by way of interest, fine, penalty, or any other sum payable under the Act shall be recoverable in the manner provided in this Part for the recovery of arrears of tax, thereby subjecting ancillary monetary liabilities to the same procedural recovery tools as tax arrears.
    Act RulesBills
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    Mutual tax recovery enables cross-border enforcement by domestic authorities acting on foreign tax collection requests under treaty terms.
    Clause 418 creates a mutual tax recovery framework under international agreements: foreign authorities may send a certificate to the central tax board to be executed by the Tax Recovery Officer against residents or property in India in the same manner as domestic tax arrears, with recovered sums remitted net of expenses; conversely, the TRO may forward domestic recovery certificates to the Board for action abroad when the assessee is a foreign resident or has foreign property, with the Board acting pursuant to the terms of the relevant agreement.
    Act RulesBills
    Show AI Summary
    Recovery through State Government: central income tax may be collected with local taxes when entrusted, expanding local enforcement.
    Recovery through State Government permits State Governments, upon entrustment under Article 258(1), to direct that central income tax be recovered in specified areas with, and as an addition to, municipal taxes or local rates by the same person and in the same manner as local taxes, creating a legal mechanism to integrate central tax enforcement into local recovery machinery while raising concerns about procedural safeguards, accounting, and dispute-resolution.
    Act RulesBills
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    Third-party recovery enabling garnishee notices and conversion of non-compliant payers into defaulters for tax arrears enforcement.
    Clause 416 empowers the Assessing Officer and the Tax Recovery Officer to use alternative recovery modes pre- and post-certificate, including recovery from salary with statutory protection for exempt portions, a comprehensive third-party recovery regime through notices to debtors or asset holders (including joint holders, objection and indemnity mechanisms, discharge on compliance, and conversion of non-compliant recipients into assessees in default), court-application for funds held in judicial custody, and distraint and sale of movable property subject to prescribed manner and supervisory approval.
    Act RulesBills
    Show AI Summary
    Stay of tax recovery: TRO must pause enforcement and amend or cancel certificates to reflect appellate reductions.
    Clause 415 requires the Tax Recovery Officer to grant time for payment and automatically stay recovery during that period; when a demand is reduced on appeal or other proceeding the TRO must stay recovery to the extent of the reduction while further proceedings are pending and must amend or cancel the recovery certificate once the reduction is final, establishing a mandatory, real-time mechanism to align enforcement with appellate outcomes and protect taxpayers from unjust recovery.
    Act RulesBills
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    Finality of tax recovery certificates: TRO may cancel or correct certificates while assessees are barred from challenging them.
    Clause 413(4) empowers the Tax Recovery Officer to cancel a recovery certificate "if, for any reason, he considers it necessary so to do" and to correct "any clerical or arithmetical mistake"; Clause 413 as a whole bars the assessee from disputing the certificate's correctness at the recovery stage, while the correction power is limited to mechanical errors and procedural safeguards such as notice or recorded reasons are not specified.
    Act RulesBills
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    Tax Recovery Officer jurisdiction clarified: transferable recovery certificates enable inter jurisdictional enforcement subject to prescribed certification.
    Clause 414 sets the rule for which Tax Recovery Officer may effect recovery: the TRO where the assessee carries on business or has a principal place of business, and the TRO where the assessee resides or any of the assessee's movable or immovable property is situated. It permits transfer of recovery certificates between TROs when assets span jurisdictions or recovery cannot be effected locally, authorises the receiving TRO to act as if the certificate were its own, and requires certification in the prescribed form to ensure procedural integrity.
    Act RulesBills
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    Tax recovery certificate empowers administrative enforcement and bars collateral challenges to expedite arrears collection.
    Clause 413 empowers the Tax Recovery Officer to draw up a prescribed-form certificate under signature specifying arrears and to initiate recovery by attachment and sale of movable and immovable property, arrest, or appointment of a receiver. It permits parallel recovery proceedings, allows administrative cancellation or correction of certificates, and bars the assessee from disputing the correctness of the certificate at the recovery stage. Clause 413 expands recoverable property to include certain intra-family transfers made without adequate consideration from 1 June 1973, preserving liability for arrears predating a minor transferee's majority.
    Act RulesBills
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    Penalty for tax default: discretionary but capped enforcement with mandatory hearing and refund if liability is set aside.
    An assessee defaulting on tax payment is liable to a discretionary penalty in addition to arrears and interest, with the Assessing Officer empowered to impose successive penalties for continuing default. Aggregate penalties are capped at the amount of tax in arrears. Procedural safeguards mandate a reasonable opportunity of being heard and exemption where good and sufficient reasons are shown. Payment of tax before penalty does not extinguish liability, but penalty is cancelled and refunded if the tax liability is finally reduced to nil.

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      PRUNING AND REVIEW OF CUSTOMS DUTY CONCESSIONS/ EXEMPTIONS

      2 February, 2022

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      IV. PRUNING AND REVIEW OF CUSTOMS DUTY CONCESSIONS/ EXEMPTIONS

      A. Review of concessional rates of BCD prescribed to Capital Goods and Project Imports vide notification No. 50/2017 – Customs dated 30.6.2017:

      The Customs duty rate structure on capital goods and project imports has been comprehensively reviewed and exemption on capital goods/ project imports are being phased out in a gradual manner. However, certain exemptions on capital goods would continue. Accordingly, the BCD exemption hitherto available on certain goods are being withdrawn by omitting the following entries of notification No. 50/2017Customs dated 30.6.2017, from the dates mentioned against each entry.

      S.No.

      S. No. of notification No. 50/2017

      Description/ HS Code

      (1)

      (2)

      (3)

      Textile Sector

      1.

      399 [exemption is being phased out as per details in column (3)]

      Goods (other than old and used) for use in man-made or synthetic fiber or yarn industry (84 or any other Chapter)

      1. Concessional BCD rate to be withdrawn for Spindles, Yarn guides, Ballon Control Rings and Travellers [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as Machinery for continuous polymerization plant, Machinery for synthetic fibre plant, Machinery for synthetic filament yarn plant, Machinery for Regular/HWM Viscose Staple Fibre Plant, Machinery for Lyocell Fiber Plant, in this entry [w.e.f 1.4.2023]

      2.

      400 [w.e.f 1.4.2023]

      Goods such as Machinery for garment sector, Machinery for manufacture of technical textiles, Woollen machinery items, Machinery for manufacture of non-wovens textiles, Machinery for manufacture of denim fabrics, Machinery for use with shuttleless looms etc. as specified in List 12 to the notification No. 50/2017-Customs, and parts for their manufacture for use in textiles industry

      3.

      432 [exemption is being phased out as per details in column (3)]

      Goods (other than old and used) for use in the textile industry

      1. Concessional BCD rate to be withdrawn for item no. 1, List 25: Effluent treatment unit with biopaq reactor, activate sludge process, activated carbon, ultrafiltration ozonisation facilities [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for item no. 3, List 25: Effluent treatment unit with automatic sensing devices, automatic controlled chemical dosing, dissolved air floatation (DAF), reverse osmosis, sludge dewatering, decanters, ultrafilters, vacuum filters to deliver water for reuse [w.e.f 1.4.2022]

      3. Concessional BCD rate to be withdrawn for the remaining items such as singeing machines, yarn drying machines, knitting machines etc., in this entry. [w.e.f 1.4.2023]

      4.

      433 [w.e.f 1.4.2022]

      Machinery or equipment for effluent treatment plant for handloom sector or handicraft sector

      5.

      434 [w.e.f 1.4.2023]

      Machinery for use in the silk textile industry

      6.

      460 [w.e.f 1.4.2023]

      Shuttle less looms and parts for their manufacture for use in the textile industry

      7.

      461 [exemption is being phased out as per details in column (3)]

      Machineries such as Knitting, weaving machines

      1. Concessional BCD rate to be withdrawn for Card Clothing (HS Code 8448 31 00) used in textile machinery i.e., Carding Machine [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items, such as machines for extruding, drawing, texturing, textiles machines, machines for preparing textile fibers, textile spinning machines, textile twisting machines, textile winding machines, weaving machines, knitting machines, auxiliary machines etc., in entry. [w.e.f 1.4.2023]

      Power Sector

      8.

      397 [exemption is being phased out as per details in column (3)]

      Goods specified in List 10 required for use in high voltage power transmission project

      1. Concessional BCD rate to be withdrawn for 13 items [List 10 in the notification] that include Transformers, Reactor, Circuit Breaker etc. [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as High Voltage DC Divider and CT, High Voltage DC Reactor, High TRV Circuit Breaker for High Voltage DC application, Optical Current Transformer etc. in this entry. [w.e.f 1.4.2023]

      9.

      405 [exemption is being phased out as per details in column (3)]

      Wind operated electricity generators, its parts and raw material, thereof

      1. Concessional BCD rate to be withdrawn for item No. (1) & (3) of this entry that include wind operated electricity generators (WOEG) upto 30 kW, wind operated battery chargers upto 30kW and blades for the rotors of WOEG [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items, such as parts of wind operated electricity generators including special bearings, gear box, yaw components, wind turbine controllers etc. and parts thereof and parts of blades, raw materials of blades etc. in this entry. [w.e.f 1.4.2023]

      10.

      406 [w.e.f 1.4.2023]

      Permanent magnets for manufacture of PM synchronous generators above 500KW for use in wind operated electricity generators

      11.

      413 [w.e.f 1.4.2022]

      All goods, for renovation or modernization of a power generation plant (other than captive power generation plant)

      12.

      414 [w.e.f 1.4.2022]

      All goods, imported by a manufacturer-supplier for the manufacture and supply of machinery and equipment to a power generation plant (other than captive power generation plant)

      Petroleum Sector

      13.

      403 [w.e.f 1.4.2023]

      Parts and raw materials for manufacture of goods to be supplied in connection with the purposes of off- shore oil exploration or exploitation

      14.

      409 [exemption is being phased out as per details in column (3)]

      Goods specified in List 13 required for setting up crude petroleum refinery

      1. Concessional BCD rate to be withdrawn for 11 items of List 13 that include utility systems, water treatment systems, air handling systems, boilers etc. [w.e.f 1.4.2022]

      2. Concessional BCD rate to be withdrawn for the remaining items such as all types of Refinery Process Units, All types of Hydrogen Generation, Recovery and Purification Plants, All types of Process Subsystems, All types of Effluent Solids/Liquids/Gaseous Processing etc. in this S. No. [w.e.f 1.4.2023]

      15.

      410 [w.e.f 1.4.2022]

      Kits and its parts required for the conversion of motor- spirit or diesel driven vehicles into Compressed Natural Gas driven or Propane driven or Liquefied Petroleum Gas driven vehicles

      Leather Sector

      16.

      396 [w.e.f 1.4.2022]

      Machinery or equipment for effluent treatment plant for leather industry

      17.

      439 [w.e.f 1.4.2023]

      292 goods specified in List 27 to notification No. 50/2017Customs, designed for use in the leather industry or the footwear industry, like Air blast dust removing machine, Automatic Drying machine etc.

      Food Packaging Sector

      18.

      455 [w.e.f 1.4.2023]

      Machinery for filling, closing, sealing or labelling bottles, cans, boxes, bags or other containers

      19.

      458 [w.e.f 1.4.2023]

      Machinery for the industrial preparation or manufacture of food or drink, other than machinery for the extraction or preparation of animal or fixed vegetable fats or oils

      Other Sectors

      20.

      393 [w.e.f 1.4.2023]

      (i) Cricket bat and hockey stick splice joining machine

      (ii) Rugby ball or soccer ball stitching Machine

      (iii) Moulds for soccer ball, basketball and volley ball

      21.

      394 [w.e.f 1.4.2023]

      Bacteria removing clarifier

      22.

      395 [w.e.f 1.4.2023]

      Marine seawater pumps with fibre impellers and Automatic fish/prawn feeder

      23.

      407 [w.e.f 1.4.2023]

      Goods required for, -

      (a) the substitution of ozone depleting substances (ODS);

      (b) the setting up of new capacity with non – ODS technology.

      24.

      408 [w.e.f 1.4.2023]

      Goods required for renovation, modernization or maintenance of a fertilizer plant

      25.

      436 [w.e.f 1.4.2023]

      Spares, supplied with outboard motors for maintenance of such outboard motors

      26.

      440 [w.e.f 1.4.2023]

      Fogging machines imported by a Municipal Committee, District Board etc.

      27.

      443 [w.e.f 2.2.2022]

      Goods to be imported by or on behalf of security printing and minting corporation of India limited (SPMCIL) that include Plant or machinery or equipment, related spares and consumables for printing of banknotes, etc.

      28.

      444 [w.e.f 1.4.2023]

      Geothermal ground source heat pumps

      29.

      445 [w.e.f 1.4.2023]

      Goods for making of gem and jewellery –

      (1) Automatic Chain Making machine,

      (2) chain twisting machine,

      (3) Spiral making machine,

      (4) Rolling machine (combined Profile Groovers/Strip Making)

      (5) Automatic Investing Machine/casting Machine

      30.

      448 [w.e.f 1.4.2023]

      Specific agricultural implements and parts used for their manufacture that include paddy transplanter, sugarcane harvester, cotton picker etc.

      31.

      469 [w.e.f 1.4.2023]

      Atmospheric water generator

      32.

      470 [w.e.f 1.4.2023]

      Machinery for making wooden fiberboards

      Project Imports

      33.

      597, 598, 599, 600, 601, 602, 603, 604, 605, 606

      a. Project Imports for project such as

      (i) Power Projects, including Nuclear and Solar Power

      (ii) Coal Projects

      (iii) Gas Projects

      (iv) Iron Ore Projects

      (v) Water Supply Projects

      (vi) Mandi and Warehousing Projects for Food Grains

      (vii) Other Projects

      b. New projects registered after 30th September 2022 under project imports will attract 7.5% BCD rate with change in BCD Tariff rate to 7.5%.

      c. Existing projects registered till 30th September 2022 under project imports will be grandfathered till 30th September 2023 attracting old BCD rates of 0%/2.5%/5% as applicable.

      d. After 30th September 2023, all projects registered under project imports will attract 7.5% BCD rate.

      B. Review of concessional rates of BCD prescribed in notification No. 50/2017 – customs dated 30.06.2017: The BCD exemption hitherto available on certain goods are being withdrawn by omitting some of the entries of notification No. 50/2017Customs dated 30.6.2017 as shown below. Additionally, modifications have also been made with respect to some of the entries of notification No. 50/2017-Customs dated 30.6.2017, wherein end-dates have been prescribed, and partial changes has been made to the exemptions. These changes are detailed below.

      S. No.

      S. No. of notification No. 50/ 2017

      Description

       

      Entries to be immediately omitted

       

      1.

      4

      Atlantic Salmon

       

      2.

      26

      Hazelnuts or filberts, shelled and in-shell

       

      3.

      28

      Other nuts, shelled and in-shell

       

      4.

      33

      Durians, other fresh fruits like Pomegranates, Tamarind, Sapota, Custard- apple, Bore, Lichi, etc. other than currants and gooseberries

       

      5.

      50

      Seed Lac

       

      6.

      52

      Dammar Batu

       

      7.

      82

      Crude glycerin for use in the manufacture of soaps

       

      8.

      96

      Tapioca and substitutes therefor prepared from starch

       

      9.

      122

      Silica Sands

       

      10.

      124

      Marble, travertine, granite other than rough marble and travertine blocks and marble slabs

       

      11.

      151

      Kerosene imported by the Indian IOCL. BPCL, HPCL and IBP Company Limited for ultimate sale through the Public Distribution System

       

      12.

      159

      Bio-based asphalt sealer and preservation agent; Millings remover and crack filler; Asphalt remover and corrosion protectant; Sprayer system for bio-based Asphalt and condition no. 14

       

      13.

      171

      The goods specified in List 7, for the manufacture of laser and laser-based instrumentation and condition No. 17

       

      14.

      173

      Goods used in manufacture of telecommunication grade impregnated glass reinforcement roving, namely: E-glass roving/ yarn, liquid absorbent polymer, polyurethane polymer and vinyl polymer

       

      15.

      175

      Common Salt (including Rock salt, Sea salt and Table salt)

       

      16.

      187

      Raw materials intermediates and consumables supplied by UNICEF for manufacture of DTP vaccines and condition No. 19

       

      17.

      233

      Myrobalan fruit extract

       

      18.

      234

      Triband Phosphor

       

      19.

      235

      Ceramic Colours

       

      20.

      236

      Glass frit and other glass, in the form of powder, granules or flakes

       

      21.

      241

      Vinyl Polyethylene Glycol for use in manufacture of Poly Carboxylate Ether

       

      22.

      242

      The following goods for use in the manufacture of Plasma Volume Expanders, namely: Hydroxyethyl starch and Dextran

       

      23.

      277

      Mica glass tape for use in manufacture of insulated wire and cables

       

      24.

      293

      Grape guard paper (paper used for packaging grapes)

       

      25.

      324

      Monofilament long line system for tuna fishing and condition No. 34

       

      26.

      327

      Samples of hand knotted carpets and condition No. 36

       

      27.

      328

      Polyester Tyre Cord Fabric

       

      28.

      332

      Parts of Umbrella

       

      29.

      216 & 481

      Artificial Kidney (Dialyzer)

       

      30.

      216A & 481A

      Parts for manufacture of Artificial Kidney

       

      31.

      402

      Goods, for use in the manufacture of static converters of automatic data processing machines: PCBA, Transformer, Battery and Copper enameled wires

       

      32.

      424

      Listed goods for paging goods and its parts

       

      33.

      425

      Listed goods for Public Mobile Radio Trunked Service (PMRTS) and its parts

       

      34.

      431

      Goods used for Research and development in Agro-Chemical Sector Unit

       

      35.

      449

      Goods for use in the manufacture of refrigerator compressor namely: -

      (i) C-Block compressor;

      (ii) Crankshafts.

       

      36.

      450

      Over Load Protector (OLP) and positive thermal coefficient for use in the manufacture of refrigerator compressor

       

      37.

      501

      Recorded magnetic tapes and floppy diskettes, imported by the University Grants Commission for use in Computers

       

      38.

      588

      Synthetic tracks and equipment to lay synthetic tracks.

       

      39.

      589

      (i) Asphalt resurfacer;

      (ii) Acrylic resurfacer;

      (iii) Cushion coat;

      (iv) Acrylic colour concentrate;

      (v) Acrylic marking paint; and

      (vi) Polytan in powder or granule form

       

      40.

      590

      Requisites for games and sports

       

      Entries where End-dates are prescribed

       

      41.

      289

      Wood in chips for use in manufacture of paper, paperboard & newsprint [End-date of 31.03.2023 is prescribed]

       

      42.

      430

      Goods used for Research and Development purpose in pharmaceutical and bio- technology sector. [End-date of 31.03.2023 is prescribed]

       

      43.

      479

      Mono or Bi polar Membrane electrolysers and parts; Membrane and parts; Parts, other than those for caustic soda unit or caustic potash unit [End-date of 31.03.2024 is prescribed]

       

      44.

      594

      Snow-skis and other snow-ski Equipment; Water-skis, surfboards, sailboards and other water-sport equipment [End-date of 31.03.2023 is prescribed]

       

      Section 25 (4A) of the Customs Act, inserted vide Finance Act, 2021, prescribes that where any exemption is granted subject to any condition under sub section (1), such exemption shall, unless otherwise specified or varied or rescinded, be valid up to 31st day of March falling immediately after two years from the date of such grant or variation. Accordingly, conditional exemptions will have validity in terms of this subsection. Therefore, entry being impacted on account of this clause have been identified and an explanation has been inserted in the notification No. 50 /2017-Customs.

      [“Explanation: Under the provisions of subsection (4A) of section 25 of the Customs Act, 1962, it is hereby specified that the conditional exemptions granted under the S. Nos. of the Table to the notification, mentioned under column (2) of the Table below, for which period of validity is not specified otherwise, shall unless varied or rescinded, be valid up to the date mentioned in the corresponding entry in column (3) of the said Table. ….” ]

       

      The following entries, unless varied, will have validity up to 31.03.2023.

       

      45.

      16, 90, 133, 139, 150, 155, 164, 165, 168, 183, 184, 188, 204, 213, 237, 238, 253, 254, 255, 258, 259, 260, 261, 269, 271, 276, 277A, 279, 280, 325, 333, 334, 339, 340, 341, 341A, 353, 364A, 374, 375, 378, 379, 380, 381, 387, 392, 415, 415A, 416, 417, 418, 419, 420, 421, 426, 428, 429, 441, 462, 463, 464, 471, 472, 475, 478, 482, 489B, 495, 497, 504, 509, 510, 511, 512, 512A, 516, 519, 534, 535, 535A, 536, 538, 540, 542, 543, 544, 546, 549, 550, 559, 565, 566, 567, 568, 570, 575, 577, 578A, 579, 580, 581, 583, 593, 612

       

      The following entries [having been reviewed in this exercise done this year], unless varied, will have validity up to 31.03.2024.

       

      46.

      17, 80A, 104, 172, 191, 257, 257A, 257B, 257C, 264A, 290, 292, 293A, 296A, 326, 329, 345A, 354, 355, 356, 357, 422, 423, 442, 446, 451, 465, 517, 591

       

      Entries omitted being in the nature of technical change

       

      47.

      31

      Dried Grapes (Raisins, Other)

       

      48.

      161

      Electrical Energy originating from Nepal and Bhutan

       

      49.

      192

      Alkyl esters of long chain fatty acids obtained from vegetable oils, commonly known as bio- diesels

       

      50.

      215

      The Blood group sera, namely: -Anti C., anti E., anti c., anti e., anti M., anti N., anti Le., anti-Pl., anti S., antihuman globulin sera, anti F., anti kell, anti cellane, anti Jka., and anti I

       

      51.

      224

      Potassium Nitrate, in a form indicative of its use for manurial purpose

       

      52.

      248

      Dipping oil, Paclobutrazol (Cultar)

       

      53.

      466

      Parts/ sub-parts, components or accessories for use in the manufacture of tablet computer.

       

      54.

      485

      Deflection components for use in colour monitors for computers or for use in PCBs of colour monitors for computers

      55.

      496

      Stepper Motors for use in the manufacture of goods falling under heading 8471

      56.

      505

      Parts of Set-top box for use in its manufacture

      57.

      506

      Parts/sub-parts, components for use in manufacture of broadband modem Other than PCBA, charger.

      58.

      507

      Parts/ sub-parts, components and accessories for use in manufacture of routers other than PCBA, charger.

      59.

      508

      Parts/ sub-parts, components and accessories for use in manufacture of set top boxes for gaining access to internet other than PCBA, charger.

      Entries with partial changes

      60.

      15

      Frozen Semen and Frozen semen equipment

      [Exemption to continue only for bovine semen]

      61.

      104

      List of specified goods used in the processing of sea-foods

      [Exemption to continue for selected items and accordingly, exemption has been continued for 16 items and 4 new items has been added to the list]

      62.

      132

      List A items:

      1. Aluminous cement

      2. Silicon metal (99%)

      3. Micro/fumed silica

      4. Brown fused alumina

      5. Sintered/tabular alumina

      6. Fused zirconia

      7. Sodium hexameta phosphate

      8. Silicon carbide

      9. Boron carbide

      10. Reactive alumina

      11. Fused silica; and List B items: Phenolic resin

      [Exemption to continue for list A with end-date of 31.03.2023 and discontinue for list B immediately]

      63.

      166

      (A) Drugs, medicines, diagnostic kits or equipment specified in List 3.

      (B) Bulk drugs used in the manufacture of drugs or medicines at (A)

      [Exemptions under List-3 is being rationalized]

      Note: Items included in List 3 under S. No. 166 provides for a conditional concessional rate of 5% on the imports of drugs, medicines, diagnostic kits, etc. along with bulk drugs used in the manufacture of such drugs or medicines. The items in the said list has been reviewed. Accordingly, 35 items have been removed from the List and 1 item [influenza vaccine] in the List would be omitted after 18 months. For further details, please refer to notification No. 02/2022 – Customs dated the 1st February, 2022.

      64.

      167

      (A) Lifesaving drugs/medicines including their salts and esters and diagnostic test kits specified in List 4.

      (B) Bulk drugs used in the manufacture of drugs or medicines at (A).

      [Exemptions under List-4 is being rationalized in the manner as detailed in the Note at S. No. 63 above; Entry at S. No. 167 (C) has been omitted as a similar exemption is available under S. No. 607 (b) of notification No. 50/2017 – Customs]

      Note: Items included in List 4 under S. No. 167 provides for customs duty exemption on the imports of Lifesaving drugs/medicines, diagnostic kits, etc. along with bulk drugs used in the manufacture of such goods. The items in the said list has been reviewed. Accordingly, 3 items in List 4 [Diagnostic agent for detection of Hepatitis B antigen, Diagnostic kits for detection of HIV antibodies, Enzyme Linked Immuno absorbent Assay kits (ELISA kits)] have been transferred to List 3, 2 bulk drugs [bulk drug substance for poliomyelitis vaccine (inactivated and live) and Monocomponent Insulin] that are currently included in List 4 would be transferred to List 3 after 2-3 years, and 36 items from List 4 have been omitted. For further details, please refer to notification No. 02/2022 – Customs dated the 1st February, 2022.

      65.

      404

      Goods required in connection with Petroleum operations.

      [Rationalization of the exemption provided for goods used in petroleum operations as specified in List 33 under S. No. 404, and simplification of the associated condition no. 48 for availing such exemption and disposal of such goods]

      Note: A definition has been provided for a licensee, lessee, contractor or sub-contractor for the purpose of this entry. Also, the requirement of producing a certificate from Directorate General of Hydrocarbons (DGH) for import or each transaction under this entry has been dispensed with. Further, the list of items falling under List 33 has been pruned down and have been made more specific by prescribing the concerned HS Codes.

      66.

      513

      Parts or components for use in manufacture of populated printed circuit board of various telecom and electronics related products, and its sub-parts.

      [Exemption to continue for Digital Video Recorder(DVR)/Network Video Recorder(NVR) falling under tariff item 8521 90 90; CCTV Camera/IP Camera falling under tariff item 8525 20 80; Reception apparatus for television but not designed to incorporate a video display falling under tariff item 85287100]

      C. Customs duty exemptions which have been granted through certain other standalone notifications, have also been reviewed:

      S.No.

      Notification No.

      Amendment

      I. The following notifications have been modified in the manner as detailed below:

      1.

      39/1996-Customs dated 23.07.1996

      This notification prescribes concessional rate of customs duty on items relating to Defence and internal security forces. Upon review of exemption, entries under S. Nos. 14, 15, 17, 18, 19, 24, 29, 30, 31, 31A, 31B, 32, 33, 35, 36, 38, 39, 40, 41, 42, 43 have been omitted.

      [Sunset date of 31.03.2023 has been prescribed for the remaining entries as per Section 25(4A) of the Customs Act, 1962]

      2.

      25/1999-Customs dated 28.02.1999

      This notification prescribes concessional rate of customs duty on items relating to import of raw materials and parts for use in manufacture of electronic items.

      Upon review of exemption, it has been pruned to remove redundant exemption entries and exemptions related to obsolete items and accordingly, more than 125 entries have been omitted.

      [Sunset date of 31.03.2024 been applied for the remaining entries]

      3.

      25/2002-Customs dated 01.03.2002

      This notification prescribes concessional rate of customs duty on import of items relating to capital goods used in manufacture of electronic items. [Sunset date of 31.03.2024 been applied for the all entries]

      4.

      27/2011-Customs dated 01.03.2011

      This notification prescribes concessional rate of customs duty on export of goods. Upon review of the exemption, the entries under S. Nos. 20B, 63 and 64 have been omitted as these entries have become obsolete.

      5.

      37/2017-Customs dated 30.06.2017

      This notification prescribes concessional rate of customs duty on import of items relating to internal security agencies. Upon review of exemption entries, the entries under S. Nos. 6 and 7 have been omitted as their validity has expired.

      II. The following obsolete/expired notifications have been rescinded as detailed below:

      S.No.

      Notification No.

      Description

      1.

      190/1978-Customs dated 22.09.1978

      These notification provides for additional duty of customs on import of transformer oil equivalent to such portion of the excise duty leviable on the raw material commonly known as transformer oil base stock or transformer oil feedstock.

      2.

      191/1978-Customs dated 22.09.1978

      3.

      10/1995-Customs dated 7.3.1995

      This notification prescribes concessional rate of customs duty on import inputs imported for manufacturing of Iron & Steel intermediates.

      4.

      26/1999-Customs dated 28.2.1999

      This notification prescribes concessional rate of basic customs duty on import of kerosene imported by a manufacturer of linear alkyl benzene for extracting N-Paraffin.

      5.

      27/2004-Customs dated 23.01.2004

      This notification prescribes concessional rate of customs duty on import of specified goods imported for use in manufacture of certain chemicals.

      6.

      14/2006-Customs dated 01.03.2006

      This notification prescribes concessional rate of customs duty on import of specified varieties of woven fabrics falling under Chapters 52, 54, 55 and 58.

      The entries of this notification have been merged in notification No. 82/2017-Customs.

      7.

      48/2006-Customs dated 26.05.2006

      This notification prescribes concessional rate of customs duty on import of woven fabrics of carded/combed wool or fine animal hair. The entries of this notification have been merged in notification No. 82/2017-Customs.

      8.

      90/2007-Customs dated 26.07.2007

      This notification prescribes concessional rate of additional duty of customs on import of items related to Electronics and Information Technology goods.

      9.

      08/2011-Customs dated 14.02.2011

      This notification prescribes exemption from the whole of the additional duty of customs, leviable thereon under subsection (1) of section 3 of the said Customs Tariff Act, on jute products imported from Bangladesh or Nepal.

      The notification has been rescinded as post introduction of GST, the jute products attract integrated tax on imports.

      10.

      24/2011-Customs dated 1.03.2011

      This notification exempts Basic Customs Duty on copper concentrate as is equivalent to the duty of customs leviable on the value of Gold and silver contained in such copper concentrate.

      11.

      49/2013-Customs dated 29.11.2013

      This notification prescribed concessional rate of customs duty on import of Anti-Tuberculosis Drugs, Diagnostics and Equipment and had lapsed on 1st April, 2016.

      12.

      23/2014-Customs dated 11.07.2014

      This notification prescribed concessional rate of customs duty on import of Drugs & equipment imported for National AIDS Control Programme and had lapsed on 1st April, 2015.

      13.

      37/2015-Customs dated 10.06.2015

      This notification prescribed concessional rate of customs duty on import of Anti-Retroviral Drugs (ARV Drugs) and had lapsed on 1st April, 2016.

      14.

      11/2016-Customs dated 01.03.2016

      This notification prescribes concessional rate of customs duty on import of software recorded media.

      15.

      20/2020-Customs dated 9.04.2020

      This notification prescribes concessional rate of customs duty on import of Face Masks, Surgical Masks, Ventilators, COVID-19 Testing Kits, etc. and had lapsed on 30th September, 2020.

      16.

      40/2020-Customs dated 28.10.2020

      This notification prescribes concessional rate of customs duty on import of Potatoes under Tariff Rate Quota (TRQ) and had lapsed on 31st January, 2021.

      D. Inclusion of End-date as per Section 25(4A) of the Customs Act, 1962, in certain stand-alone notifications:

      S.No.

      Notification No./ Entry of the notification No.

      Amendment

      1.

      146/94-Customs dated 13.07.1994

      This notification prescribes concessional rate of customs duty on specified sports goods, equipment and requisites imported by National Sports Federation

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      2.

      147/94-Customs dated 13.07.1994

      This notification prescribes concessional rate of customs duty on exemption to Fire arms and ammunition for renowned shot

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      3.

      50/96-Customs dated 23.07.1996

      This notification prescribes concessional rate of customs duty on equipment, instrument, raw materials, components, pilot plants, computer software for R&D project

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      4.

      30/2004-Customs dated 28.01.2004

      This notification prescribes concessional rate of customs duty on import of second hand computers as donation

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      5.

      81/2005-Customs dated 08.09.2005

      This notification prescribes concessional rate of customs duty on machinery/components for initial setting up of power generation project

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      6.

      5/2017-Customs dated 02.02.2017

      This notification prescribes concessional rate of customs duty on machinery, equipment, apparatus, components and appliances for initial setting up of fuel cell based system for generation of power

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      7.

      16/2017-Customs dated 20.04.2017

      This notification prescribes concessional rate of customs duty on specified drugs and medicines supplied free of cost to patients

      [All the entries in the notification, unless varied or rescinded, will have validity up to 31.03.2023.]

      8.

      Serial No. 2 of 32/2017-Customs dated 30.06.2017

      This notification prescribes concessional rate of customs duty on art work created abroad by Indian artist and sculptures, antique books more than 100-year-old.

      [The entry, unless varied or rescinded, will have validity up to 31.03.2023.]

       


      Full Text:

      Budget 2022-23 + FINANCE Bill, 2022

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