Import of Household Articles
Take- Car-Gold-silver to India/up Employment

 

Import of Household Articles
Import of House hold articles by NRI

(A) Passengers returning from countries other than Nepal, Bhutan, Myanmar or China

Indian residents who return to India from abroad excepting Nepal, Bhutan, Myanmar or China are eligible for a clearance free of duty.
Where those passengers who are above the age of twelve are concerned and are returning to India after a stay of more than three days, they would be permitted to carry:

1. Used personal articles necessary for everyday life, this however does not include jewellery. Excepting those articles upto a value of upto Rs.12,000 can be brought in by the passenger.
2.In the case of a return after less than three days, personal articles with the exception of jewellery can again be carried. Articles other than those mentioned in Annex. I subject to a maximum value of Rs. 6,000 if these were carried on the person of the traveler or in the accompanying baggage.
3.If the person concerned were to return after more than 3 years, again personal articles with the exception of jewellery are permitted. Articles other than those mentioned in Annex. I upto a value of Rs. 3,000 if these are carried on the person or in the baggage accompanying the passenger.
4.In the case of a return after a stay abroad of three days or less, those that are permitted are personal items excepting jewellery once again, and articles other than those mentioned in Annex.I upto a value of Rs 1,500 if these are carried on the person or in the baggage accompanying the passenger.

(B) Passengers returning from Nepal, Bhutan, Myanmar or China

Where an Indian resident or a foreigner residing in India is concerned and who is returning from Nepal, Bhutan, Myanmar or China, other than by land route, he would be permitted clearance free of duty articles in his bonafide baggage to the extent mentioned below. Passengers of and above 12 years of age

1.If he were returning after a stay abroad of more than three days, personal articles needed for daily use excepting jewellery, and those which are not mentioned in Annex.I, subject to a maximum value of Rs. 3,000, so long as they are carried on the person of the traveler or in the accompanying baggage.

2.In the case of a return after more than three days, personal articles not inclusive of jewellery and excepting those that come under Annex.I, upto a value of Rs. 750 if these are carried on the person or in the accompanying baggage of the passenger.

Professionals returning to India

An Indian professional who is retuning to India:

1.If he were returning after at least 3 months, he would be permitted to bring in used household articles upto an aggregate value of Rs. 6,000/-and professional equipment upto a value of Rs 10,000/-.
2.If he were returning after at least 6 months, used household articles worth Rs. 6,000/- and professional equipment upto a value of Rs. 20,000/-.
3.In the case of a return after a gap of 1 year during the preceding 2 years on termination of his work, and who has not availed this concession in the preceding three years, he can bring in used household articles and personal articles, which he had been using for a minimum of six months, and which are not mentioned in Annex I or Annex II upto an aggregate value of Rs. 30,000/-.

Jewellery

In the case of an Indian passenger staying abroad for over one year returning to India, he would be permitted clearance free of duty, jewellery in his bonafide baggage to the extent mentioned below

1.Jewellery upto an aggregate value of Rs.10,000/- in the case of a male passenger, and Rs. 20,000/- in the case of a female passenger. Tourists who come to India would be allowed clearance free of duty articles to the extent mentioned below.

1.Tourists of Indian origin can carry used personal effects and travel souvenirs so long as they are meant for personal use only, the balance should be re-exported if they were not consumed by the tourist during the course of his stay here.

Transfer of residence

1.If a person were to transfer his residence to India, he would be permitted a clearance free of duty on articles in his bonafide baggage. Used personal and household articles, excepting those listed in Annex I or Annex II, but including jewellery upto ten thousand rupees in case of a male passenger, or rupees twenty thousand in case of a female passenger so long as the following conditions are also satisfied .

A)Minimum stay of two years abroad, immediately preceding the date of his arrival.
B)Total stay in India on short visit during the 2 preceding years should not exceed 6 months.
C)Passenger has not availed of this concession in the preceding three years. Relaxation may be granted after taking the above factors into consideration.

The following are the items that come under Annexure I

1.Fire arms.
2.Cartridges of firearms exceeding 50.
3.Cigarettes exceeding 200 or cigars exceeding 50 or tobacco exceeding 250 gms.
4.Alcoholic liquor and wines in excess of one litre each.
5.Gold or silver, in any form, other than ornaments.

The following are the items that come under Annexure II

1.Color Television/Monochrome Television.
2.Video Cassette Recorder/ Video Cassette Player/ Video Television Receiver
3.Washing Machine.
4.Electrical/ Liquefied Petroleum Gas Cooking Range (other than Electrical/ Liquefied Petroleum Gas stoves with not more than two burners and without any extra attachment.
5.Dish Washer.
6.Music System.
7.Personal Computer.
8.Air Conditioner.
Take a Car to India
Rules regarding Import of Cars/ Vehicles in India

Indian nationals coming to India for permanent settlement:

  • Import of one passenger car with engine size not exceeding four cylinders and not exceeding 1600 c.c. is permitted, whether the car is new or old. However, if engine size exceeds four cylinders or 1600 c.c., the car should have been in the use of the importer for more than a year prior to his return to India
  • The importer has stayed abroad continuously for a period of at least two years prior to his coming to India for permanent settlement.
  • The payment for the car is made abroad before his return to India. Custom duty can be paid
  • The car should be imported into India within six months of the arrival of the importer in India for permanent settlement.
  • If the importer transfers his residence out of India again, he will be entitled to import another car under the policy only after a minimum period of five years from the date of importation of the previous vehicle. Customs authorities shall endorse on the passport of the importer " Transfer of residence with car" at the time of clearance of the car.
  • The importer is free to sell the car in the open market after his return to India without any restriction as regards the period of retention of the vehicle.
  • Import of one two-wheeler in place of car is also permitted whether the same is new or old subject to fulfillment of the above conditions.
  • Import of any other type of automobile vehicle may be permitted by the Director General of Foreign trade,on merits.
  • On the import of the vehicle, it should be registered in the name of the importer.

Payment of Custom Duty in free foreign exchange for Import of cars and vehicles

In case of Indian nationals or foreign nationals of Indian origin returning to India for permanent settlement or foreign born wives of Indian nationals bringing vehicles into India, custom duty can be paid in rupees derived by sale of foreign exchange or by debit to their NRE/FCNR accounts held in India or out of the funds held in their RFC account. In such cases, the authorized dealers will have to issue a certificate to that effect for submission to the Customs authorities. It will also be in order for the authorized dealers to open and maintain special non-convertible accounts in the name of the above categories of persons with funds derived either by remittances from abroad or by debit to their NRE/FCNR/RFC account in India for the purpose of paying custom duty. The certificates issued by authorized dealers should, however, bear a clear superscription that the same have been issued for submission to the customs authorities for payment of custom duty, after assessment thereof.

Import Duty on Motor Cars

Motor cars, Motor cycles and scooters whether new or old imported into India are chargeable to duty under Tariff Headings 87.03 and 87.11 on the basis of their list price prevailing in the country of the their manufacture on the date on which a bill of entry is presented. However, trade discount and depreciation on the value are deductible from the price list but freight from the country of manufacture and insurance charges are added. The landing charges are also added to this to arrive at the final assessable value.

Freight is calculated from the country of manufacture to the first port of landing in India. It is worked out on the basis of rate fixed on the volume of the car normally supplied by the Shipping Corporation of India. Insurance is normally 1.125% of the F.O.B. value. Landing cost is 1% of C.I.F. value. Cess is to be taken @ 1/8% as valorem or 0.125% under the IDR Act, 1951.

CUSTOMS DUTY RATE W.E.F. 13.6.1998

Vehicle

Basic Duty

Special. Duty

Additional Duty

Sp. Additional Duty

Total Duty ad valorem

Saloon Car

40%

5%

40%

4%

111.12%

Motor Cycle/Scooters/Mopeds of engine capacity not exceeding 75 CC

40%

5%

15%

4%

73.42%

Motor Cycle/Scooters/Mopeds of engine capacity exceeding 75 CC

40%

5%

25%

4%

88.5%

How to calculate Additional Duty and Special additional Duty

Additional Duty (AD) is calculated as a percentage of the aggregate of CIF value plus basic duty and special duty.

Special Additional Duty is calculated as a percentage of the aggregate of CIF value plus basic duty, special duty and CVD.

Value for standard accessories fitted in cars will form part of the assessable value of the car. Extra accessories, air-conditioners, radio etc are chargeable to further duty.

The rate of exchange would be as on the date on which bill of entry for clearance is presented to the Customs and not one at the time of paying the price of car in foreign country.

Depreciation

Depreciation for second hand or used cars is allowed at the prescribed scale. Extent of depreciation is counted from the date of registration thereof to the date of actual shipment of the vehicle or the date of departure of the owner from the foreign country, whichever is earlier.

In order to avoid possible disputes on the allowability of depreciation on motor vehicles which are more than 4 years old, the Board has revised the scale of depreciation w.e.f. 26.5.1993, as under:"

  1. for every quarter during Ist year 4%
  2. for every quarter during 2nd year 3%
  3. for every quarter during 3rd year 2-1/2%
  4. for every quarter during 4th year and thereafter 2%. Subject to an overall ceiling of 70%
Take Gold And Silver

Import of GOLD

Indian nationals have been formally permitted by the RBI to bring into the country up to 10,000gms, of gold so long as they have completed a 6-month stay abroad.
They have to comply with filling in a baggage declaration form for the unaccompanied baggage.
Re-export of the gold would be permitted if they are unable to clear the goods due to a shortage of foreign exchange for paying Customs duty.

Conditions

1.The person concerned should be of Indian origin and should be in procession of a valid passport. 2.The maximum limit that could be brought in is 10 kgs and is subject to the condition that the required customs duty is paid
3.It should be preceded by a minimum of a six-month stay abroad.
4.The gold may be either in the form of gold biscuits or ornaments including those studded with precious stones
5.The duty payable should be in convertible foreign currency at the rate of Rs. 400 per 10 gms.
6. A time limit of 15 days has been set after the arrival of the importer before which a declaration has to be filed by the importer for obtaining the permitted quantity of gold from the customs bonded warehouse of State Bank of India or from the Metal & Mineral Trading Corporation.

Baggage Rule for import of Gold

Custom Bonded Warehouse offers an option to take delivery of the gold in India from the customs bonded warehouses to be operated by the State Bank of India and the Minerals and Metals Trading Corporation

1.The concept of Customs Bonded Warehouses was introduced to neutralise the risk the importers have to undergo if they were to arrive at the airport during the wee hours of the day.
2.This facility would be operated by SBI and MMTC in Delhi, Mumbai and Thiruvananthapuram and other specified delivery centers.
3. Payments could be made for the gold in foreign exchange either abroad or in India by those who avail of this facility.
4. If the passenger had already made the payment abroad and on arriving it were to be found that he was not eligible to make the imports, then he would be refunded, as the provision for this has been incorporated in the scheme.
5.All those who wish to avail of the facility of delivery of gold through such warehouses should make the necessary declarations at the time of their arrival
6.The customs authorities concerned are authorised to decide upon the eligibility of the passengers to make the imports.

Gold Jewellery

1. Those passengers who have stayed abroad for periods exceeding one year could bring into India free of duty, jewellery up to a value of ten thousand rupees in the case of a male passenger and twenty thousand rupees in case of a female passenger. Anything in excess of this quantity would be liable to payment of duty under the above mentioned scheme for import of gold.

Concessional duty on Import of Gold as Baggage

1.The duty should be paid in convertible foreign currency
2. A declaration should be filed by the passenger in the prescribed form before the proper officer of customs at the time of his arrival in India and pay the duty leviable thereon before his clearance from customs.

Clearance of Gold on Payment of Duty

1.The passenger concerned would have to formally file a declaration on the prescribed form before the customs officer at the time of his arrival in India indicating his intention to obtain the gold from the customs bonded warehouse and pay the duty before clearance.

Gold Coins
1.There are no restrictions as such where the import of gold coins of foreign origin is concerned.

Import of SILVER

Those of Indian nationality or origin could bring into India a maximum of 100 kgs of silver as a part of their baggage if they had stayed abroad for a period of six months or more. They have to go through the formality of filling up a baggage declaration form for the unaccompanied baggage. In case the passenger is unable to clear the silver due to insufficient foreign exchange for paying Customs duty, re-export of the same would be permitted.

Conditions

1. The person concerned should be of Indian origin and hold a valid passport.
2. A maximum of 100 kgs of silver could be brought in.
3. The Passenger concerned should have spent a minimum of six months abroad.
4. It may be in any form other than ornaments studded with stones and pearls.
5. The import duty applicable is Rs. 500 per kilogram which is payable in foreign currency.
6. Import should be made at the time of arrival of the passenger or within 15 days of the arrival of the passenger into India.
7. The importer is obliged to file a declaration for obtaining the permitted quantity of silver from the customs bonded warehouse of State Bank of India or from Metal & Mineral Trading Corporation subject to other conditions.

Baggage Rule for import of Silver

Custom Bonded Warehouse:
The State Bank of India and the Minerals and Metals Trading Corporation make available the facility for taking delivery of the metals in India from the customs bonded warehouses.

1. Customs Bonded Warehouses serve the purpose of reducing the risk factors for those passengers who arrive in late night flights.
2. This facility would be operated by SBI and MMTC in Delhi, Mumbai and Thiruvananthapuram and other specified delivery centers.
3. The payment could be made by the passengers either abroad or in India.
4. A refund facility is also available for those who had made the payment abroad and after arriving on home soil find that they are ineligible to make such imports.
5. Those who wish to avail of this facility would be obliged to make a declaration to this effect before the customs authorities at the time of their arrival in the country at the respective airports namely Sahar, IGI Delhi and Thiruvananthapuram.
6. Where the eligibility to make such imports is concerned, it would be left to the discretion of the customs authorities concerned, and once the goods are cleared by them, the duty has to be deposited at the airport itself.

Silver Jewellery

1. If a passenger had already stayed abroad for more than a year, he could bring in silver jewelry already in his use subject to a maximum limit of ten thousand rupees in the case of a male passenger and twenty thousand rupees in case of a female passenger. This jewellery is liable to payment of duty under the above mentioned scheme for import of silver.

Concessional duty on Import of silver as Baggage

1. Convertible foreign currency is the medium of payment of the duty.
2. A formal declaration should be filed in the prescribed form by the passenger at the time of his arrival in India and he should pay the duty leviable thereon before his clearance from customs.

Clearance of Silver on Payment of Duty

1. The passenger should file a declaration on the prescribed form before the Customs Officer immediately on arrival in India wherein he should state his intention to obtain the silver from the customs bonded warehouse and pay the duty before clearance.

Silver Coins

1. No restrictions exist in regard to the import of silver coins and also jewellery for that matter so long as they are not studded with precious stones or pearls.

 
Take up Employment

Taking up Employment, Business etc. in India

Indian Nationals on their return from abroad can take up employment, business or profession in India without any reference to RBI. With amendment to FERA, 1973, persons of Indian Origin do not require any permission from RBO for taking up employment in India.

Foreign Nationals of Indian Origin permanently resident in India have been granted general exemption from the requirements of Section 28(I) and 29(ii) of FERA, 1973 vide RBI notification no- FERA- 146/93-RB DT. 26th April 1993. Accordingly, no permission of RBI is required in the following cases. (i) For acting or accepting appointment as agent of any person or company in the trading or commercial transactions of such person or company. (ii) To carry on in India any activity of trading, commercial or industrial nature or to establish a place of business in India for carrying on such activities. (iii) For acquiring the whole or any part of any undertaking in India of any person or company carrying on any trade, commerce or industry. (iv) For purchasing shares in India of any company carrying on any trade, commerce or industry.

It will be observed from above discussion that foreign nationals of Indian Origin not permanently resident in India will not be exempted from the operations of Sections 28(i) and 29(ii) and will accordingly require necessary permission from RBI.