OFFICE OF THE COMMISSIONER  OF CUSTOMS: NEW CUSTOM HOUSE:

PANAMBUR: MANGALORE – 575 010. 

PUBLIC NOTICE NO.3/2000                                      DATED: 02.03.2000 

                        Sub:  Introduction of Finance Bill 2000 in the LOK SABHA

                                  Intimation regarding Customs &C.Excise changes-reg.

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            The trade is hereby informed that consequent to the introduction of the Finance Bill 2000, in the LOK SABHA on the 29th February,2000, certain changes relating to the Tariff, introduced by the Finance Bill 2000 and the Notification,(unless otherwise indicated in the Bill or in Notification) come into force from the midnight of 29.2.2000/1.3.2000. 

            The salient changes in the budget relating to Customs duty are as follows.  However,for details budget Bulletins may be referred. 

            The peak rate of Basic Customs duty reduced from 40% to 35%.  Consequently customs rate structure has been rationalized by reducing the five major advalorem rates of 5%,15%,25% , 35%& 40% to four major rates of 5%,15%,25% & 35%.  Tariff rates have been adjusted suitably.  Until the enactment of the Finance Bill, reduction in peak rate effected through Notification No.17/2000 Cus dated 1.3.2000. 

            Surcharge of Customs at 10% of Basic duty rate to continue.  It will also apply to the new peak rate of duty of 35%.  Exemption from surcharge continues for Gold and silver, crude petroleum and refined petroleum products. 

            Special additional customs duty of 4% also continues.  However, exemption available to goods imported for sale as such ie., for trading has been withdrawn.  As a result SAD would apply to all imports across the board.  Crude petroleum is exempted from SAD. 

            There is no change in the duty structure on Baggage.  The duty free exemption limit remains unchanged. 

            Important changes in the rates of duty on different items are as under: 

            Basic customs duty has been raised to 35% on agricultural goods(other than cereals)Horticultural and Floricultural products. 

            Basic customs duty on Marble, Granite, Magnesite and Cement has been reduced to 35%.  Basic duty on crude petroleum has been reduced to 15% from 20% and that on refined products(other than Kerosene) from 30% to 25% Basic duty on Kerosene for parallel Marketing raised from 30%to 35%. 

            Basic Customs duty on computers & computer peripheral of Heading No.84.71 reduced from 20% to 15%. 

            A number of items are allowed to be imported from Sri Lanka at concessional rates.  These changes are effective from 1.3.2000. 

            The changes in the rates of duty come into effect from the midnight of 29th Feb/1.3.2000 and the amendments proposed in the Finance Bill to the various sections of the Customs Act will take effect from the date of enactment to be notified later. 

                                                                                            (P.KARTHIKEYAN)

                                                                               COMMISSIONER  OF CUSTOMS

                                                                                                   MANGALORE.

 To

 All as per Customs Mailing List,

(Issued from file No.S-26/74/99 Budget).