OFFICE OF THE COMMISSIONER OF CUSTOMS: NEW CUSTOM HOUSE:
PANAMBUR: MANGALORE – 575 010.
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imported for sale as such ie., for trading has been withdrawn.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).