b) The BCD is being increased on styrene, vinyl chloride monomer, toys and parts of toys

(other than parts of electronic toys), bicycles, automobiles in SKD and CBU form, Silver
bar, Silver dore and naphtha.
c) The BCD and the AIDC /SWS rates are being re- calibrated while maintaining the existing
incidence of customs duties on gold, gold dore, platinum, coal, peat and lignite. Similarly
the BCD and AIDC on aircraft (other than those at Nil or 2.5%) & aircraft tyres (other than
those at Nil) are being re-calibrated while maintaining the same incidence of duty. These
changes will also be effective from, 2nd February,2023 through the relevant notifications.
II. Duty rate changes
1. Chemicals and petrochemicals:
a) The BCD on denatured ethyl alcohol is being reduced from 5% to Nil for use in the
manufacture of industrial chemicals through IGCR route.
b) The BCD on acid grade fluorspar (containing by weight more than 97% of calcium
fluoride) is being reduced from 5% to 2.5% .
c) The BCD on crude glycerin is being reduced from 7.5% to 2.5% for use in manufacture of
epichlorohydrin through IGCR route.
d) The BCD on Naphtha is being increased from 1% to 2.5%.
e) The BCD on styrene is being increased from 2 % to 2.5%.
f) The BCD on Vinyl Chloride monomer is being increased from 2% to 2.5%.

2. Precious Metals
a) The import duty on Dore and bar of gold and platinum were enhanced in June and October
2022 respectively. While maintaining the existing incidence of import duty on these items,
the BCD rate and AIDC rates are being recalibrated. The import duty on silver bar and
silver Dore is however being enhanced. The changes are as follows:

BCD AIDC SWS

Commodity Total duty
From To From To From To
Gold Bars 12.50% 10 % 2.50% 5.00% Nil Nil 15%
Gold Dore 11.85% 10 % 2.50% 4.35% Nil Nil 14.35%
Platinum 12.50% 10% 1.50% 5.40% 1.40 Nil 15.40%
Silver Bar 7.50% 10% 2.50% 5.00% 0.75 Nil 15%
Silver Dore 6.10% 10% 2.50% 4.35% 0.61 Nil 14.35%

b) The import duty on articles made of precious metals falling under CTH 7113 & 7114 is
being increased from 22% to 25%. It is however being exempted from SWS.
 c) The import duty on imitation jewellery classified under Heading 7117 is being increased
from 22% or Rs. 400/kg, whichever is higher’ to ‘25% or Rs. 600/kg, whichever is higher’.
It is however being exempted from SWS.
3. Export Promotion:

a) The BCD on ‘seeds’ for use in manufacture of rough lab grown diamond is being reduced
to Nil subject to IGCR condition for a period of two years.
b) The BCD on certain ingredients/inputs for use in the manufacture of aquatic feed is being
reduced subject to IGCR condition as follows:

Description of goods From To

Fish meal 15% 5%
Krill meal 15% 5%
Fish lipid oil 30% 15%
Algal Prime (flour) 30% 15%
Mineral and Vitamin Premixes 15% 5%

4. Electronics goods
a) The BCD on camera lens for camera module and input/sub parts for lens of camera module
of mobile phone is being reduced from 2.5% to Nil subject to IGCR condition.
b) Exemption from BCD is being provided to specified chemicals/items for manufacture of
Pre-calcined Ferrite Powder as is available for Ferrites (S. No 17 of Notification no 25/1999
-Customs).
c) Exemption from BCD is being provided to Palladium Tetra Amine Sulphate for
manufacture of parts of connectors as is available for manufacture of connectors. (S.No
225 of Notification no 25/1999 -Customs).
d) The BCD on parts for manufacture of open cells of TV panels is being reduced from 5% to
2.5% subject to IGCR condition.
5. Electrical appliances
e) The BCD on electric kitchen chimney is being increased from 7.5% to 15% .
f) The BCD on heat coils for use in manufacture of electric kitchen chimney is being reduced
from 20% to 15% subject to IGCR condition.
6. Automobiles
a) Exemption from BCD is being provided to vehicles, specified automobile
parts/components, sub-systems and tyres, when imported by notified testing agencies for
the purpose of testing and/ or certification , subject to specified conditions.
b) The BCD on vehicle (including electric vehicles) in Semi-Knocked Down (SKD) form is
being increased from 30% to 35%. However it is being exempted from SWS
 c) The BCD on vehicles in Completely-Built Unit (CBU) form is being increased from 60%
to 70%. However it is being exempted from SWS.
7. Capital Goods
a) Customs duty exemption is being provided to import of specified capital goods and
machinery required for manufacture of lithium-ion cells for batteries used in electric
vehicles as is available for manufacture of lithium-ion cells for batteries used in mobile
handsets.(S.No 69 of Notification no 25/2002 -Customs )

8. Others
a) The BCD on bicycles is being increased from 30% to 35%. However it is being exempted
from SWS.
b) The BCD on toys and its parts is being increased from 60% to 70%. However it is being
exempted from SWS . There are no changes to the effective rate on parts covered under S.
No 591 of Notification No. 50/2017-Customs.
c) The BCD on aircraft (other than those at Nil or 2.5%) and aircraft tyres (other than those at
Nil) is being reduced from 3% to 2.5% but they will attract AIDC of 0.5%.
d) The BCD on coal, peat and lignite is being increased to 2.5% but these are being exempted
from AIDC.
e) The BCD on compounded rubber is being increased from 10% to ‘25% or Rs. 30/kg
whichever is lower’.
f) The BCD on pecan nuts is being reduced from 100% to 30%. The SWS exemption is being
withdrawn.
g) The BCD on Warm blood horse imported by sports person of outstanding eminence for
training purpose for equestrian sports is being reduced from 30% to Nil subject to
conditions.

9. Social welfare surcharge (SWS)

The following goods are being exempted from levy of Social Welfare Surcharge in order to
maintain the total effective duty owing to rationalization of basic customs duty rate structure:

1. Silver (HSN 7106), Gold ( HSN 7108) & Imitation Jewellery (HSN 7117)
2. Platinum (HSN 7110) other than rhodium and goods covered under S. Nos. 415(a)
and 415A of the Table annexed to the notification No. 50/2017-Customs, dated
the 30th June, 2017, published in the Gazette of India vide number G.S.R. 785(E),
dated the 30th June, 2017.
3. All goods falling under HSN 7113, other than the goods covered under S. Nos.
356, 357 and 364C of the Table in the notification No. 50/2017-Customs, dated
 the 30th June, 2017, published in the Gazette of India vide number G.S.R. 785(E),
dated the 30th June, 2017.
4. All goods falling under HSN 7114, other than the goods covered under S. Nos.
356 and 357 of the Table in the notification No. 50/2017-Customs, dated the 30th
June, 2017, published in the Gazette of India vide number G.S.R. 785(E), dated
the 30th June, 2017.
5. Bicycles (HSN 8712 00 10)
6. Motor vehicle including electrically operated vehicles falling under HSN 8703
covered under S. No. 526 (1)(b), 526 (2)(b), 526A(1)(b) and 526A(2)(b) of the
Table in Notification No. 50/2017-Customs dated the 30th June, 2017, published
in the Gazette of India vide no G.S.R. 785(E) dated the 30th June, 2017.
7. Aeroplane and other aircrafts falling under tariff items 8802 2000, 8802 3000 and
8802 4000 covered under S. No. 543 A of the Table in Notification No. 50/2017-
Customs dated the 30th June, 2017, published in the Gazette of India vide no
G.S.R. 785(E) dated the 30th June, 2017.
8. Toys and parts of toys (HSN 9503) other than goods covered under S. No. 591of
the Table annexed to Notification No. 50/2017-Customs dated the 30th June,2017

The following notifications are being rescinded on account of being redundant owing to basic
customs duty rate structure rationalization:
1 No. 13/2021-Customs, dated the 1st February, 2021, published in the Gazette of
India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R.
71(E), dated the 1st February, 2021
2 No. 34/2022-Customs, dated the 30thJune, 2022, published in the Gazette of India,
Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 487(E),
dated the 30thJune, 2022
Note: Description of entries is indicative, notification may be referred for complete description.

10. Agriculture Infrastructure and Development Cess (AIDC)

(a) AIDC rate changes (with changes to the effective rate of customs duty)
S.No Commodity From To
1. Silver bar 2.5% 5%
2. Silver Dore 2.5% 4.35%
Note: Description of entries is indicative, notification may be referred for complete description.

(b) Changes to AIDC (without any change to the effective rate of customs duty)
S. No Commodity From To
1. Coal, peat, lignite 1.5% Nil
2. New pneumatic tyres, of rubber , of a kind used on Nil 0.5%
aircraft as mentioned in Entry 280 A of Notification
No. 50/2017-Cus
3. Gold bar 2.5% 5%
4. Gold Dore 2.5% 4.35%
5. Platinum other than rhodium and goods covered 1.5% 5.4%
under S. Nos. 415(a) and 415A of the Table in
notification No. 50/2017-Customs, dated the 30th
June, 2017.
6. Aero planes and other aircraft covered under S.No. Nil 0.5%
543A of Notification No. 50/2017-Cus
Note: Description of entries is indicative, notification may be referred for complete description.

11. Review of Exemptions

Out of 196 exemptions, 146 exemptions are being extended for a period of one year i.e. up to
31.3.2024 for the purpose of undertaking review. Of the remaining, a few are being extended
for five years, two years and one year while some exemption entries are being discontinued
with effect from 31.3.2023.
The details of exemption entries/ notifications extended by five years, two years and one year
are as follows:
S. No S.No.in Commodity From To
Notification
No 50/2017-
cus/
Notification
No
Extended by five years upto 31.3.2028
1. S. No 609 of Used bonafide personal and household effects of a deceased person
50/2017-
Customs
2. 33/2017- Exemption to import/reimport of challenge cups and trophies won by
Customs a unit of Defence Force or its members.
3. 41/2017- Exemption to import of cups, trophies to be awarded to winning teams
Customs in international tournament /world cup to be held in India.
4. 146/94- Exemption to import of specified sports goods imported by National
Customs Sports Federation or by a Sports person of outstanding eminence for
training.
5. 90/2009- Exemption to imports from Antarctica of goods used for or related to
Customs Indian Antarctic Expedition or Indian Polar Science Programme.
Extended by two years upto 31.3.2025
1. 168 Specific inputs and sub-parts for use in Nil Nil
manufacture of telecommunication grade
optical fibre or optical fibre cables
2. 341 Preform of silica for use in the manufacture 5% 5%
of telecommunication grade optical fibres or
optical fibre cables
3. 341A Inputs for manufacture of Preform of silica Nil Nil

4. 405, 406 Raw materials and parts for manufacture of 5% 5%

Wind operated electricity generators,
including permanent magnets for
manufacture of PM synchronous generators
above 500KW for use in wind operated
electricity operators
5. 559 Raw material and parts (including Dredger) Nil Nil
for use in the manufacture of ships/vessels

6. 166 Specified Drugs, medicines, diagnostics kits 5% 5%

7. 167 Lifesaving drugs etc Nil Nil
Extended by one year upto 31.3.2024
1. 368 Ferrous waste and scrap Nil Nil
2. 374,375 Raw materials for use in manufacture of Nil Nil
CRGO steel

3. 527A Lithium-ion cell for use in the manufacture 5% 5%

of battery or battery pack of cellular mobile
phone
4. 527B Lithium-ion cell for use in the manufacture 5% 5%
 of battery or battery pack of electrically
operated vehicle (EVs) or hybrid motor
vehicle
5. 237 Specified inputs for use in the manufacture Nil Nil
of EVA sheet or back sheets which are used
in the manufacture of solar cell or modules
6. 340 Solar tempered glass for use in the Nil Nil
manufacture of solar cell or solar module

Note: Description of entries is indicative, notification may be referred for complete description.

In addition, there are 146 conditional exemptions covered by Notification no 50/2017-Customs

and standalone notifications that are also being extended up to 31.3.2024 for the purpose of
undertaking review during the year which is at Annexure -I. The list of conditional
/unconditional exemption entries under notification no 50/2017-customs and standalone
notification discontinued with effect from 31.3.2023 is at Annexure -II.

B CENTRAL EXCISE

1. The Seventh Schedule of the Finance Act, 2001 is being amended to revise the specific
rates of National Calamity Contingent Duty (NCCD) levied as duty of excise on specified
cigarettes w.e.f. 2nd February, 2023 as follows:
Tariff Item Description of goods From To
(Rs per (Rs per
1000 1000
sticks) sticks)
2402 20 10 Other than filter cigarettes, of length not exceeding 200 230
65 millimetres
2402 20 20 Other than filter cigarettes, of length exceeding 65 250 290
millimetres but not exceeding 70 millimetres

2402 20 30 Filter cigarettes of length not exceeding 65 440 510

millimetres
2402 20 40 Filter cigarettes of length exceeding 65 millimetres 440 510
but not exceeding 70 millimetres
2402 20 50 Filter cigarettes of length exceeding 70 millimetres 545 630
but not exceeding 75 millimetres

2402 20 90 Other cigarettes 735 850

 2402 90 10 Cigarettes of tobacco substitutes 600 690

2. Central excise duty exemption is being provided on blended Compressed Natural Gas
(CNG) from so much of the amount as is equal to the GST paid on Bio Gas /Compressed
Bio Gas contained in such blended CNG.

C. LEGISLATIVE AMENDMENTS

I. Amendments in Customs Act, 1962

(i) Section 25 of the Customs Act is being amended to insert a Proviso to subsection (4A) to
provide that the validity of two years shall not apply to exemption notifications issued in
relation to multilateral or bilateral trade agreements; obligations under international
agreements, treaties, conventions; UN agencies, diplomats, international organizations;
privileges of constitutional authorities; schemes under Foreign Trade Policy or other
Central Government schemes having a validity of more than two years; re-imports,
temporary imports, goods imported as gifts or personal baggage; any duty of customs
imposed under any law in force including integrated tax leviable under sub-section 7 of
Section 3 of the Customs Tariff Act, 1975, other than under Section 12 of the Customs Act;
(ii) Section 127 C of the Customs Act is being amended to insert sub section (6) to specify a
time limit of 9 months from the date of application, for disposal of the application filed
before the Settlement Commission.

II. Amendments in Customs Tariff Act, 1975

(i) Sections 9, 9A, 9 C of the Customs Tariff Act are being amended to clearly amplify the
intent and scope of these provisions. They are also being validated retrospectively with
effect from 1st January 1995.
(ii) The First Schedule to the Customs Tariff Act, 1975 is being amended to introduce new
tariff lines or modify existing tariff lines. The proposed changes are in chapter 3, chapter
4, chapter 9, chapter 10, chapter 12, chapter 13, chapter 19, chapter 27, chapter 29, chapter
31, chapter 38, chapter 39, chapter 48, chapter 52, chapter 54, chapter 57, chapter 61,
chapter 62, chapter 63, chapter 69, chapter 71, chapter 84, chapter 85, and chapter 87.
Changes which does not involve change in rate of duty would come into effect from
1.5.2023.
(iii) The General explanatory note to the General Rules for interpretation of the Schedule is
being amended to carry out some changes which inter alia, include changes to align the
abbreviations and the tariff with complementary amendments to the HS 22. These changes
would come into effect from 1.5.2023.
(iv) The First Schedule to the Customs Tariff Act, 1975 is also being amended to modify the
tariff rates on certain tariff items as part of rationalization of customs duty rate structure.
 Wherever there are increase in duty rates, they would come into effect from 2.2.2023 and
the others would come into effect from the date of assent of the Bill.
(v) The Second Schedule is being amended to align the entries under heading 1202 with that
of the First Schedule. These changes would come into effect from 1.5.2023.

III. Amendments in CGST and IGST Acts

Amendments carried out in the Finance Bill, 2023 except those in clause 142 will come
into effect from the date when the same will be notified concurrently, as far as possible,
with the corresponding amendments to the similar Acts passed by the States & Union
territories with legislature. Amendments carried out in the Finance Bill, 2023, vide clause
142 will come into effect retrospectively from 1st July, 2017.

Amendments in CGST ACT, 2017:

a) Clause (d) of sub-section (2) and Clause (c) of sub-section (2A) in section 10 of the CGST
Act is being amended so as to remove the restriction imposed on registered persons
engaged in supplying goods through electronic commerce operators from opting to pay tax
under the Composition Levy.
b) Second and third provisos to sub-section (2) of section 16 of the CGST Act are being
amended to align the said sub-section with the return filing system provided in the said
Act.

c) Explanation to sub-section (3) of section 17 of the CGST Act is being amended so as to

restrict availment of input tax credit in respect of certain transactions specified in para 8(a)
of Schedule III of the said Act, as may be prescribed, by including the value of such
transactions in the value of exempt supply. Further, sub-section (5) of said section is also
being amended so as to provide that input tax credit shall not be available in respect of
goods or services or both received by a taxable person, which are used or intended to be
used for activities relating to his obligations under corporate social responsibility referred
to in section 135 of the Companies Act, 2013.

d) Sub-section (1) and sub-section (2) of section 23 of the CGST Act are being amended, with
retrospective effect from 01st July, 2017, so as to provide overriding effect to the said
section over sub-section (1) of section 22 and section 24 of the said Act.

e) A new sub-section (5) in section 37 of the CGST Act is being inserted so as to provide a
time limit upto which the details of outward supplies under sub-section (1) of the said
section for a tax period can be furnished by a registered person. Further, it also seeks to
provide an enabling provision for extension of the said time limit, subject to certain
conditions and restrictions, for a registered person or a class of registered persons.

f) A new sub-section (11) in section 39 of the CGST Act is being inserted so as to provide a
time limit upto which the return for a tax period can be furnished by a registered person.
Further, it also seeks to provide an enabling provision for extension of the said time limit,
 subject to certain conditions and restrictions, for a registered person or a class of registered
persons.
g) A new sub-section (2) in section 44 of the CGST Act is being inserted so as to provide a
time limit upto which the annual return under sub-section (1) of the said section for a
financial year can be furnished by a registered person. Further, it also seeks to provide an
enabling provision for extension of the said time limit, subject to certain conditions and
restrictions, for a registered person or a class of registered persons.

h) A new sub-section (15) in section 52 of the CGST Act is being inserted so as to provide a
time limit upto which the statement under sub-section (4) of the said section for a month
can be furnished by an electronic commerce operator. Further, it seeks to provide an
enabling provision for extension of the said time limit, subject to certain conditions and
restrictions, for an electronic commerce operator or a class of electronic commerce
operators.

i) Sub-section (6) of section 54 of the CGST Act is being amended so as to remove the
reference to the provisionally accepted input tax credit to align the same with the present
scheme of availment of self-assessed input tax credit as per sub-section (1) of section 41
of the said Act.

j) Section 56 of the CGST Act is being amended so as to provide for an enabling provision
to prescribe manner of computation of period of delay for calculation of interest on delayed
refunds.

k) A new sub-section (1B) in section 122 of the CGST Act is being inserted so as to provide
for penal provisions applicable to Electronic Commerce Operators in case of contravention
of provisions relating to supplies of goods made through them by unregistered persons or
composition taxpayers.

l) Sub-section (1) of section 132 of the CGST Act is being amended so as to decriminalize
offences specified in clause (g), (j) and (k) of the said sub-section and to increase the
monetary threshold for launching prosecution for the offences under the said Act from one
hundred lakh rupees to two hundred lakh rupees, except for the offences related to issuance
of invoices without supply of goods or services or both.
m) First proviso to sub-section (1) of section 138 of the CGST Act is being amended so as to
simplify the language of clause (a), to omit clause (b) and to substitute the clause (c) of
said proviso so as to exclude the persons involved in offences relating to issuance of
invoices without supply of goods or services or both from the option of compounding of
the offences under the said Act. It further seeks to amend sub-section (2) so as to rationalize
the amount for compounding of various offences by reducing the minimum as well as
maximum amount for compounding.

n) A new section 158A in the CGST Act is being inserted so as to provide for prescribing
manner and conditions for sharing of the information furnished by the registered person in
his return or in his application of registration or in his statement of outward supplies, or the
 details uploaded by him for generation of electronic invoice or E-way bill or any other
details, as may be prescribed, on the common portal with such other systems, as may be
notified.

o) Schedule III of the CGST Act is being amended to give retrospective applicability to paras
7, 8 (a) and 8(b) of the said Schedule, with effect from 01st July, 2017, so as to treat the
activities/ transactions mentioned in the said paragraphs as neither supply of goods nor
supply of services. It is also being clarified that where the tax has already been paid in
respect of such transactions/ activities during the period from 01st July, 2017 to 31st
January, 2019, no refund of such tax paid shall be available.
IGST Act, 2017:
a) Clause (16) of section 2 of the IGST Act is being amended so as to amend the definition
of “non-taxable online recipient” by removing the condition of receipt of online
information and database access or retrieval services (OIDAR) for purposes other than
commerce, industry or any other business or profession so as to provide for taxability of
OIDAR service provided by any person located in non-taxable territory to an unregistered
person receiving the said services and located in the taxable territory. Further, it also seeks
to clarify that the persons registered solely in terms of clause (vi) of Section 24 of CGST
Act shall be treated as unregistered person for the purpose of the said clause.
Further, clause (17) of the said section is being amended to amend the definition
of “online information and database access or retrieval services” to remove the condition
of rendering of the said supply as it is essentially automated and involves minimal human
intervention.

b) Proviso to sub-section (8) of section 12 of the IGST Act is being omitted so as to specify
the place of supply, irrespective of destination of the goods, in cases where the supplier of
services and recipient of services are located in India.

4. This letter only summarizes the key budgetary changes and does not have any legal force.
It is only the Finance Bill and the relevant notifications that have legal force. While utmost care
has been taken to clearly reflect the intention of the Government in the Finance Bill and the
Notifications, the possibility of an inadvertent error cannot be ruled out. I, therefore, request you
to kindly go through the Finance Bill, the Memorandum and the Notifications and bring to our
notice, at the earliest, if there are any omission/error or discrepancies. You are also requested to
study the budgetary changes and ensure the smooth implementation of the proposed changes
keeping the convenience of the taxpayers in mind. The copies of Finance Bill, 2023, Finance
Minister’s Budget Speech, Explanatory Memorandum to the Bill and relevant notifications can be
downloaded directly from www.indiabudget.gov.in as well as www.cbic.gov.in.

5. In case of doubt or difficulty on any issue, you are requested to bring it immediately to my
notice at js-tru01@gov.in or to the notice of Shri Rakesh Dahiya, Deputy Secretary (TRU) (Tel:
011-23092236, email: rakesh.dahiya@gov.in), Ms. Amreeta Titus, Deputy Secretary (TRU) (Tel:
 Annexure I
Conditional exemptions entries in Notification no 50/2017-Customs extended for one year, i.e.
upto 31.3.2024 to be taken up for review this year
S. No. S. No. of
Description
Notfn
Extension up to 31. 03. 2024
1. 90 Lactose for use in manufacture of homeopathic medicine
2. 133 Gold ores and concentrates for use in manufacture of Gold
3. 139 Specified bunker Fuel for use in ships or vessels
4. 150 Goods of Heading 2710 or 271490 for manufacture of Fertilizers
5. 155 Excess Liquefied petroleum gases (LPG) returned by DTA unit to SEZ
unit
6. 164 Electrical energy supplied to DTA by power plants of 1000MW or above
,got approval
7. 165 Electrical energy supplied to DTA from power plant less than 1000MW
8. 183 Medical use fission Molybdenum-99 (Mo-99) for use in manufacture of
radio pharmaceutical
9. 184 Pharmaceutical Reference Standard
10. 188 Specified goods for manufacture of ELISA Kits
11. 204 Anthraquinone or 2-Ethyl Anthraquinone, for use in manufacture of
Hydrogen Peroxide
12. 212A Medicines/drugs/vaccines supplied free by United Nations International
Children's Emergency Fund (UNICEF), Red Cross or an International
Organization
13. 213 Drugs and materials
14. 238 Organic or inorganic coating material for manufacture of electrical steel
15. 253 Goods for manufacture of Brushless Direct Current (BLDC) motors
16. 254 Catalyst for manufacture of cast components of Wind Operated Electricity
Generator
17. 255 Resin for manufacture of cast components of Wind Operated Electricity
Generator
S. No. S. No. of
Description
Notfn
18. 258 Security fibre, security threads, Paper based taggant including M-feature
for manufacture of security paper by Security Paper Mill, Hoshangabad and
Bank Note Paper Mill India Pvt Ltd, Mysore.
19. 259 Raw materials for manufacture of security fibre and security thread for
supply to Security Paper Mill, Hoshangabad and Bank Note Paper Mill
India Pvt. Ltd, Mysore for use in manufacture of security paper
20. 260 Goods for the manufacture of orthopaedic implants falling under 902110
21. 261 Alatheon and copper wire
22. 269 Super absorbent polymer for manufacture adult diapers, tampons, sanitory
pads (9619)
23. 271 Polytetrametylene ether glycol, (PT MEG) for use in manufacture of
spandex yarn
24. 276 Ethylene – propylene – non-conjugated diene rubber (EPDM) for
manufacture of insulated wires and cables
25. 277A Calendared plastic sheet for manufacturing of Smart Card (8523)
26. 279 Pneumatic tyres of rubber for MRO of aircraft used in scheduled air service
27. 280 Pneumatic tyres of rubber for MRO of aircraft used by training, aeroclub
etc.
28. 333 Moulds, tools and dies for manufacture of parts of electronic components
29. 334 Graphite Felt or graphite pack for growing silicon ingots;
Thin steel wire used in wire saw for slicing of silicon wafers
30. 339 Toughened glass for solar thermal collectors or heaters
31. 353 Foreign currency coins when imported into India by a Scheduled Bank
32. 364A Spent catalyst or ash containing precious metals
33. 378 Metal parts for manufacture of electrical insulators falling under heading
8546
34. 379 Pipes and tubes for use in manufacture of boilers
35. 380 Forged steel rings for manufacture of special bearings for use in wind
operated electricity generator
36. 381 Flat copper wire for use in the manufacture of photo voltaic ribbon for solar
cell/modules
S. No. S. No. of
Description
Notfn
37. 387 Zinc metal recovered by toll smelting or toll processing from zinc
concentrates exported from India for such processes
38. 392 Dies for drawing metal, when imported after repairs in exchange of similar
worn out dies exported out for repairs
39. 415 Parts/inputs for manufacture of catalytic convertors
40. 415A Platinum or Palladium for manufacture of all goods including Noble Metal
Compounds & Noble Metal Solutions falling under 2843 and goods of
heading 381512
41. 416 Ceria zirconia compounds for use in the manufacture of washcoat for
catalytic converters
42. 417 Cerium compounds for use in the manufacture of washcoat for catalytic
converters
43. 418 Zeolite for use in the manufacture of washcoat for catalytic converters
44. 419 Aluminium Oxide for use in the manufacture of washcoat for catalytic
converters
45. 420 Clay 2 Powder (Alumax) for use in ceramic substrate for catalytic
convertors
46. 421 Goods required for basic telephone service/ internet service and
their parts
47. 426 Specified goods for the manufacture of goods falling under 8523 5200,
8541, 8542, 8543 9000 or 8548 00 00
48. 428 Specified goods imported by accredited press cameraman
49. 429 Specified goods, imported by accredited journalist
50. 435 Capital goods/ Machinery for printing industry
51. 441 Spinnerettes made interalia of Gold, Platinum and Rhodium or any one or
more of these metals, when imported in exchange of worn out or damaged
spinnerettes exported out of India
52. 462 Ball screws for use in the manufacture of CNC Lathes, Machining Centres
or all type of CNC machine tools falling under 8456 to 8463
53. 463 Linear Motion Guides for use in the manufacture of CNC Lathes,
Machining Centres or all type of CNC machine tools falling under 8456 to
8463
S. No. S. No. of
Description
Notfn
54. 464 CNC Systems for use in the manufacture of CNC Lathes, Machining
Centres or all type of CNC machine tools falling under 8456 to 8463
55. 467 Cash dispenser and parts thereof
56. 468 Micro ATM; fingerprint reader/scanner other than for use in manufacturing
cellular mobile phones; miniaturized POS card reader for mPOS (other than
Mobile Phone or Tablet Computer); parts and components for manufacture
of the above items
57. 471 All parts for use in the manufacture of LED lights or fixtures including LED
lamp
58. 472 All inputs for use in the manufacture of LED driver or MCPCB for LED
lights and fixtures or LED lamps
59. 475 Specified goods including scramblers, descramblers, encoders, jammers,
network firewall, SMS monitoring system etc
60. 476 Television equipment, cameras and other equipment for taking films,
imported by a foreign film unit or television team
61. 477 Photographic, filming, sound recording and radio equipment, raw films,
video tapes and sound recording tapes of foreign origin if imported into
India after having been exported therefrom.
62. 478 The wireless apparatus, parts imported by a licensed amateur radio operator
63. 480 Goods imported for being tested in specified test centers
64. 482 Newspaper page, transmission and reception facsimile system or
equipment; telephone transmission and reception system or equipment
65. 489B Specified goods for manufacturing of microphones
66. 495 Batteries for electrically operated vehicles, including two and three
wheeled electric motor vehicles
67. 497 Active Energy Controller (AEC) for use in manufacture of Renewable
Power System (RPS) inverters
68. 504 Parts, Components of Digital Still Image Video Cameras
69. 509 Parts, components and accessories for manufacture of Digital Video
Recorder /Network Video Recorder (NVR)
70. 510 Parts, components and accessories for use in manufacture of reception
apparatus for television and sub-parts
S. No. S. No. of
Description
Notfn
71. 511 Parts, components and accessories for manufacture of CCTV Camera /IP
camera and sub-parts
72. 512 Specified Parts, components and subparts for use in manufacture of
Lithium-ion battery and battery pack
73. 512A Inputs ,parts or subparts for manufacture of PCBA of Lithium ion battery
and battery pack
74. 515A Open cell for use in manufacture of LCD and LED TV panels of heading
8524
75. 516 Specified goods for use in the manufacture of Liquid Crystal Display
(LCD) and LED TV panel
76. 519 Raw materials or parts for use in manufacture of e-Readers
77. 523A Parts, sub-parts, 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 of items
other than cellular mobile, EV or Hybrid motor vehicle
79. 534 Parts of gliders or simulators of aircrafts (excluding rubber tyres and tubes
of gliders)
80. 535 Raw materials for manufacture of aircraft or its parts
81. 535A Components or parts of aircraft for manufacture of aircraft or for
manufacture of parts of aircraft imported by PSUs under Ministry of
Defence
82. 536 Parts, testing equipment, tools and tool-kits for maintenance, repair, and
overhauling of aircraft or its parts
83. 537 All goods of Heading 8802 (except 88026000-spacecraft)
84. 538 Components or parts, including engines, of aircraft of heading 8802
85. 539 (a) Satellites and payloads; (b) Ground equipments brought for testing of
(a)
86. 539A Scientific and technical instruments etc for launch vehicles and satellites
and payloads
87. 540 Specified goods under heading 8802 imported by scheduled air transporter
88. 542 Specified goods imported by Aero Club, Flying Training Institutes
89. 543 Specified goods imported by non-scheduled air transporter
S. No. S. No. of
Description
Notfn
90. 544 Parts (other than rubber tubes) of aircraft of heading 8802 for schedule,
training etc
91. 546 Parts (other than rubber tubes) of aircraft of heading 8802 by aero
club/training etc
92. 548 Barges or pontoons imported along with ships
93. 549 Capital goods and spares, raw materials, parts, material handling equipment
and consumables for repairs of ocean-going vessels by a ship repair unit
94. 550 Spare parts and consumables for repairs of ocean-going vessels registered
in India.
95. 551 Cruise ships, Excursion ships (excluding vessels and floating structures
imported for breaking up)
96. 553 Fishing vessels, Tugs and Pusher crafts, light vessels (excluding vessels and
floating structures imported for breaking up)
97. 555 Vessels like warships, lifeboats (excluding vessels and floating structures
imported for breaking up)
98. 565 Specified goods for use in the manufacture of Flexible Medical Video
Endoscope
99. 566 Polypropylene, Stainless-steel Strip and stainless steel capillary tube for
manufacture of syringes, needles, catheters and cannulae
100. 567 Stainless steel tube and wire, cobalt chromium tube etc for manufacture of
Coronary stents /artificial valve
101. 568 Parts and components required for manufacture of Blood Pressure Monitors
and blood glucose monitoring system (Glucometers)
102. 569 Ostomy products, its accessories and parts required for manufacture of such
medical equipment
103. 570 Medical and surgical instruments, apparatus and appliances including spare
parts and accessories thereof
104. 575 Hospital Equipment (excluding consumables) for use in specified hospitals
105. 577 Lifesaving medical equipment including accessories or spare parts or both
of such equipment for personal use
106. 578A Raw materials, parts or accessories for the manufacture of Cochlear
Implants
S. No. S. No. of
Description
Notfn
107. 579 Survey (DGPS) instruments, 3 D modeling software cum equipment for
surveying and prospecting of minerals
108. 580 X-Ray Baggage Inspection Systems and parts thereof
109. 581 Portable X-ray machine / system
110. 583 Parts and cases of braille watches, for the manufacture of Braille watches
111. 593 Parts of video games for the manufacture of video games
112. 607 Specified Life Saving drugs/medicines including medicines for Spinal
Muscular Atrophy or Duchenne Muscular Dystrophy, for personal use
113. 607A Lifesaving drugs/medicines for personal use supplied free of cost by
overseas supplier
114. 611 Archaeological specimens, photographs, plaster casts or antiquities for
exhibition for public benefit in a museum managed by ASI or by State Govt.
115. 612 Specified raw material for sports goods
Note: Description of entries is indicative, notification may be referred for complete description.
B. Standalone Customs exemption notifications extended for one year , upto 31.3.2024 to be taken
up for review this year

Notification
S. No Subject
No.
16-Customs Exemption to goods exported to foreign countries for display in
1
(1965) show-rooms of Govt of India
80/1970- Exemption to articles supplied free under warranty as replacement
2
Customs for defective ones
46-Customs
3 Pedagogic material for educational or vocational training courses
(1974)
248/76- Exemption to precious stones imported by posts on ‘approval or
4
Customs return’ basis
207/89-
5 Exemption to foodstuff and provisions, imported by foreigners
Customs
134/94- Exemption to goods for carrying out repairs, reconditions , testing
6
Customs calibration or maintenance
147/94-
7 Exemptions to firearms & ammunition by renowned shot
Customs
Exemptions to specified free gifts, donations, relief and
148/94-
8 rehabilitation material imported by charitable trusts, Red Cross,
Customs
CARE and Govt of India
151/94- Exemption to aircraft equipment, tanks, fuel and lubricating oils by
9
Customs Indian Airlines, United Arab Airlines, Indian Air Force
152/94- Exemption to imports for handicapped person, charitable or social
10
Customs welfare purposes and research and education programme
153/94- Exemption to goods for foreign origin imported for repair and
11
Customs return
39/96-
12 Imports relating to defence, internal security forces& air forces
Customs
50/96- Exemption to specified equipment, instruments, raw material etc
13
Customs imported for R&D projects
51/96- Exemption to research equipment by publically funded and research
14
Customs institutions ,Govt. Dept., laboratory, IIT etc

25/98- Effective rate of duty for goods of Chapter 70,84,85 or 90

15
Customs
 97/99- Exemption to Gold bars under Gold Deposit Scheme of RBI
16
Customs

Exemption to castor oil cake and castor de-oiled cake manufactured

113/2003-
17 from indigenous castor oil seeds on indigenous plant and machinery
Customs
by unit in SEZ and brought to DTA
30/2004- Exemptions to second-hand computers/accessories received as
18
Customs donation by schools, charitable institutions
45/2005- Exemption from Spl. Additional duty of Customs to goods cleared
19
Customs from SEZ and brought to any other place in India
81/2005- Exemption to machinery/components for initial setting up of non-
20
Customs conventional power generation plants
102/2007- Exemption from Special CVD to all goods imported for subsequent
21
Customs sale when IGST, CGST, SGST or UTGST paid by importers.
26/2011- Exemption to work of art, antiques in museum or art gallery
22
Customs imported for public exhibition
23/2016- Effective rates for parts of aircraft imported under the Standard
23
Customs Exchange Scheme
Exemption to machinery, components for setting up fuel cell based
05/2017-
24 power generation plant.
Customs

16/2017- Exemption to specified drugs & medicines supplied free of cost to

25
Customs patients under Patient Assistance program of Pharma Companies
29/2017- Exemption to specimen, models, wall pictures and diagrams for
26
Customs instructional purposes
30/2017- Exemption to motion picture, music, gaming software for use in
27
Customs gaming console printed or recorded on media
32/2017- Exemption to art work created abroad by Indian artist, sculptor,
28
Customs antiques books more than 100 years
37/2017-
29 Imports relating to defence & internal security forces
Customs
49/2017- Exemption to special Additional Duty on specified goods of fourth
30
Customs schedule to Central Excise Act
52/2017-
31 Effective rate of Additional duty for goods under Chapter 27
Customs
Note: Description of entries is indicative, notification may be referred for complete description.
Annexure II
Conditional /unconditional exemption entries in notification no 50/2017-customs being
discontinued with effect from 31.3.2023.

S. Entry. No.
No. Notfn No. Description of goods
50/2017

132 Goods for manufacture of specified refractory products

1.
289 Wood in chips or particles for manufacture paper and paperboard;
2.
newsprint.

397 Specified goods for use in high voltage power transmission project
3.
399 Specified goods and their parts for use in manmade or synthetic
4.
fibre or yarn industry

400 Specified goods and its parts for use in textiles industry
5.
403 Parts and raw materials for manufacture of goods of off- shore oil
6.
exploration or exploitation

407 Goods required for substitution of ozone depleting substances

7.
(ODS) and setting up of new capacity with non-ODS technology

408 Machinery, instruments, apparatus and appliances or raw material

8.
for renovation or modernization of a fertilizer plant fertilizer plants
and spare parts, consumable stores, essentials for maintenance of
that plant

430 Goods for use in pharmaceutical and biotechnology sector for R &D
9.
432 Specified goods for use in the textile industry
10.
434 Specified machinery and capital goods for use in the silk textile
11.
industry

436 Spares, supplied with outboard motors for maintenance of such

12.
outboard motors

448 Specified advance capital goods/machinery used in agriculture

13.
460 Shuttle less looms and parts/components for its manufacturing
14.
513 Parts or components for use in manufacture of populated printed
15.
circuit board of DVR, NVR,CCTV camera
S. Entry. No.
No. Notfn No. Description of goods
50/2017

393 Machinery/Capital goods for manufacturing sports goods

16.
394 Bacteria removing clarifier
17.
395 Machinery/ Capital goods used in Fisheries sector
18.
409 Goods required for setting up crude petroleum refinery
19.
439 Specified machinery/capital goods in leather / footwear industry
20.
440 Fogging Machines imported by Municipal Committee, District
21.
Board to combat Malaria etc

444 Geothermal ground source heat pumps

22.
445 Machinery/Capital goods for making Gems & Jewellery
23.
455 Goods specified under 8422 3000, 8422 4000 or 8422 9090 in
24.
packaging Industry

458 Machineries under 8438 used in food processing industry

25.
461 Specified textile Machinery specified under
26.
8444,8445,8446,8447,8448 (except 84483100), 8449

469 Atmospheric Water Generator

27.
470 Presses for manufacturing of particle board or fibre building board
28.
of wood or other ligneous material and other machinery for treating
wood or cork

594 Snow Ski and other snow ski equipment; water-skis, surf –boards,
29.
sailboards and other water sports equipment

16 Human Embryo
30.
325 Monofilament yarn
31.
Note: Description of entries is indicative, notification may be referred for complete description.
 Standalone notification being discontinued with effect from 31.3.2023.
Notification
S. No. Subject Justification
No.
Exemption to catering cabin equipment, Indian Airlines
food and drinks on re-importation by Corporation is no longer
1 48/2017-Cus
aircrafts of the Indian Airlines in existence
Corporation from foreign flights
Note: Description of entry is indicative, notification may be referred for complete description.