0

Customs regulations for import of HHG (household goods) and personal effects into India. Foreign or Indian nationals, including non-resident Indians, transferring residence to India are allowed to import their HHG & P/E subject to the following conditions:
-   India national must have lived overseas for at least two years. Foreign nationals must be transferring residence to India for at least two years and must have a visa of at least one year validity from the date of arrival.
-   Air Freight shipment must be shipped within 15 days and sea freight within 30 days of owner’s arrival into India. (if there is a delay in shipment, special conditions of delay can be obtained by us).
-   Owner must have arrived into India before customs clearance can be completed.

Items allowed duty free:
All old & used hhg & p/e, including glassware, carpets, and normal household items are allowed dusty free, provided they have been in owner’s possession and used for at least one year. Any other new household effects will be dutiable @ 35%. However major electrical appliances and electronic items, whether old or new are not allowed duty free (please See bellow)

Items allowed on payment of duty:
One of each type of major electrical or electronic item whether old or new, is allowed, subject to customs duty at 15%, these include items like air conditioner, refrigerator more than capacity of 300 LTRS., freezer, dryer, dishwasher, microwave, and electric items like TV, stereo, DVD, video, home theatre system, video camera, photo-copier, and fax machine. The following electrical and appliances old and used household goods should not exceed a combined total value of Indian Rs. 500,000.00 ($10,000.00).

If owner imports more than one of the same items, then the second piece is charged at 35%, therefore if a customer will import 2 televisions, irrespective of whether they are old or new, customs will charge 15% on one TV and 35% on the second TV

Duty Free Import of food stuff:
Foreign nationals and persons of Indian origin (holding a foreign passport) are also allowed duty free import of food stuff up to maximum value of $1100.00 per calendar year. Alcohol, wine, Liquor, are not considered as part of this duty free allowance.

Alcohol, Liquor & Tobacco Products:
Only allowed duty free, within permissible limits, as part of owner’s checked or carry-on baggage while arriving into India. Alcohol, liquor, wines and other alcohol beverages are not allowed duty free, as part of household effects customs duties and penalties for alcohol are very high at 400% of the value and these are also liable to confiscation. To avoid delays in clearance and heavy duties & fines, we not recommend shipping of alcohol into India.

India Customs prohibited goods:

The term “Prohibited Goods” has been defined in sub-section 33 of Section 2 of the Customs Act as meaning “any goods the import or export of which is subject to any prohibition under the Customs Act or any other law for the time being in force”
FIREARMS, WEAPONS AND AMMUNITION OF ANY TYPE, NARCOTICS, OBSCENE LITERATURE, and PORNOGRAPHIC MATERIALS

Import and export of some specified goods may be restricted/ prohibited under other laws such as Foreign Trade (Development and Regulation) Act, Foreign Trade Policy Environment Protection Act, Wild Life Act, Indian Trade and Merchandise Marks Act, Arms Act, etc. Prohibition under those acts will also apply to the penal provisions of the Customs Act, rendering such goods liable to confiscation under section 111(d) of the Customs Act (for import) and 113 (d) of the Customs Act (for export).

Appliances
The following new/old items are covered under Transfer of Residence (TR) rule and customs duty @ 15% of the value adjudicated is levied on them :

• Color Television/Monochrome Televisions.
• Digital Video Disc Player
• Video Home Theatre Systems
• Dish Washers. Music Systems.
• Air Conditioners.
• Domestic Refrigerators of capacity above 300 liters or its equivalent.
• Deep Freezers.
• Microwave Ovens.
Video Cameras or the combination of any such Video Camera with one or more of the following goods namely :
• Television Receiver. Sound Recording or Reproducing Apparatus.
• Video Reproducing Apparatus.
• Word Processing Machines.
• Fax Machines.
• Portable Photocopying Machines.
• Vessels.
• Aircraft
• Cinematographic films of 35 mm and above Gold or Silver, in any form, other than ornaments The following old items are free of customs duty   covered under Transfer of Residence (TR) rule
• Video Cassette Recorder or Video Cassette Player or Video Television Receiver or Video Cassette Disk Player.
• Washing Machine
• Electrical or Liquefied Petroleum Gas Cooking Range
• Personal Computer (Desktop Computer)
• Laptop Computer (Notebook Computer)
• Domestic Refrigerators of capacity up to 300 liters or its equivalent”.

Export and import of currency to or from Nepal and Bhutan:

Notwithstanding anything contained in these regulations, a person may –
•  take or send out of India to Nepal or Bhutan, currency notes of Government of India and Reserve Bank of India notes (other than notes of denominations of above Rs.100 in either case) ;
•  bring into India from Nepal or Bhutan, currency notes of Government of India and Reserve Bank of India notes (other than notes of denominations of above Rs.100 in either case) ;
•  take out of India to Nepal or Bhutan, or bring into India from Nepal or Bhutan, currency notes being the currency of Nepal or Bhutan

Import of Car to India
Passenger automobiles including Cars, Jeeps, Multi-Utility Vehicles and Motor Cycles etc. are restricted items of import and can be imported against an import license. However individuals coming to India on Transfer of Residence after two years continuous stay abroad and other importers as specified in Public Notice No. 3(RE/1997-02) of Directorate General of Foreign Trade, New Delhi, may import these vehicles without a license but on payment of customs duty.

The vehicle should have right hand steering and controls.

Indian nationals coming to India for permanent settlement:

Used household goods and personal effects, which have been owned and used by the shipper for at least 6 months and are not part of other concessions, up to total value of Rs.75,000

Transfer of Residence Rules are subject to change from time to time
•  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.

Note: Customs regulations are subject to change at any time. The proceeding information is a brief summary of customs regulations applicable to household goods shipments to this destination and is being provided for general guidance to assist our customers. Since such regulations are subject to change without notice, mymovingguide.com can only offer guidance but cannot be responsible for miss-advice. Please contact the consulate or embassy representing the country to which you are moving to determine the applicable rules, regulations and laws to which your shipment will be subject.

For more info:

Special Excise Duty exempted in the case of cars capable of being used by physically handicapped persons

Valuation of Car & Duty Rates
The value of the car is determined in the following manner:
1. Manufacturer's invoice value is accepted wherever such invoice is available.
2. When no such invoice is available, value is determined on the basis of the world car catalogues available with the department or on the basis of manufacturer's price list, where ever available. Normal Trade Discounts are allowed to be deducted where ever the value is taken on the basis of World car catalogues.
3. Value of Second hand car is arrived at in the above manner after allowing the deductions for depreciation as per the schedule below, subject to maximum of 70%

Customs Duty for New vehicles
Vehicle Basic Duty Addl. Duty Spl. Addl. Duty
Car / Jeep / MUV 60% 32% 4%
Motor Cycles / Scooters / Mopeds 30% 16% 4%

Customs Duty for Used vehicles
Vehicle Basic Duty Addl. Duty Spl. Addl. Duty
Car / Jeep / MUV 105% 32% 4%
Motor Cycles / Scooters / Mopeds 105% 16% 4%

The restrictions/conditions imposed on import of car by importers for commercial purpose shall not be applicable in case of the passengers bringing their own car on Transfer of Residence. However, these imports shall be subject to the condition that, the vehicle should have right hand steering and controls (applicable on vehicles other than 2 and 3 wheelers).

Value of these vehicles for the purpose of levy of customs duty is CIF value, where C stands for the cost of the goods, I is the insurance and F is the freight. Cost in the case of new vehicle is the transaction value between the seller and the buyer, however in the case of old and used vehicles cost is arrived at by taking value of the vehicle in year manufacture and after allowing depreciation at following rates:
i. For every quarter during 1st year - 4%
ii. For every quarter during 2nd year - 3%
iii. For every quarter during 3rd year - 2.5%
iv. For every quarter during 4th year & after - 2% (subject to a maximum depreciation of 70%)

Import Duty on Motor Cars
Motor cars, Motor cycles and scooters whether new or old imported into India are chargeable to duty 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.

Homologation:
Homologation is the process of certifying that a particular car is roadworthy and the Pune-based Automotive Research Association of India (ARAI) provide this clearance. According to existing norms, every original car model brought into the country by an individual or a manufacturer must have homologation clearance. Even domestic car manufacturers need a homologation certificate for new models. There are some exclusions as well
•  Manufacturers can import left hand drive vehicles only for testing and research purposes.
•  Individuals importing top-end cars can waive off the testing — or homologation — requirements. Any individual can import a vehicle priced above Rs 20 lakh without sending it for road-worthiness tests.
•  Import of new vehicles is only permitted through Customs ports at Nhava Sheva, Kolkata, Chennai, Delhi Air Cargo and at ICD, Tughlakabad

For Non Residential Indians (NRIs)
Individuals coming to India for permanent settlement after two years of continuous stay abroad can bring in a car provided the vehicle has been in their possession for at least one year abroad. This now ensures that individuals coming to India do not bring in an absolutely new car.

Payment of Custom Duty for Import of cars and vehicles
In case of Indian nationals or foreign nationals of Indian origin returning to India for permanent settlement, 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.