I know, this has been talked about ad nauseam here, but the situation with custom duty is so unclear. I have just got off a long argument with DHL customer service about this https://www.flashrouters.com/streamlocator (router). I paid $97 and the freight forwarder charged me $35.10 which in toto is approx Rs. 9900. However, the duty I am paying on this is Rs. 8198, which is 82%. Is this even in accordance with the duties laid down in law? What is the redressal process for this? I recollect, till a few months back, with UPS, I had to give them bills from my end, which would be presented at customs and they would levy around 42-43%, which seemed to be the going rate. Is there any explanation for this drastic levy that is going on?
What is the customs duty anyway...
- Thread starter terrible
- Start date
To be clear you mean, if one is not registered as an importer, the levy is not going to be the usual even if it is for personal use? I sure have lucked out then. But none of the customs duty websites clarify this.If you don’t have a IEC code, duty charged is 75%. In addition to this there will be a handling fee by the courier. So 82% total is broadly correct. The previous time you may have lucked out
Vivek Batra
Well-Known Member
As per some customs circulars, IEC is not required for individuals who import goods for personal use. The custom duty on such imports should be levied as per HSN code. But unfortunately this is not the case,
People are overcharged in the absence of any clear cut instructions.
The HSN code 9804 which is applied where the individual is not having an IEC is only and only meant for goods imported as gifts, not otherwise.
So the only workaround is apply for an IEC which is a dam easy job. One won't be able to explain to assessing office what their law says.
People are overcharged in the absence of any clear cut instructions.
The HSN code 9804 which is applied where the individual is not having an IEC is only and only meant for goods imported as gifts, not otherwise.
So the only workaround is apply for an IEC which is a dam easy job. One won't be able to explain to assessing office what their law says.
powerslave
Active Member
Customs department has been conditioned to operate with an attitude and ethos influenced by the permit and license raj days; they still wield disproportionate power . It explains both their policy-making as well as general conduct.
IndianEars
Well-Known Member
Yes, but based on post # 4 by prem, you will have to pay 75% customs duty!
I discovered through my accountant, that I have an IEC code. It's my PAN number. There's even a government letterhead. So with this could I import with regular duty levied and not the 75%?If you don’t have a IEC code, duty charged is 75%. In addition to this there will be a handling fee by the courier. So 82% total is broadly correct. The previous time you may have lucked out
liverpool_for_life
Well-Known Member
Based on the above (IEC being your PAN), it is my understanding that you have one as an individual (and not under a company name). If my experience is anything to go by, that should be enough for duties to be charged as per the appropriate HS code for the item being imported.
So my accountant tells me that my IEC was acquired in 2019 when my services in other countries were rendered as export.
I run a proprietorship, so I and my company are the same thing.
liverpool_for_life
Well-Known Member
Ah, okay. An IEC should keep you safe from being levied insane duty rates, but like I described with my experience, it isn't always straightforward.
I didn't find this thread earlier so I made this post here: Fedex calculated higher duty under wrong HSCODE
What is the process for grievance redressal? Go direct to Govt Customs ? Because Fedex has been wasting my time with no replies to repeat emails or parrot responses.
If anyone knows a good consumer lawyer please DM me his contact - I want to apply some pressure on them.
What is the process for grievance redressal? Go direct to Govt Customs ? Because Fedex has been wasting my time with no replies to repeat emails or parrot responses.
If anyone knows a good consumer lawyer please DM me his contact - I want to apply some pressure on them.
keith_correa
Well-Known Member
Pls put the issue on Twitter and tag FedEx local and global. If the Indian Consumer complaints has as account on Twitter then add them too.
If they have calculated wrong duty as per the code then they should rectify the same.
Used goods are not allowed to import through courier service.
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