IMPORT OF GOODS

Mr. B Imported goods of Rs. 1 Lakh from Japan and applicable BCD rate is 10%. Calculate Custom duty paid under earlier system i.e. before implementation of GST and under GST system

PARTICULARS INVOICE  VALUE UNDER CURRENT TAX SYSTEM AMOUNT (Rs)  INVOICE VALUE UNDER GST AMOUNT (Rs)
     
ASSESSABLE VALUE UNDER CUSTOM 100000.00 100000.00
Basic Custom Duty @10% 10000.00 10000.00
Assessable value plus BCD 110000.00 110000.00
CVD u/s 3(1) @12.5% (equal to excise duty) 13750.00  
Sub total for cess 23750.00  
Edu cess and SHE cess in Custom @3% 712.50  
Sub total of SVD u/s 3(5) 124462.50  
SVD u/s 3(5)@4% 4978.50  
Total Custom duty 29441  
IGST @ 18% 0.00 19800.00
LANDED VALUE 130685.63 129800.00

Notes:-

                     As per Section 7(2) of IGST Act, supply of goods in the course of import into the territory of India till they cross the customs frontiers of India shall be deemed to be a supply of goods in the course of inter-State trade or commerce. Therefore, integrated tax on Import of goods shall be levied and collected in accordance with the provisions of section 3 of the Customs Tariff Act, 1975 at the point when duties of customs are levied on the said goods under section 12 of the Customs Act, 1962 on a value as determined under custom - Proviso to section 5(1) of IGST Act.

      Therefore, IGST shall be levied on value included BCD.

                       Credit Of IGST of RS. 19800 is available in GST subject to fulfillment of conditions in section   16 of CGST Act and ITC Rules.