Applicable import duty after GST implantation

Posted on 20 April 2023 Category : GST

IGST and GST compensation cess under Imports

What are the products attracting CVD after GST? How is IGST and compensation cess calculated in imports?

As per GST Law, IGST and GST Compensation cess will be levied on imports by virtue of sub-sections (7) &(9) of Section 3 of the Customs Tariff Act, 1975. Barring a few commodities such as pan masala, certain petroleum products which attract levy of CVD, majority of imports would attract levy of IGST. Further, a few products such as aerated waters, tobacco products, motor vehicles etc, would also attract levy of GST Compensation Cess, over and above IGST. IGST and GST Compensation cess, wherever applicable, would be levied on cargo that would arrive on or after 1^st July, 2017. It may also be noted that IGST would also be levied on cargo which has arrived prior to 1^st July but a bill of entry is filed on or after 1^st July 2017.Similarly ex-bond bill of entry filed on or after 1^st July 2017 would attract IGST and GST Compensation cess, as applicable. In the case where cargo arrival is after 1^st July and an advance bill of entry was filed before 1^st July along with the payment of duty, the bill of entry may be recalled and reassessed by the proper officer for levy of IGST and GST compensation Cess, as applicable.