J&K HC: Complainant/Dependent to be Heard if Accused files Bail Application Under SC/ST Act  ||  Ker. HC: Even after Constitution of Waqf Tribunal, Civil Court Can Execute Decree Over Waqf Dispute  ||  SC: Person Having Driving Licence for LMV Can Drive Vehicle Less than 7500 Kg  ||  Supreme Court: Section 197(1) of CrPC Will Apply to Cases Under PMLA  ||  SC: Maintainability of Second Complaint Would Depend on How the Earlier Complaint Was Rejected  ||  SC: UP Government to Pay Interim Compensation for Illegal Demolition for Road Widening Project  ||  Supreme Court: Can’t Discriminate High Court Judges on the Basis of Source of Appointment  ||  Supreme Court: All Private Properties Can’t Form Part of ‘Material Resources of Community’  ||  SC: Public Service Commission Must Maintain High Standard of Probity and Transparency  ||  SC Directs Delhi Government to Explain Steps Taken to Implement Ban on Firecrackers    

Clarification regarding applicability of Social Welfare Surcharge on goods exempted from basic and other customs duties/cesses- (Ministry of Finance ) (01 Feb 2022)

MANU/CUCR/0003/2022

Excise

1. References have been received seeking clarification on the issue of applicability of Social Welfare Surcharge (SWS) on goods that are exempted from basic customs duty or taxes or cesses which are levied as a duty of customs. In absence of any specific exemption on Social Welfare Surcharge, certain field formations have taken a view that Social Welfare Surcharge shall be payable on notional customs duty as determined on Tariff rate.

2. The matter has been examined. Social Welfare Surcharge (SWS) is levied and collected, as a duty of customs, vide Section 110 of the Finance Act, 2018 (13 of 2018) and is calculated at the rate of 10 per cent. on the aggregate of duties, taxes and cesses which are levied and collected by the Central Government as a duty of customs on goods imported into India.

3. In this regard, it may be noted that at present SWS applies at the rate of 10% of the aggregate of customs duties payable on import of goods and not on the value of imported goods. If aggregate customs duty payable is zero on account of an exemption, the SWS shall be computed as 10% of value equal to 'Nil' (as aggregate amount of customs duties payable is zero). Law does not require computation of SWS on a notional customs duty calculated at tariff rate where applicable aggregate of duties of customs is zero.

4. Thus, it is clarified that the amount of Social Welfare Surcharge payable would be 'Nil' in cases where the aggregate of customs duties (which form the base for computation of SWS) is zero even though SWS has not been exempted.

Tags : CLARIFICATION   APPLICABILITY   SOCIAL WELFARE SURCHARGE  

Share :        

Disclaimer | Copyright 2024 - All Rights Reserved