Hi All,
I recently sent a package (HDMI splitter) valued S$50 from Singapore to India.
Duty came to around 98% of my product value. When I confronted customs (India), i got a email reply as follow
"In this regard, it is to inform you that Goods mentioned in the Bill of Entry have been declared as personal goods and classified under 98049000. Therefore, Duty as per customs circular no.04/2020-Cus dated 21.01.2020 has been levied on this consignment. As per circular duty, leviable on personal goods is BCD@35%, IGST@28%, and SWS@10%
Your consignment invoice value is 50SGD, which has to be converted into an assessable value by adding Freight and Insurance charges for duty calculation .
Invoice value in INR = 50 SGD, Rate of Exchange is 54.95, hence invoice value in INR is 50*54.95=2747.5
Freight Charges = 20% of Invoice value i.e. 20% of 2747.5 = 549.50,
Insurance Charges = 1.125% of Invoice value + Freight Charges i.e. 1.125% of (2747.5+549.5) = 37.09
Assessable Value = Invoice value + Freight charges + Insurance Charges = 2747.5+549.5+37.09 = 3334.09
Taking round figure = 3334
Basic Customs Duty (BCD) = 35% of Assessable value = 1167
Social Welfare Surcharges (SWS) = 10% of Basic Customs Duty = 117
IGST = 28% of (Assessable value + Basic Customs duty + Social Welfare Charges) = 1293
Total Duty = BCD + SWS + IGST = 1167+117+1293 = 2577."
Is it valid?