New Delhi: Seeking to promote ease of doing business, the tax department has permitted duty-free import of goods, including gems and jewellery, for display at exhibitions provided they are exported within six months.
The goods imported for the purpose of display at trade fairs, craft exhibitions, film festivals or aero shows will be exempted from payment of the Customs duty as well as additional Customs duty, subject to the condition that they would be re-exported, said a notification of Central Board of Excise and Customs (CBEC).
In the case of precious, semi-precious stones and jewellery, the importer will have to submit a certificate from the Gems and Jewellery Export Promotion Council that the goods will be displayed at the event sponsored by the Council. "The events specified shall not include exhibitions organised for private purposes in shops or business premises for the same of foreign goods," CBEC said.
The notification further said these goods shall have to be re-exported within 6 months from the date of the order permitting their clearance. KPMG in India Partner (Indirect Tax) Santosh Dalvi said an approval from the government was required for import of gems and jewellery.
"The government's move to relax and simplify the duty free import of precious stones and jewellery for display at events is a positive step to promote the industry," he said.
The goods which can be imported duty-free for the purpose of conferences would also include publicity material, sound recording equipment, interpretation apparatus, scientific films and remnant aviation turbine fuel (ATF) in aircraft arriving for aero shows. Nangia & Co Senior Manager Himanshu Relan said, "The exemptions show that promoting ease of doing business in India is a top priority."
Certain imported goods, which are of very less value, can be retained for home consumption after payment of the Customs duty. However, this facility is not applicable on goods like gems, jewellery, drugs, medicine, clocks and watches, Dalvi said....