Basic customs duty increased on 19 items to control current account deficit. Increased rates effective from 27.09.2018, midnight of 26th September 2018
The Central Government has increased basic customs duty on various products to curb the import of certain imported items. The total value of imports of these items in the year 2017-18 was about Rs 86000 Crore.
The Press Release issued in this respect by the Finance Ministry terms those items as “non-essential items“. According to the said release, these changes would narrow the current account deficit (CAD).
The increased rates of basic customs duty (BCD) will be effective from 27.09.2018 (i.e., midnight of 26th September/27th September, 2018)
The list of 19 items on which the customs duty has been increased are as under:
| S. No. | Item | Tariff code (HSN) | Basic customs duty | |
| From | To | |||
| 1 | Air conditioners | 8415 | 10 | 20 |
| 2 | Household Refrigerators | 8418 | 10 | 20 |
| 3 | Washing machines less than 10 Kg | 8450 | 10 | 20 |
| 4 | Compressor for air conditioners and refrigerators | 8414 30 00 / 8414 80 11 | 7.5 | 10 |
| 5 | Speakers | 8518 29 00 | 10 | 15 |
| 6 | Footwears | 6401 to 6405 | 20 | 25 |
| 7 | Radial Car tyres | 4011 10 10 | 10 | 15 |
| 8 | Non industrial diamond (other than rough diamonds), i.e., cut and polished diamond | 71 | 5 | 7.5 |
| 9 | Diamonds-semi processed, half cut or broken | 71 | 5 | 7.5 |
| 10 | Lab grown diamonds | 71 | 5 | 7.5 |
| 11 | Cut and polished Colored gemstone | 71 | 5 | 7.5 |
| 12 | Articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal | 7113 | 15 | 20 |
| 13 | Articles of Goldsmith or silversmith wares and parts thereof of precious metal or of metal clad with precious metal | 7114 | 15 | 20 |
| 14 | Bath, shower bath, sink, wash basin, etc. of plastics | 3922 | 10 | 15 |
| 15 | Articles of plastics for conveyance and packing such as boxes, case, containers, bottles, insulated ware etc. | 3923 | 10 | 15 |
| 16 | Tableware, kitchenware and other household items of plastics | 3924 | 10 | 15 |
| 17 | Miscellaneous items of plastics such as office stationery, fitting for furniture’s, decorative sheets, statuettes, beads, bangles etc. | 3926 | 10 | 15 |
| 18 | Trunks, Suitcase, Executive cases, Brief Cases, travel bags and other bags etc. | 4202 | 10 | 15 |
| 19 | Aviation turbine fuel | 2710 19 20 | 0 | 5 |
The relevant Notifications have also been issued.
RBI specifies ‘Related Party’ with respect to bank RBI has issued RBI Credit Risk Management Directions, 2025 defining ‘Related Party’…
Advisory on Filing Opt-In Declaration for Specified Premises, 2025 Dear Taxpayers, The relevant declarations issued vide Notification No. 05/2025 –…
FAQs for HSNS Cess Act, 2025 and HSNS Cess Rules, 2026 Q1. Who is required to get registered under the…
Refusing to condone delay can result in a meritorious matter thrown out at very threshold against case being decided on…
When prior period expenses are not admissible as deduction, following the same principle the prior period income also cannot be…
Supreme Court condoned delay of 972 days in filing appeal due to restructuring in Income Tax Department In a recent…