Exemption to samples, price lists, commercial samples or prototypes imported as baggage or by post. Air or Courier service and prototypes of engineering goods imported as samples for executing or securing export orders.
In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts goods (hereinafter, referred to as the said goods) of the description specified in column (2) of the Table hereto annexed and falling within the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), when imported into India, from the whole of the duty of customs leviable thereon which is specified in the said Schedule and from thewhole of the additional duty leviable thereon under section 3 of the second mentioned Act subject to the conditions, if any, laid down in the corresponding entry in column (3) thereof.
TABLE
provided that where the samples relating to gem and jewellery industry are imported by exporters of gem and jewellery, the import of said sample shall not exceed value of Rs. 3,00,000 (Three lakhs) or 0.25% of average value of three immediately preceding years exports whichever is lower, and such samples shall not exceed 50 units in number, within a period of twelve months subject to the condition that the importer produces a certificate from the Gem and Jewllery Export Promotion Council certifying the value of export made during three immediately preceding years and also the value and quantity of goods already imported under this notification during the last twelve months.
and (v) The importer at the time of importation - (A) declares that - (a) the samples have been imported into India solely for the purpose of being shown in India for the guidance of exporters or for securing or executing an export order; (b) the total import value of sample does not exceed Rs 3,00,000 (Three lakhs) or 0.25% of average value of three immediately preceding years exports whichever is lower, in the case the sample is related to gem and jewellery industry imported by exporter of gem and jewellery, as the case may be and Rs 1,00,000 (One Lac) in case of any other import of commercial samples and such sample shall not exceed 50 units in number, within a period of last twelve months; and (B) produces an undertaking to the Assistant Commissioner of Customs or Deputy Commissioner of Customs to pay the duty leviable on the said goods but for the exemption contained herein, if the declaration under clause (A) is found to be false.
Notification No. 154/94-Cus., dated 13-7-1994 as amended by Notifications No. 100/95-Cus., dated 26-5-1995; No. 101/95-Cus., dated 26-5-1995; No. 75/97-Cus., dated 14-10-1997 and No. 86/99-Cus., dated 6-7-1999.