Determine the total duties payable under Customs Act if Mr. Malya imported rubber from Malaysia at landed price (exclusive of duties) of 25 lakh. It…

CA Final · Indirect Tax Laws · MTP · May 2026
Determine the total duties payable under Customs Act if Mr. Malya imported rubber from Malaysia at landed price (exclusive of duties) of 25 lakh. It has been notified by the Central Government that share of imports of rubber from the developing country against total imports to India exceeds 5%. Safeguard duty notified on this product is 30%, IGST u/s 3(7) is 18% and BCD is 10%. Ignore agriculture infrastructure and development cess.

Suggested Answer and Working Notes:

Computation of total duties payable under the Customs Act, 1962 S. No. Particulars (₹) 1 Landed price 25,00,000 2 Add: Basic customs duty @ 10% 2,50,000 3 Add: Safeguard duty @ 30% on 25,00,000 7,50,000 4 Add: Social welfare surcharge (SWS) @ 10 % on 2,50,000 [While calculating SWS, safeguard duty is excluded] 25,000 5 Add: Integrated tax 18% of 35,25,000 (₹ 25,00,000 +2,50,000 +7,50,000 +25,000) [Integrated tax is levied on the sum total of the assessable value of the imported goods, customs duties and applicable SWS] 6,34,500 6 Total customs duties and tax payable [2,50,000 +7,50,000 +25,000 +6,34,500] 16,59,500

Topics: Customs: Types of Duty

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