New Delhi: In view of the COVID-19 pandemic, the central government has issued basic and / or health tariff exemption notifications on imports of a number of COVID-related relief materials -19, for a limited period. These included-
“The central government had received a number of representations from charities, legal entities and other associations / entities outside of India requesting an exemption from the IGST on the import of Covid relief material- 19 (already duty free), donated / received cost from outside India for free distribution. As a result, the central government void Ad Hoc Exemption. Ordinance No. 4/2021 of May 3, 2021 granted an exemption from the IGST on the importation of such goods received free of charge for free distribution for covid relief purposes, “an official statement said.
This exemption will apply until June 30, 2021. It would also cover goods already imported but not cleared through customs on the date of its exemption issuance, namely May 03.
“This exemption will therefore allow the import of the imported covid relief supply free of charge for free distribution without payment from IGST (until June 30, 2021). As customs duties are already exempt, these imports will not entail any duty. nor IGST. ”a statement from the Ministry of Finance said.
These imports will not incur any customs duty or IGST:
- Remdesivir injection / API and beta cyclodextrin (SBEBCD), inflammatory diagnostic kits (markers), until October 31, 2021.
- Medical grade oxygen, oxygen therapy related equipment such as oxygen concentrators, cryogenic transport tanks, etc., and COVID-19 vaccines until July 31, 2021.
The exemption is subject to the following conditions:
- The State Government will designate a nodal authority in the State for the purposes of this exemption. In accordance with Article 2 (103) of the Central Goods and Services Tax Act 2017, the state comprises a Union territory with a legislature.
- The Nodal authority thus designated will authorize any entity, rescue agency or statutory body to distribute this Covid-relief material free of charge.
- Said products may be imported free of charge by any state government or by any entity / relief agency / statutory body authorized in this regard to be distributed free of charge anywhere in India.
- The importer must, prior to customs clearance of the goods, produce a certificate from said nodal authorities indicating that the goods are intended to be distributed free of charge for Covid relief.
- After imports, the importer must submit, to the deputy or deputy commissioner of customs at the port within six months from the date of importation or during an extended period not exceeding nine months , a simple declaration containing the details of the goods imported and distributed. Free. This statement must be certified by said state government nodal authority.