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Convergence of markets size and the technology dynamism entail constant realignment of the industry. Reckoning this the Government ever so often tweaks its tax and duty rates to address developments and loopholes.
Most telecom products<\/a> attract 10% to 20% basic customs duty. In order to provide strategic impetus, the Government provided benefit in form of concessional rate of duty or exemption to certain products by way of Customs Notification No. 57\/2017-Cus. as amended, for specified telecom equipment<\/a> under CTH or HSN 8517 62 and 8517 69.
There was ambiguity around the scope and coverage of this exemption notification, besides some new products or variations evolved since the exemption notification was introduced, with the result that importers were claiming benefit of lower duty rate or exemption on many imported telecom gear. For instance, “subscriber-end equipment” is eligible for exemption under the exemption notification yet, there was no identification\/ guidance available to understand scope of the products that qualify as “subscriber-end equipment” to enjoy the exemption. Under this cloud of ambiguity, products such as “routers” were enjoying the exemption. Such instances have potentially resulted in revenue leakage of more than Rs 500 crores. At the same time, there have been imports of telecom gear by classifying it within the “others” category, which led to lack of credible and qualitative data of imports of telecom gear into India.
To address the ambiguity as also possible ongoing misuse of the exemption notification, it emerged that all stakeholders should better understand and thereafter effectively identify the items\/equipment that are covered by the exemption notification and generate correct import data.
Against this background, the Central Board of Indirect Taxes, and Customs (CBIC<\/a>) issued a Circular in March 2023, which provides clarifications to aid with identification of eligible items\/equipment for the exemption notification and requires an identifier code to be declared in the bill of entry that have been filed from April 1, 2023. These measures are directed to ensure that the exemption benefit is availed in respect eligible telecom gear only besides will enable creation of appropriate import database.
The Government has also rolled out several amendments to HSN codes, at the six-digit level, replaced certain tariff headings and introduced new tariff headings to remediate any ambiguity around classification of products.
As a cumulative impact of these changes, telecom gear which were being imported at lower rate of duty by claiming exemption notification, will no more be able to continue this benefit. It is noteworthy that these products were never meant to enjoy the exemption but, were able to enjoy the undue benefit due to the ambiguity regarding scope\/ coverage of the exemption notification. Said differently, the Customs duty rates have per se not been altered rather to obviate disputes on this topic and dissuade improper beneficiation, clarity has been attempted to be provided by the CBIC<\/a>. To the extent that the exemption notification was misused or improperly used, landed cost of telecom gear will increase. Simultaneously, these measures will enable Government to track imports of telecom equipment\/items.
In conclusion, the telecom industry will witness some duty changes, which may make imported telecom gear costlier, in addition, there will be additional disclosure requirements which necessitate process changes.
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政策修正案可能如何影响电信业的责任结构
大多数电信产品吸引基本关税10%至20%。为了提供战略推动力,政府提供福利形式的优惠税率或免税某些产品通过海关通知57/2017-Cus。作为指定的电信设备的修改,在车车或HSN 8517 62和8517 69。
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收敛的市场规模和行业的技术活力需要不断调整。清算这政府经常调整其税收和税率来解决发展和漏洞。
大多数电信产品吸引基本关税10%至20%。为了提供战略推动力,政府提供福利形式的优惠税率或免税某些产品通过海关通知57/2017-Cus。为指定的修改,电信设备在车车或HSN 8517 62和8517 69。
有歧义的范围和覆盖这个豁免通知,除了一些新产品或变异进化自豁免通知了,结果导致进口商要求降低关税税率或免税的好处在许多进口电信设备。例如,“subscriber-end设备”下的豁免豁免资格的通知,没有识别/指导可以理解的范围的产品符合“subscriber-end设备”享受豁免。在这种模棱两可的云,产品,如“路由器”享受豁免。这种情况下可能导致收入超过泄漏Rs 500卢比。同时,进口电信设备的分类在“其他”类别,导致缺乏可信的和电信设备进口到印度的定性数据。
解决歧义作为持续滥用也可能豁免通知,之后,所有的利益相关者应该更好地理解和有效地识别项目/设备中所涵盖的豁免通知和生成正确的导入数据。
在此背景下,中央委员会的间接税收,和海关(CBIC)发出通知2023年3月,为澄清援助提供鉴定合格的产品/设备的豁免通知和需要中声明一个标识符的代码已经提交的报关单从4月1日,2023年。这些措施指导以确保免税好处是利用对符合条件的电信设备只除了将使创建适当的导入数据库。
政府也推出了一些修正案HSN代码,在6级别,取代某些关税标题和介绍新关税标题纠正任何歧义的分类产品。
的累积影响这些变化,电信设备的进口速度低声称免征关税的通知,不再能够继续受益。值得注意的是这些产品就不打算享受免税,但能够享受不正当利益由于歧义有关豁免的范围覆盖/通知。说不同,海关税率本身没有改变,而消除争端这一主题和劝阻不当选矿,清晰一直试图提供的CBIC。以至于豁免通知被滥用或不当使用,登陆电信设备的成本将会增加。同时,这些措施将使政府能够跟踪进口电信设备/物品。
总之,电信行业将见证一些职责的变化,这可能会让进口电信设备昂贵,此外,将会有额外的披露要求,这需要过程的变化。
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