Gem and jewellery businesses have got more time for re-importing cut and polished diamonds sent abroad for certification and grading, Central Board of Indirect Taxes and Customs (CBIC) said here.

The indirect tax authority said in a statement that businesses which ought to have re-imported diamonds between the beginning of February and July end after certification from specified laboratories abroad but could not do so due to disruption of freight movement will benefit from the relaxation. These businesses will now get three more months for re-importing these consignments, CBIC said.

Such re-import in the extended period will be exempt from basic customs duty and Integrated Goods and Services Tax (IGST. This facility is available to businesses with average annual export turnover of 5 crore for the last three years.

“It may be noted that this relief is given to those exporters whose graded cut and polished diamonds were stuck abroad as the period of three months, ordinarily allowed for re-import had expired due to the pandemic,” CBIC said. It explained that a number of such consignments were pending clearance with the Customs authorities. “All these diamonds can now be received back by the exporters,” it said.

Separately, the Central Board of Direct Taxes (CBDT) said in a statement that banks and post offices have now been given the facility to check the tax deducted at source (TDS) liability of persons withdrawing cash. This facility made available through the tax department’s return filing website can also be linked to the bank’s systems. The idea is to help banks and post offices automate the process of checking TDS liability of those who withdraw cash. Tax is deducted at source on cash withdrawals above one crore at 2% if the person withdrawing cash is an income tax return filer. In the case of others, the 2% rate applies on withdrawals above 20 lakh while withdrawals above one crore is subject to 5% TDS, CBDT said.

News Source: Livemint


By Editor

We Try To Share All important Information With You.

Leave a Reply

Your email address will not be published. Required fields are marked *