NRI Laws: Customs Duty and Baggage Rules

Non-resident Indians can bring back effects (personal and used) on returning to India without payment of duty provided the stay was over two years, under the NRI Laws.

When the duty is applicable, it is charged as mentioned below:

• Duty charges of 61.2% are applicable on articles (new or unused) bought by the returning NRI
• Duty of 35.2% on 14 minor appliances (only if one unit of the appliance is brought in).

However, if there is more than one unit of an appliance and the collective value of appliances exceed Rs. 150,000, then the duty of 61.2% is charged even for concessional category.

As per the NRI laws, non-resident Indians can also bring home their used vehicles. They can also purchase new or second hand vehicles lesser than 1600 cc before leaving for India and ship them home. 

NRI Laws: Customs Clearance

NRI laws require international passengers arriving at any airport in India to go through the Green Channel if they carry duty free articles and they have to opt for the Red Channel if they have duty bound articles.

Therefore, passengers must keep the following tips in mind:

• Contents of the baggage must be clearly revealed by all passengers.
• Green channel passengers must submit customs portion of the disembarkation card before leaving the airport terminal.
• Passengers carrying foreign currency of value equivalent to USD 5000 must submit a Currency Declaration Form upon arrival.
• Only an Indian passenger is eligible to carry Indian currency of not more than Rs.5000 while returning from overseas.

NRI Laws: Baggage Rules

Non-resident Indians returning to India must adhere to the regulations of Baggage (Amendment) Rules, 2006, which mandates:

• If the stay abroad was less than three days, used personal effects except jewelry do not invite any duty. Additionally, they can bring assets worth Rs.12, 000 as accompanied baggage. This limit is Rs.25, 000 if the stay was over three days.
• A passenger above 18 years of age can bring a laptop without paying duty, over and above the permitted articles
• If overseas stay was of at least three months, no duty is charged on used household effects valuing not more than Rs.12, 000. Accompanied baggage can have professional equipment up to maximum worth of Rs.20, 000. If the stay was of at least six months, the limit for accompanied baggage extends up to Rs.40, 000.
• In case the overseas stay amount to at least 365 days in the previous two years, goods worth Rs.75, 000 can be brought back without paying any duty if the concerned passenger has not got any concession in duty in the last three years.
• Articles that exceed the free allowance invite 35% as customs duty and 2% as education cess.
• The import of alcohol and tobacco products invite customs tariff if the permissible limits are exceeded.
• Jewelry valuing Rs.10, 000 can be brought by an Indian male passenger provided the overseas stay was for over a year. For female Indian passengers, this limit is Rs.20, 000.