The Central Board of Indirect Taxes and Customs issued guidance—Instruction 1/2022 (5 January 2022)—to clarify the treatment of “automobile parts” for customs tariff purposes.
A judgment by India’s Supreme Court in a case, Westinghouse Saxby Farmer Ltd., resulted in divergent practices regarding the customs treatment of automobile parts. Over the past eight months, many customs and goods and services tax authorities have sought to classify automobile parts under Chapter 87 citing the Westinghouse judgement, thereby causing delays in clearances and increasing costs in the supply chain.
Source KPMG
Latest Posts in "India"
- GST on Hotel Rooms ≤ Rs 7,500: 5% Rate, No ITC for Hotels or Business Travellers
- GSTN Releases Key FAQs on GSTR 9/9C Filing for Financial Year 2024-25
- Supreme Court: VAT Credit Cannot Be Denied Due to Supplier’s Tax Default
- Trickiest countries in which to achieve compliance
- India announces changes in the Invoice Management System
