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LoginSay for instance, the value of goods imported into India is Rs. 10,000. Following are the rates of duties and taxes leviable on such imported goods:
Basic Custom Duty @ 10%
Education Cess @ 3%
IGST @18%
Compensation Cess @ 15%
Given this case , let us see how IGST and Compensation Cess would be calculated on the import of goods:
Assessable Value = Rs. 10,000
Basic Custom Duty (BCD) = Rs. 1000 (0.10 x 10,000)
Education Cess (E. Cess) = Rs. 30 (0.03 x 1000)
Value on which IGST is charged = Rs. 11,030 (Rs. 10,000 + Rs. 1000 + Rs. 30)
IGST = Rs. 1985.4 (0.18 x 11,030)
Value on which Compensation Cess is charged = Rs. 11,030 (Rs. 10,000 + Rs. 1000 + Rs. 30)
Compensation Cess (C. Cess) = Rs. 1654.5 (0.15 x 11,030)
Total Duty to be Paid = Rs. 4669.9 (BCD + E.Cess + IGST + C.Cess)