
The recent gold seizure from Kannada actress Ranya Rao at Bengaluru’s Kempegowda International Airport and her subsequent arrest have brought attention to India’s customs rules. Ms Rao was arrested for allegedly smuggling 14.8 kilograms of gold from Dubai.
After searches at spots linked to her, police recovered gold jewellery worth Rs 2.06 crore and Indian currency amounting to Rs 2.67 crore. She was then produced before a special court judge, which remanded her to 14-day judicial custody.
The incident has led to many asking how much gold and cash an Indian citizen can carry on international flights to India.
Customs Regulations: The Indian Customs Act of 1962 regulates import and export duties and the Central Board of Indirect Taxes and Customs overseas customs, excise, and goods and services tax matters in the country.
Declaring Goods: All passengers entering the country must pass through a customs check after being cleared by an Immigration Officer and receive his or her baggage. They have the option of seeking Customs clearance through one of two channels: the Green Channel for passengers who do not have any dutiable or forbidden goods or the Red Channel for those who do have such products.
Mandatory Requirements: Passengers carrying prohibited or dutiable goods, or who exceed their duty-free allowance, must submit a customs declaration form and pass via the Red Channel. They can also declare dutiable products and currencies before boarding using the ATITHI smartphone app. A declaration of foreign exchange is necessary if the value of foreign currency notes exceeds US $5,000 or if the total foreign exchange, including cash, reaches US $10,000. Passengers in the Green Channel carrying dutiable or illegal goods may face prosecution, penalties and seizure.
Duty-Free Allowances: Indian residents and foreigners residing in India can bring in used personal items and souvenirs and articles worth up to Rs 50,000, excluding certain items such as firearms and ammunition (over 50 cartridges), over 100 cigarettes, 25 cigars, or 125 g of tobacco, alcoholic beverages exceeding two lire, gold or silver (other than ornaments), flat-panel televisions (LCD/LED/Plasma). Tourists of foreign origin can bring in goods worth up to Rs 15,000.
But upon arrival from Nepal, Bhutan, or Myanmar, Indian residents, foreigners residing in India and tourists may bring items worth up to Rs 15,000.
Gold Import: Indian passengers residing abroad for over a year can bring in gold jewellery worth up to Rs 50,000 (20 grams) for men and Rs 1,00,000 (40 grams) for women.
Passengers of Indian origin or passengers with a valid passport returning to India after spending at least six months abroad can also bring gold. Short visits throughout the six-month period are ignored if they do not exceed 30 days and the passenger did not use the exemption under this scheme at the time of such short visits. The weight of gold, including ornaments, per passenger shall not exceed one kilogram.
The duty shall be paid in convertible foreign currency.
Concessional rate of duty @ 10% + 3% Education Cess is applicable for gold to Indian Passport holders and persons of Indian origin if stay is for more than 6 months. Normal rate of Customs duty @36.05% will be charged in other cases.
The passenger can bring the gold himself at arrival, import it within 15 days as unaccompanied baggage, or obtain it from a Customs bonded warehouse subject to conditions.
Except for these travellers, no other passengers are permitted to bring gold in their baggage.
Cash Limits: There is no limit on foreign exchange, but declarations are required for amounts exceeding $5,000 in notes or $10,000 in total foreign exchange. Importing Indian currency is not allowed. Indian residents returning from a visit abroad can bring in up to Rs 25,000 in cash.
Penalties for Smuggling: Non-declaration, mis-declaration, and concealment of imported goods can lead to confiscation, fines, penalties and prosecution. Furthermore, preventive detention may also be invoked in severe cases.