The Central Board of Indirect Taxes and Customs (CBIC) has notified duty exemption on COVID-19 vaccines for three months from October 1, 2021, to December 31, 2021.
This means the Government of India has fully exempted the import of COVID-19 vaccines from basic customs duty till the end of this year.
The move is expected to boost the domestic availability of COVID-19 vaccines and also make them cheaper.
A notification issued by the Board on September 29 read: “The Central Government, on being satisfied that it is necessary in the public interest to do so, hereby exempts the goods of the description specified when imported into India, from the whole of the duty of customs leviable.”
In the notification, the CBIC specified “COVID-19 vaccine”, indicating all vaccine imports to India will be exempt from customs duty till December 31, 2021.
Earlier this year in April, the Centre had exempted imports of coronavirus vaccines from customs duty for three months. Following the conclusion of this three-month period, a 10 percent customs duty was being charged on vaccines, which will no longer be charged from tomorrow.
So, COVID-19 vaccines will now only attract a five percent goods and services tax (GST).
Currently, India imports Russia made Sputnik V vaccine. India has granted Emergency Use Approval to five vaccines – Serum Institute's Covishield, Bharat Biotech's Covaxin, Russia's Sputnik V, Moderna, and Johnson & Johnson.
(With PTI inputs)
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