Customs Duty Calculator

Customs duty is charged in stages. First convert the invoice value, freight and insurance to INR and add 1% landing charges to get the assessable value (AV). Basic customs duty (BCD) is a percentage of AV set by the HSN code. Social welfare surcharge (SWS) is normally 10% of BCD (plus AIDC where it applies). IGST is then charged on AV + BCD + SWS + AIDC at the GST 2.0 rate — usually 5%, 18% or 40%. Compensation cess now applies mainly to tobacco and select notified goods and uses the same base. Total duty is the sum of BCD, SWS, AIDC, IGST and cess.

BCD is the main protective customs duty on imported goods. SWS is a 10% surcharge on BCD that funds social welfare schemes. IGST is the GST charged on imports at the same rate as a domestic supply; unlike BCD and SWS, IGST is generally available as input tax credit to a GST-registered importer. AIDC is a separate cess on select commodities such as gold, silver and some agricultural goods.

For a GST-registered business, IGST paid at customs is available as input tax credit and can be set off against output GST, so it is a cash-flow cost rather than a final cost. BCD, SWS and AIDC are not creditable under GST. Exporters can instead use schemes such as advance authorisation, EPCG, duty drawback or RoDTEP, or import under a bonded warehouse/LUT depending on eligibility.

AIDC stands for Agriculture Infrastructure and Development Cess. It was introduced in the 2021 Budget as a duty of customs on specified goods — commonly gold, silver, coal, some fuels and a few agricultural commodities. It is charged on the assessable value like BCD. It is not a universal levy: most general goods have a 0% AIDC rate unless a notification lists them.

Customs valuation is on a CIF basis, so freight and insurance are added to the invoice price. Where actual loading, unloading and handling costs are not ascertainable, Rule 10(2) of the Customs Valuation Rules uses a notional 1% of CIF as landing charges. If your actual handling costs are known and accepted, use those instead by switching the 1% charge off and entering the real amount.

Use the exchange rate notified by CBIC for the date your Bill of Entry is assessed — not the bank or card rate. CBIC issues exchange-rate notifications, usually revised every fortnight. The rate shown here is an editable placeholder so you can enter the notified rate for your shipment.

Yes, depending on eligibility: claim preferential BCD under an FTA or trade agreement with a valid Certificate of Origin; use advance authorisation, EPCG or duty drawback for export-linked inputs; import into an SEZ/EOU under bonded procedures; claim IGST input tax credit if GST-registered; and ensure the transaction value is correctly declared with all allowable deductions. Customs valuation and classification are the two areas where errors most often increase duty.

Personal imports are assessed under different tariff headings (for example CTH 9804) and concessions, and gifts can attract a different BCD rate from commercial imports. Courier and postal imports also have simplified valuation and threshold rules. Use the applicable rate from the relevant notification or the ICEGATE calculator, not the general commercial-import preset.