The legal framework
The Customs Act, 1962 provides the levy and collection machinery, valuation rules, and import/export
restrictions, while the Customs Tariff Act, 1975 sets out the tariff schedule and duty rates, along with
anti-dumping, safeguard, and countervailing duty mechanisms. Central excise on manufactured goods has been
almost entirely absorbed into GST since 2017, surviving only for a small residual category of items
(petroleum crude, high-speed diesel, petrol, aviation turbine fuel, natural gas, and tobacco in specific
respects) still governed by the Central Excise Act, 1944.
Baggage Rules for NRIs and returning residents
The Baggage Rules govern the duty-free allowance available to passengers, including NRIs, bringing personal
effects and jewellery into India, with distinct limits that historically differ for male and female passengers
and are typically conditioned on having resided abroad for a minimum period. These figures have been revised
periodically -- including a reported revision around the 2026 Budget affecting the general duty-free allowance
and gold jewellery limits -- so anyone planning to bring jewellery or high-value goods into India should
confirm the exact current rupee and weight limits against the latest CBIC notification before travelling,
rather than relying on a fixed figure that may have since changed.
Transfer of Residence -- a more generous concession
A separate, historically more generous Transfer of Residence (TR) concession applies to NRIs relocating
back to India after a continuous stay abroad of two years or more, covering used household goods, personal
effects, and typically a more generous jewellery allowance than the standard passenger baggage allowance.
Because both the standard allowance and the TR concession are revised periodically by CBIC notification, the
practical step for any NRI planning a move is to check the current notification (or consult a customs
professional) shortly before the move, rather than relying on previously published figures. Claiming the TR
concession in practice requires documentary proof of the qualifying stay abroad (passport stamps, visa or work
permit records, and often an employer letter), a detailed inventory or invoice list for used household goods
being shipped, and, for high-value jewellery, purchase invoices or an appraisal -- NRIs should assemble this
paperwork well before shipping goods or arriving at the port/airport, since customs officers can and do ask
for it before releasing the TR-concession benefit.
Is central excise duty still charged on most manufactured goods in India?
No -- GST absorbed most central excise duty on manufactured goods from 2017 onward. Central excise now
survives only for a small residual category (certain petroleum products, natural gas, and tobacco in specific
respects) still governed by the Central Excise Act, 1944.
Does the duty-free jewellery allowance differ for men and women returning to India?
Historically yes -- the Baggage Rules have set different jewellery weight/value limits for male and female
passengers, and these figures are periodically revised, so the current exact limits should always be checked
against the latest CBIC notification rather than an older published figure.
What is the benefit of the Transfer of Residence concession over the standard baggage allowance?
The TR concession, available to those who have lived abroad continuously for two years or more before
relocating back to India, generally provides a more generous allowance for used household goods, personal
effects, and jewellery than the standard passenger baggage allowance available on an ordinary visit.
