What NRIs Should Know About Customs Duty When Entering India

As an NRI visiting or relocating to India, you may find the customs duty rules a bit confusing at first. If you know what’s allowed and how customs duties work, you can avoid paying extra or facing delays at the airport. Flyopedia is here to guide you through the essentials of Indian customs regulations while helping you find flight tickets from toronto to delhi. We have simplified the key things you need to know before landing in India.

Customs Channels – Green vs Red

When you arrive at an Indian airport, you’ll see two customs lanes — the Green Channel and the Red Channel. The Green Channel is for passengers carrying items within the duty-free allowance and no prohibited goods. The Red Channel is for those with dutiable items, prohibited goods, or items exceeding the free allowance. If you carry dutiable items but still choose the Green Channel, you may face fines or lose your goods—always declare honestly. Airlines usually give you a customs form to fill out before reaching your destination. Complete and sign it, then present it to the immigration officer upon arrival. Honesty is key—failing to declare dutiable goods is an offense.

And yes, Flyopedia makes your journey to India affordable with cheap flights from toronto to hyderabad. Book now to save big and focus on preparing for your trip without breaking the bank.

Duty-Free Allowances for NRIs

NRIs returning to India after a stay abroad of at least six months can bring certain items duty-free, but there are limits. For personal belongings like used household items, the Transfer of Residence (TR) scheme allows duty free import of goods up to ₹5,00,000 in value, provided you’ve lived abroad for at least two years. This includes items like laptops (one per person), domestic refrigerators (up to 300 liters), and washing machines, but only one unit per family. Jewellery is also duty-free up to ₹50,000 for men and ₹1,00,000 for women, provided it was taken out of India or purchased legally abroad with proper receipts.

For trips shorter than a year, the duty-free limits are tighter. You can bring personal effects, one laptop, and foreign currency up to US$10,000 (with no more than US$5,000 in cash) without declaration. Exceeding these limits requires a Currency Declaration Form at the airport. Items like cigarettes (up to 100), cigars (up to 25), tobacco (125 grams), and liquor (2 liters) are allowed within limits, but anything beyond attracts hefty duties.

Tip: If you are planning your trip, Flyopedia offers the cheapest business class flights from toronto to delhi to make your journey budget-friendly. 

Customs Duty on Gold

Gold is a favourite with NRIs, but it’s not something you can bring without knowing the customs rules. The duty free gold limit is 20 grams (₹50,000) for men and 40 grams (₹1,00,000) for women. There is no exemption for gold bars or coins—they are also taxed at 10.75% of their full value. NRIs staying abroad for over a year can bring up to 1 kg of gold, but anything beyond the duty-free limit incurs duty. Always carry purchase receipts to prove authenticity and avoid complications, especially if you plan to sell the gold later. Currently, gold bars are taxed at 9.5%, jewellery at 18%, and doré at 8%, with an extra 1.25% welfare surcharge.

Breakdown of Customs Duty

The customs duty is based on the total value of goods, including cost, insurance, and freight. Duty is calculated according to the HS Code under which the item is categorised. For instance, electronics such as flat-screen TVs or extra laptops have duties that depend on their HS Code. You can check it out on the India Trade Portal. Additional taxes like Integrated Goods and Services Tax (IGST), Countervailing Duty (CVD), or Anti-Dumping Duty may apply, especially for commercial imports. For used items under the TR scheme, depreciation is factored in to reduce the assessable value. You can pay duties online through the ICEGATE portal, which also has a handy duty calculator to check your costs.

Save on travel costs with Flyopedia’s cheap flights from Canada to India. Our deals ensure you arrive in India with more in your pocket for your purchases!

Prohibited and Restricted Items

Certain items are strictly prohibited or restricted. Firearms, over 50 rifle cartridges, narcotics, and obscene materials are banned. Large electronics like LED/LCD TVs or excessive liquor (beyond 2 liters) attract high duties or penalties. Used items can only be shipped as accompanied baggage under TR, and misdeclaring items as gifts can lead to fines. Always check the Central Board of Indirect Taxes and Customs guidelines to avoid surprises.

Easy Ways to Handle Customs Without Stress

1. Declare Everything: Use the Red Channel if you’re unsure about dutiable items to avoid penalties.
2. Keep Documentation: Carry receipts for gold, electronics, or high-value items to prove their value and origin.
3. Use TR Benefits: If relocating permanently, apply for the Transfer of Residence scheme to save on duties.
4. Check HS Codes: Use the ICEGATE duty calculator to estimate costs before traveling.
5. Stay Updated: Customs rules change, so check the CBIC website or consult a customs agent for the latest regulations.

Bottom Lines

Flyopedia knows just how thrilling—and a bit challenging—traveling to India can be for NRIs. Our mission is to make your journey affordable and convenient with online last minute flight tickets to India. We offer the best deals to get you there without stretching your budget. Combine our cost-saving flights with smart customs planning, and you’ll arrive in India prepared and stress-free.