'Step Towards Transparency': CBIC Merges 31 Customs Duty Notifications Into One

The Central Board of Indirect Taxes and Customs (CBIC) has merged 31 customs duty notifications into a consolidated notification, according to a post on X by the official handle of the government body on Saturday.

The post stated this trade facilitation measure is a step towards simplification, transparency and ease of doing business. This will be effective from Nov. 1, 2025 onwards.

"CBIC rolls out another trade facilitation measure! 31 Customs Duty Notifications merged into one consolidated Notification," the CBIC mentioned in the post on X.

This new notification has kept all the existing duty exemptions and benefits available in the earlier notifications, all the while making it more structured and simplified. This marks a milestone in rationalisation of customs procedures as well as reduction compliance burdens on traders and customs officials.

In a key clarification to insurers, the CBIC said that input tax credit will not be allowed on individual life and health insurance premiums that are exempted under the goods and services.

"No ITC on exempt individual life and health insurance premiums," the tax authority had told insurers.

Along with this CBIC also issued a clarification on how post-sale or secondary discounts will be treated under the Goods and Services Tax (GST). The move, aimed at ensuring uniformity across tax administrations, addresses long-pending industry doubts.

Therein it explained that discounts given by manufacturers to dealers for competitive pricing are not considered as GST for further supplies to customers. These are treated as simple price reductions, not as inducements for additional services.

Moreover, if a manufacturer has an agreement with an end customer to sell at a discounted rate, and issues a credit note to enable the dealer to pass on the discount, it will be included as part of the overall consideration.