Imports allowed

3.6.4.5

Duty credit scrip may be used for import of any capital goods including spares, office equipment and professional equipment, office furniture and consumables; that are otherwise freely importable under ITC (HS) Classification of Export and Import items. The imports shall relate to any service sector business of the applicant.

Utilization of duty credit earned under the scheme shall not be permitted for payment of duty in case of import of vehicles, even if such vehicles are freely importable under ITC (HS).

In the case of hotels, golf resorts and stand-alone restaurants having catering facilities, the duty credit entitlement may also be used for the import of consumables including food items and alcoholic beverages.

(Please refer CUS CIR NO. 16/2006 DATE 09/05/2006)