Hefty duty on imported TVs catches Goans off-guard

VASCO: A dream vacation to the Gulf or South East Asia may be memorable, but certainly not profitable for many Goan travellers any more, with the Centre banning the import of flat-panel TVs as part of free luggage permitted to air travellers since August 26.

ELVINO ARAUJO
bureau@herald-goa.com
VASCO: A dream vacation to the Gulf or South East Asia may be memorable, but certainly not profitable for many Goan travellers any more, with the Centre banning the import of flat-panel TVs as part of free luggage permitted to air travellers since August 26.
The Centre’s decision to impose a whopping 36% duty on flat-screen (LCD, LED and plasma) TVs ~ ostensibly to protect the domestic industry and to stem the flow of foreign currency out of the country ~ has hit a large number of Goan holidaymakers, many of whom had planned to bring in cheaper flat-panel branded TVs from abroad.
In fact, Goan passengers bringing these flat-panel TVs have been caught unawares at the Dabolim airport and have had to pay hefty customs duty, leaving many to wonder if these TVs were worth the value and effort in the first place.
Prior to August 26, passengers were allowed to import TVs worth up to Rs 35,000 as part of their baggage allowance. The attraction to bring imported flat-panel TVs to India ~ a Consumer Electronics and Appliances Manufacturers Association (CEAMA) report claims that nearly 3,000 flat-panel TVs were brought from Dubai, Singapore, Thailand and Malaysia into India on a daily basis ~ is attributed to many factors.
Many Goan travellers prefer to pick TVs from abroad as they are vastly cheaper in comparison with rates offered in the State. In fact, the CEAMA report claims that an LCD TV priced at around Rs 60,000 in 
India could be as low as Rs 37,000 in Dubai.
Some Goan passengers are even known to have sold these TVs at hefty profits, thereby recovering a significant part of their travel costs.
Some travel agents admitted that their clients have regularly brought in these “electronic souvenirs” back home. But with the new 36% duty ~ which includes a customs duty of 35 per cent and an education cess of 3 per cent, making the effective tax 36.05% ~ the agents are now advising their clients to avoid the lure of imported TVs.
“We have been informing our clients travelling abroad about the new 36% duty on TVs and we have begun advising them not to buy these electronic items,” said Sanjay Shetye of ‘Vinsan Travel Agency’ at Vasco.
Added Parshuram Shetye of ‘OK Travel Agency’, “Though we have not received any official information about the 36% duty on TVs, I have advised my clients not to buy electronic goods while returning to India.”
Sources at the Customs in Dabolim airport informed that many passengers, unaware about the steep 36% duty on TVs, were being made to pay up the duty in the airport.
“Passengers are not aware about the duty and we have had to inform them about the new rule, which has been enforced since August 26,” said the source.
Incidentally, leading TV manufacturers are expected to welcome the new duty on imported TVs, as they had reportedly decided to either refuse or provide conditional after-sales service to these imported models.
“Such imported sets were disturbing the (local) market equilibrium, sales plans and the total legitimate channel,” Sony India (Sales Head) Sunil Nayyar was quoted in a report.
Sony and Samsung had earlier decided to “refrain from providing any warranty, repair or installation service for such imported sets and also decided to exclude India from the limit of any international warranty coverage.”

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