1.Customs Act 1962 Provisions (Customs Legislation)

What & Where
Customs Act 1962: primary Indian law governing import-export, valuation, seizure and levy of customs duty.
Operates across all customs stations; enforced at airports, seaports and land borders.
Administered by Central Board of Indirect Taxes & Customs (CBIC), Ministry of Finance.
Quick Facts for MCQs
Legal & Policy
- Act empowers bans/restrictions for security, health, environment.
- Provides warehousing, drawback, confiscation, search & seizure provisions.
- DRI operates under Act for intelligence-based interdictions.
Passenger Allowances
- Separate concessions for gold, electronics, liquor, tobacco; cumulative, not interchangeable.
- Exemptions available only after ≥ 6 months stay abroad.
- Allowances inapplicable to crew; crew must declare all dutiable goods.
Enforcement & Penalties
- Smuggling threshold invokes arrest without warrant; goods & conveyance liable to confiscation.
- Value-based penalties escalate for repeat offences.
- Adjudication by customs officers; appeals lie with CESTAT and higher judiciary.
Key Data Points
| Feature | Data-Point |
|---|---|
| Enactment year | 1962 |
| Admin ministry | Finance |
| Key duty basis | Customs Tariff Act 1975 |
| General duty-free allowance | ₹50,000 per passenger |
| Gold allowance-male | 20 g; value ≤ ₹50,000 |
| Gold allowance-female | 40 g; value ≤ ₹1,00,000 |
| NRI gold limit (6 mth) | up to 10,000 g; duty after exemption |
| Laptop allowance | 1 per adult |
| Alcohol limit | 2 litres |
| Tobacco limit | 100 cigarettes (or equiv.) |
| Indian currency carry | ≤ ₹25,000 without declaration |
| Foreign currency declaration | Mandatory if > US$5,000 cash or US$10,000 aggregate |
| Imprisonment for smuggling | 3 – 7 years |
| Monetary penalty | Up to 3 × value of goods |
| Warehousing option | Duty deferred till clearance/export |
Related UPSC Prelims PYQs
With reference to India, consider the following Central Acts:





