Provisional Tax Collection Act, 1955

5. Customs duty shall be exempted for the following goods as follows:-

(1) Full exemption from customs duty:

(a) Raw jute falling under sub-headings 5303.10.00 and 5303.90.00 imported by jute industries,
(b) Postage stamps falling under sub-heading 4907.00.20; aerogrammes falling under sub-heading 4907.00.30; passports falling under sub-heading 4907.00.40; excise stamps falling under sub-heading 4907.00.50; and postcards falling under sub-heading 4909.00.00, imported by the Government of Nepal,
(c) Vehicles imported under partial customs duty facility for private use, where the owner of the vehicle has died, and the vehicle is transferred to the name of the spouse of the deceased,
(d) Goods produced in India and imported from India only, falling under the following sub-headings:

 Part-25

 2502.00.00 2504.10.00 2504.90.00 2510.10.00
 2511.10.00 2511.20.00 2513.10.00 2513.20.00
 2519.90.00 2521.00.00 2525.10.00 2528.00.00
 Part-26
 2601.11.00 2601.12.00 2601.20.00 2602.00.00
 2603.00.00 2604.00.00 2605.00.00 2606.00.00
 2607.00.00 2608.00.00 2609.00.00 2610.00.00
 2611.00.00 2612.10.00 2612.20.00 2613.10.00
 2613.90.00 2614.00.00 2615.10.00 2615.90.00
 2616.10.00 2616.90.00 2617.10.00 2617.90.00
 Part-44
 4401.11.00 4401.19.00 4401.21.00 4401.22.00
 4401.31.00 4401.32.00 4401.39.00 4402.10.00
 4402.20.00 4402.90.10 4402.90.90 4403.11.00
 4403.12.00 4403.21.00 4403.22.00 4403.23.00
 4403.24.00 4403.25.00 4403.26.00 4403.42.00
 4403.41.00 4403.49.00 4403.91.00 4403.93.00
 4403.94.00 4403.95.00 4403.96.00 4403.97.00
 4403.98.00 4403.99.10 4403.99.90

(e) Partially oriented yarn (P.O.Y.) falling under sub-heading 5402.46.00, and man-made staple fiber falling under sub-headings 5503.11.00, 5503.19.00, 5503.20.00, 5503.30.00, 5503.40.00, 5503.90.00, 5504.10.00, 5504.90.00, 5506.10.00, 5506.20.00, 5506.30.00, 5506.40.00, 5506.90.00, and sub-heading 5507.00.00, imported by a yarn industry registered for value added tax,
(f) Plastic bags for storing blood falling under sub-heading 9018.90.20 required for blood transfusion services; transfusion sets falling under sub-heading 9018.90.90 imported by the Nepal Red Cross Society for the same purpose; testing kits falling under sub-heading 3002.90.10; and reagents falling under sub-headings 3822.11.00, 3822.12.00, 3822.13.00, 3822.19.00, and 3822.90.00,
(g) Braille (braille printers) falling under sub-headings 8443.31.00, 8443.32.00, and 8443.39.00 used by visually impaired persons; colour detectors, water detectors, and light detector instruments falling under sub-heading 8531.80.00; audible thermometers falling under sub-heading 9025.19.10; braille watches falling under sub-heading 9102.99.00; magnifying glasses falling under sub-heading 9013.80.00; braille compasses falling under sub-heading 9014.10.00; braille books falling under sub-headings 4901.91.00 and 4901.99.00; braille embossers falling under sub-heading 8443.39.00; braille stencil machines falling under sub-heading 8472.10.00,
(h) Chemicals falling under Parts 28, 29, and 38 imported in the name of Nepal Rastra Bank; paper required for banknote printing falling under Part 48; cheque forms and cheque books falling under sub-heading 4907.00.60; coins falling under Part 71; silver, gold, and their jewellery falling under Headings 71.06, 71.08, and 71.13; metals of Part 74; office machines and other goods of a similar nature falling under Heading 84.72, other than those exempted from customs duty,
(i) Books and periodicals falling under Headings 49.01, 49.03, and 49.04 published by foreign publishers,
(j) Goods falling under Headings 47.07, 76.01, and 79.01 imported by industries,
(k) Spare parts falling under sub-heading 8409.99.90, Heading 84.48, sub-heading 8452.90.00, Headings 84.55, 84.82, and sub-heading 8483.90.00, imported by jute industries for their industry.

(2) Only one percent customs duty leviable:-

(a) Aircraft falling under sub-headings 8802.20.00, 8802.30.00, 8802.40.00, and 8806.10.00; helicopters falling under sub-headings 8802.11.00 and 8802.12.00; gear boxes falling under sub-heading 8483.40.00; engines falling under sub-heading 8407.10.00; turbo jet engines and turbo propellers falling under sub-headings 8411.11.00, 8411.12.00, 8411.21.00, and 8411.22.00; tires falling under sub-heading 4011.30.00; tubes falling under sub-heading 4013.90.30; batteries falling under sub-heading 8507.10.00; nuts, bolts, and rivets falling under sub-headings 7318.16.00, 7318.19.00, and 7318.23.00; propellers, rotors, and blades falling under sub-heading 8407.10.00; pistons falling under sub-heading 8409.10.00; other parts for aircraft or helicopters falling under sub-heading 8807.30.10; landing gear falling under sub-heading 8805.10.00; windscreens falling under sub-headings 7007.11.00 and 7007.21.00, imported by airlines service providers or companies licensed by the Civil Aviation Authority,

Provided that, if aircraft, helicopters, or their engines imported under a lease are re-exported within three years from the date of import, or if they are involved in an accident in Nepal and cannot be re-operated and consequently cannot be re-exported, the customs duty paid at the time of import shall be refunded.

(b) Fish scraps or meal and shell pieces falling under sub-heading 0511.91.00; raw materials for feed supplements falling under sub-headings 2301.10.00 and 2301.20.00; maize gluten falling under sub-heading 2303.10.00; limestone powder falling under sub-heading 2521.00.00; and enzymes falling under sub-heading 3507.90.00, imported for domestic use by feed and livestock/poultry industries,
(c) Yarn falling under Heading 52.05 and sub-heading 5207.10.00, imported by textile and carpet industries,
(d) Instruments and equipment falling under sub-headings 9027.10.00, 9027.30.00, and 9027.90.10, and parts thereof falling under 9027.90.90, imported by industries,
(e) Resins of Headings 39.09 and 39.11; primary rubber of Heading 40.01; synthetic rubber of Heading 40.02; reclaimed rubber of Heading 40.03; rubber processing oil falling under sub-heading 2710.19.94; carbon black falling under sub-heading 2803.00.00; zinc oxide falling under sub-heading 2817.00.00; calcium carbonate falling under sub-heading 2836.50.00; prepared rubber accelerators falling under sub-heading 3812.10.00; stearic acid falling under sub-headings 2915.70.00 and 3823.11.00; bladders falling under sub-heading 4016.95.00; tire cord fabrics falling under sub-heading 5902.10.00; and silico-manganese steel wire falling under sub-heading 7229.20.00, imported by an industry manufacturing tires for its production purposes,
(f) Mill machinery falling under Part 84, excluding those that can be used for domestic purposes, imported by micro, cottage, and small industries for their production purposes,
(g) Machinery and equipment falling under Part 84, other than those exempted from customs duty, imported by an industry manufacturing bio-pesticides used in crops for the production of bio-pesticides,
(h) Machinery and equipment and their spare parts falling under Headings 84.02, 84.20, 84.44, 84.45, 84.46, 84.47, 84.48; sub-headings 8421.12.00, 8421.19.00, 8421.30.00, 8421.40.00, 8421.50.00; and chemicals, dyes, and polymers falling under Headings 28.15, 28.30, 28.36, 28.47, 29.15, 32.04, 34.03, 38.09, 39.05, 39.06, imported by yarn and textile industries for their production purposes,
(i) Vacuum ironing tables falling under sub-headings 8403.20.90 and 8403.60.00, and steam irons falling under sub-heading 8516.40.00, imported by industries exporting ready-made garments,
(j) Separators falling under sub-heading 8421.11.00 used in agriculture and livestock/poultry industries; milk chilling vats falling under sub-headings 7309.00.00 and 7611.00.00; liquid nitrogen falling under sub-heading 2804.30.00; industrial refrigerators falling under sub-heading 8418.10.00; and containers for storing liquid nitrogen falling under sub-heading 7613.00.20.