Customs Duty Not Payable on Nuclear Power Generation Goods Imported up to 31 January 2026
Background and Context
The Central Government has invoked its powers under Section 28A of the Customs Act, 1962 to conclusively settle the issue of customs duty liability on certain imports used for nuclear power generation.
By Notification No. 53/2026–Customs (N.T.) dated 11 June 2026, the Government has formally declared that customs duty shall not be required to be paid on specified goods imported for the purpose of generating nuclear power, under tariff item 84013000, for the period from 1 April 2019 up to 31 January 2026.
This move essentially regularises a long-standing practice of non-levy of customs duty on such imports during the stated period, aligning past assessments with the later formal exemption granted under earlier notifications.
Legal Foundation of the Relief
Statutory Provision – Section 28A
The authority for issuing this relief stems from Section 28A of the Customs Act, 1962 (52 of 1962).
Key function of Section 28A:
It empowers the Central Government, in situations where a particular practice was generally prevalent regarding the non-levy or short-levy of customs duty, to issue a notification stating that such duty shall not be required to be paid for a defined past period, subject to conditions prescribed.
In this case, the Government has recognised a generally prevalent practice of non-levy of customs duty on certain nuclear power generation imports and has exercised its Section 28A powers to confirm that no duty is payable retrospectively for the defined period.
Interplay with Customs Tariff Act and Earlier Notifications
The notification specifically refers to:
Customs Tariff Act, 1975 (51 of 1975)– particularly the First Schedule prescribing rates of customs duty; andNotification No. 45/2025-Customsdated 24 October 2025, as amended byNotification No. 02/2026-Customsdated 1 February 2026.
Under those earlier notifications, imports of:
- all goods for generation of nuclear power,
- falling under tariff item 8401 30 00,
- covered under serial number 227A of the said notification,
were allowed to be imported free from the whole of customs duty leviable thereon.
The present Notification No. 53/2026–Customs (N.T.) builds on that framework but addresses a prior period when such imports were already being treated in practice as duty-free, even though the formal exemption notification came later.
Scope of Goods and Period Covered
Nature of Goods
The relief is restricted to:
- Goods for generation of nuclear power, and
- Classified under tariff item
84013000/8401 30 00in the First Schedule to theCustoms Tariff Act, 1975.
These typically relate to nuclear reactors and equipment associated with nuclear power generation, though the precise classification is as per the Customs Tariff.
Important:
Only goods correctly classifiable under tariff item8401 30 00and used for nuclear power generation, as covered under serial number 227A ofNotification No. 45/2025-Customs, are eligible for this benefit.
Time Window for Non-Payability of Duty
The notification clearly specifies that the customs duty otherwise leviable under the First Schedule to the Customs Tariff Act, 1975, read with the said exemption notification, shall not be required to be paid in respect of imports of the said goods during the period:
- From: 1 April 2019
- To: 31 January 2026
This means:
- Any import of eligible goods carried out between these dates is covered.
- The relief is retrospective up to 1 April 2019 and runs prospectively up to 31 January 2026.