The Hindu Business Line : Yacht imports under customs scanner

MUMBAI: After the possessors of private jets and luxury cars, owners of yachts, including a Bollywood star, have come under the government's scanner for alleged evasion of customs duty.

Highly placed sources in the Finance Ministry said a 'letter of reference' has been sent to all ports in the country asking the authorities to investigate whether any yacht was imported evading customs duty. Sources said the investigation, which has alre ady began, will bring owners of over 350 yachts, some of which cost in crores, under the probe.

Many of these yachts, which belong to top businessmen, realtors and a Bollywood star, were allegedly imported by giving misrepresentation of facts that they would be used for fishing and sports activities.

“As per the Customs Act, imported yachts attract a duty of around 36.5 per cent but if they are being brought for fishing purpose or even for sports related activities like training among others, they are exempted from duty,” an official said.

In 2007, around 70 yachts were imported through the Mumbai port alone, more than half of which are suspected to have evaded duty. “Similarly, a number of these yachts, also known as floating palaces, have been imported through other ports too, especially Cochin and Vishakapatnam,” the official said. - PTI

Prev: Bangladesh plans to raise power tariff at retail level
Next: Zardari says India not a 'threat' to Pakistan

Business Line | NUS Index |