Nris In UAE: What Are The Duty Exemptions For Personal Belongings While Returning To India?

2026-02-24 02:17:48

(MENAFN- Khaleej Times)

Customs duty rules have been relaxed with effect from February 2; simplified processes and procedures have been put in place by the government in the latest budget

PUBLISHED: Tue 24 Feb 2026, 8:13 PM UPDATED: Tue 24 Feb 2026, 8:51 PM

By:
HP Ranina

Add as a preferred
source on Google

Question: My mother is visiting us from India and I will be returning with her on vacation, having been in the Gulf for 3 years. I want to know the new regulations for payment of customs duty both for myself and my mother when we enter India. It is also possible that I may go back to India for about three years and therefore I may take with me my personal belongings. What would be the duty exemption in that case?

Answer: The customs duty rules have been relaxed with effect from February 2. Simplified processes and procedures have been put in place. If you visit India as a tourist, you will have a duty free allowance of Rs75,000. On the other hand, if you go back to India on transfer of residence, you will be eligible for duty exemption upto Rs750,000 since you have been in the Gulf for more than two years.

Recommended For You White House says Trump's first option on Iran is diplomacy

For those who are out of India upto 12 months, the duty free exemption on transfer of residence is Rs150,000 and for those who were out of India for between one and two years, the duty free exemption is Rs300,000. As far as your mother is concerned, being a resident of India, she will be eligible for duty free exemption of Rs.75,000.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

Special provision is made for returning residents and tourists of Indian origin in respect of jewellery. Ladies are allowed exemption upto 40 grams of jewellery and others upto 20 grams of jewellery. In other words, exemption in now based on the weight of the jewellery and not its value. All passengers who are 18 years and above are allowed to bring one new laptop/notepad duty free in their baggage, in addition to their duty free allowance. Prohibited items under these rules are television sets, gold or silver in any form other than ornaments, alcohol in excess of two litres, cigarettes exceeding hundred sticks, firearms and cartridges for the same.

Question: My family in India is in the business of manufacturing auto components for well-known car manufacturers. Will the announcement by the US Government to reduce tariffs be a game changer for this industry? Will it also help Indian exporters at large?

Answer: Despite the recent changes announced by the US Administration after its Supreme Court's verdict the auto component manufacturing sector will get a significant boost by the reduction in tariffs than what was imposed earlier. This will strengthen the auto components sector and lead to enhanced export competitiveness, deepen technology collaboration, and reinforce India's role as a trusted partner in global automotive supply chains. According to the Indian automobile components manufacturers' association, this will reinforce India's position as a world class manufacturing hub. The reduction in US tariffs will improve cost competitiveness of India-made auto components. The competitiveness of essential components like shock absorbers and exhaust systems will enable Indian manufacturers to scale volumes and strengthen integration within the networks of American OEMs.

Exporters of other products will also benefit immensely. Tea growers in India are celebrating the duty-free access on account of the tariff advantage compared to competitors from Kenya, China and Sri Lanka which are facing US tariffs ranging from upto 25 per cent. Exporters of textile produce and leather footwear, which are labour intensive sectors, will also get a significant advantage as a result of reduction of tariffs from 50 per cent to 18 per cent. Competing countries in textiles have higher tariffs, like China (35 per cent), Vietnam and Bangladesh (20 per cent) and Indonesia (19 per cent). Producers of gems and jewellery, handicrafts and carpets are of the view that the recent decision of the US administration will be a game-changer which will propel exports to unprecedented levels. Most Indian exporters are expecting to treble exports to the US by the end of 2028.

Question: Online investment-related scams have increased which has made gullible investors, especially senior citizens, vulnerable. Are efforts being made to deal with this challenge and protect the interest of investors?

Answer: To fight the growing instances of online investment-related scams, the Securities & Exchange Board of India has reached out to major social media platforms and internet search engines directing them to put in place robust mechanisms to prevent the misuse of their platforms. SEBI has doubled down on its efforts to make it safer for investors to carry out these transactions. It has asked platforms to introduce a distinct label for authentic, regulated trading applications available on app stores to help investors differentiate them from fraudulent apps.

This initiative of the Indian market regulator aligns with the global announcement made by the International Organisation of Securities Commissions. This organisation has highlighted the critical role of platform providers in combating online frauds and urged them to enhance efforts to reduce the risk to investors. Following this guideline, SEBI has directed social media and search engine platforms to verify the credentials of those who advertise in the securities market domain. SEBI has requested all investors to use the UPI system only after the UPI handle is verified and an app has been launched by it for such verifications. Investors have also been urged to visit the SEBI website and verify registration of market intermediaries before investing.

The writer is a practising lawyer, specialising in corporate and fiscal laws of India.