Customs duty has been a big problem for a long time for those doing import-export business. Different slabs, confusing classifications and endless disputes have made the system a puzzle. But now there are full indications of this picture changing in the Union Budget 2026. Finance Minister Nirmala Sitharaman will present the budget on 1 February 2026 and there may be a big announcement to simplify the customs duty structure. Currently, there are more than 8 slabs of customs duty in India, which also include additional charges like IGST and cess. The government plans to reduce these slabs to only 5 or 6, so that compliance becomes easier and confusion is reduced. Its biggest benefit will be reduction in disputes and court cases. More than 75,000 customs cases were pending till December 2024, in which about ₹24,000 crore is stuck. The duty structure between SEZ and Domestic Tariff Area may also be rationalized in Budget 2026. There will also be focus on reforms like removing unnecessary exemptions, fixing inverted duty structure, paperless customs process and amnesty scheme. If these changes are implemented, sectors like electronics, EVs, pharma, textiles, gems & jewellery, renewable energy and MSMEs will get direct benefits. Overall, the government wants to make customs simple, transparent and business-friendly.
Customs duty will be easy, will the hassle of import-export end in Budget 2026? , Money Live , Customs duty will be simplified; will the import-export hassle end in Budget 2026?
