Source - http://www.thehindubusinessline.com/2009/02/24/stories/2009022451020500.htm
New Delhi, Feb. 23 Will A.R. Rahman be required to pay Customs duty on his Oscar statuettes? No one knows yet. The statuettes are not solid gold, but gold-plated. The Central Board of Excise and Customs (CBEC) thinks the two statuettes may be worth about $1,000. Rahman will be returning with two in his hand baggage. For passengers (above 10 years of age), who return after a stay abroad of more than three days, the Customs baggage rules allow duty-free clearance for articles up to Rs 25,000. This, however, does not cover gold or silver, in any form other than ornaments. Earlier in the day, at a Revenue Department function for laying the foundation stone for Rajaswa Bhawan, the Union Home Minister, Mr P. Chidambaram, suggested tax exemption on cash awards that may come with the Oscars bagged by Rahman. "If the Oscars carry a cash award, I would recommend to the Finance Minister that it should be exempt from taxation," Mr Chidambaram had said. There is a precedent for taxing such trophies. In 2002, Sachin Tendulkar, after he scored 29 centuries to equal Sir Donald Bradman's record, was gifted a Ferrari by its makers. The then finance minister said the government was waiving the Customs duty of Rs 1.13 crore on it. But the rules said that waivers were not allowed on gifts, only on prizes. In 2003, the Finance Bill of 2003 was amended and Sachin brought in the Ferrari without payment of the Customs duty. This led to a public interest litigation and Sachin offered to pay. Eventually, Ferrari paid the duty.
