NRI's who are coming to India for their permanent settlement can bring in one car with engine size not exceeding 4 cylinders and Engine Capacity not exceeding 1600CC. If he wishes to bring in a car which either has more than a 4 cylinder engine or a car whose CC is more than 1600, then the car must have been used by the NRI for more than one year prior to his return. This facility is available only to NRI's who have stayed outside India for a period of at least 2 consecutive years. If during this period, NRI has visited India as a tourist, this will not be seen as a break provided he hasn?t stayed in India for a period of more than 30 days.

The car should be brought into India within 6 months from the date of NRI's return to India for permanent settlement.On import of the car, the car should be registered in his own name. As soon as the NRI brings the car in, he is free to sell the car in open market without any restriction. An NRI can also bring in a 2 wheeler instead of a car, subject to certain conditions. The Director General of Foreign Trade may permit import of other types of automobiles on a merit basis.Customs duty rate with effect from 13-06-1998 are as below: