Philately: Relevant Indian Laws

Value Added Tax

India introduced Value Added Tax (VAT) with effect from April 1, 2005 to replace Sales Tax.

It is primarily the liability of the seller, who generally recovers it from the purchaser.

The laws do not mention philatelic items specifically and are applicable to all sales except those that are specifically exempted by a notification.

The rate of VAT for Stamps and philatelic products is 12.5 per cent.

The sales by way of export are generally exempt from VAT and Central Sales Tax.

At present all states have not introduced VAT and are continuing with Sales Tax.

VAT at present replaces only the Local Sales Tax and it eventually, in 3 years (2008?), will also replace the Central Sales Tax as well.

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SALES TAX

The Sales Tax in India is levied on the sale of goods, Local Sales Tax on sales within a state and Central Sales Tax on inter-state sales.

Sales tax is the most important source of revenue to the States and is imposed on virtually all sales within a State. Each State has its own sales tax act under which tax is imposed at different rates.

The Central Sales Tax at 4 per cent is generally levied on all inter-State sales.

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IMPORT & EXPORT

Commodity Classification for ImportsThe new 8-digit commodity classification for imports was adopted from April 1, 2002. 

4907 00 10     Indian Unused postage, revenue or similar stamps including stamp-impressed paper of current or new issue 

9704 00 10     Postage or revenue stamps, used or unused
9704 00 20     Stamp-post marks, first-day covers, used or unused
9704 00 90     Postal stationery (stamped paper), and the like, used or unused
9704 00 90     Philatelic accessories

ImportThe import is free for stamps other than those covered under heading '4907 00 10'. 

The import of items covered under '4907 00 10' is restricted. Specific permit or license from the Director General of Foreign Trade is required for import of items under this heading.

Custom TariffThere is also no Custom Duty on of stamps other than those covered under heading '4907 00 10' where it is charged at the rate of 25% of the face value.

ExportThere are no restriction to export of stamps that are less then 100 years old.

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THE ANTIQUITIES & ART TREASURERS ACT, 1972 (52 of 1972)

The definition of the Antiquity under this Act includes any coin, sculpture, painting, epigraph or other work of art or craftsmanship; any article, object or thing detached from a building or cave; any article, object or thing illustrative of science, art, crafts, literature, religion, customs, morals or politics in bygone ages; any article, object or thing of historical interest; which has been in existence for not less then one hundred years.  And any manuscript, record or other document which is of scientific, historical, literary or aesthetic value and which has been in existence for not less then seventy-five years.

The registration of antiquities specified below is compulsory
Sculptures in stone, terracotta, metals, ivory, and bone, Paintings (including miniatures and tanks) in all media (paper, wood, cloth, silk, and the like), and Manuscripts containing Paintings, Illustrations or Illuminations (adornment with colored lettering)  

The Director General of the Archaeological Survey of India is the authority competent to issue permit under Section 3 of the Antiquities & Art Treasurers Act for the export of any antiquity and art Treasure.

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MAPS

Publication of maps of India in any form, even in text books of geography, needs the permission of the Surveyor General of India.

Publication of maps depicting inaccurate external boundaries and coast-line of India is tantamount to questioning the territorial integrity of India, and is a cognizable offence under Section 2 of the Criminal Law Amendment Act, 1961.

The sheets of Maps on the scale of 1:250,000 published by the Survey of India are ?Restricted? and the Government of India Notification No. 227 Customs F.No.405/3/80-Cus.III, dated 29.13.1980 prohibits the export of these maps.

All topographical and geographical maps of the Survey of India (and maps derived from them) on the scale of one-million or larger of areas roughly 80 km wide inland along the coast and along the international borders, the whole of the state of Jammu & Kashmir and all the islands in the Bay of Bengal and the Arabian Sea are put in "Restricted" category. This means that they are not available to the general public but only to certain categories of people and institutions, particularly government departments as the procedure to obtain them is long-drawn; one has to go through the Ministry of Defence, the Ministry of External Affairs and/or the Ministry of Home. The loss or even disclosure of these maps to unauthorized persons attract penal action under Section 5 of the Official Secret Act, 1923.

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Indian Copyright Act 1957

The stamps are not mentioned by name however Section 28 is applicable in this case. The provisions therein state that any Government  work goes out of copyright 60 years after publication into public domain. Images of Indian stamps older than 60 years, the years 1947, 1948 & early 1949 thus are out of copyright and already in public domain. The stamps still under copyright can only be shown as per permissions/conditions laid down by India Post on their website.

Section 28. Term of copyright in Government work.- In the case of Government work, where Government is the first owner of the copyright therein, copyright shall subsist until Sixty years from the beginning of the calendar year next following the year in which the work is first published.

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