The Central Board of Indirect Taxes and Customs (CBIC), through Circular No. 27/2026-Customs dated 15 June 2026, has clarified that Merchant Overtime (MOT) charges will not be levied for customs services provided in relation to the clearance of international cruise passengers and their accompanied baggage at customs locations notified for 24×7 operations. The decision follows representations from the Ministry of Ports, Shipping & Waterways, the Cruise Bharat Mission, and other stakeholders seeking relief from such charges to promote cruise tourism and streamline passenger processing. The Board examined the issue and adopted this exemption as a trade facilitation measure aimed at ensuring uniform implementation across all eligible cruise ports. The Circular directs all Principal Chief Commissioners and Chief Commissioners of Customs to strictly comply with these instructions and maintain consistency in implementation. Any operational difficulties are to be immediately reported to the Board.
Government of India
Ministry of Finance
(Department of Revenue)
(Central Board of Indirect Taxes and Customs)
Circular No. 27/2026-Customs | Dated: 15th June, 2026
To
All Principal Chief Commissioners / Chief Commissioners (Customs / Customs (Preventive) / Customs & Central Tax)
All Principal Commissioners / Commissioners of Customs / Customs (Preventive) / Customs & Central Tax)
All Pr. Director General/Director Generals under CBIC.
Subject: Exemption of Merchant Overtime Charges (MOT) on International Cruise passengers and baggage clearance at cruise ports-reg
Madam/Sir,
Attention is invited to the Customs (Fees for Rendering Services by Customs Officers) Regulations, 1998 [Notification No. 69/98-Cus.(N.T.) dated 04.09.1998], as amended by Notification No. 46/2016-CUSTOMS(N.T.), Dated: April 01, 2016 and the various Board Circulars issued for operationalization of the 24×7 Customs clearance facility at notified customs ports and airports.
2. Representations have been received from the Ministry of Ports, Shipping & Waterways (MoPSW), Cruise Bharat Mission and other stakeholders regarding levy of Merchant Overtime (MOT) charges for services rendered by Customs Officers in relation to the clearance of cruise passengers and their accompanied baggage at customs ports notified for 24×7 operations.
3. The matter has been examined by the Board. In order to ensure uniformity in implementation and to facilitate cruise operations, it has been decided as a trade facilitative measure that no Merchant Overtime (MOT) charges shall be levied for services rendered by Customs Officers in relation to the clearance of cruise passengers and their accompanied baggage at Customs locations notified for 24×7 operations.
4. All Principal Chief Commissioners/Chief Commissioners of Customs are directed to ensure strict compliance with this Circular and uniformity in its implementation.
5. Any difficulty faced in implementation may be brought to the notice of the Board immediately.
Hindi Versions follows.
Yours faithful
(Munesh Kumar Meena)
OSD (Cus-IV)
