The Central Board of Indirect Taxes and Customs (CBIC) on June 15, 2026, issued circular on Exemption of Merchant Overtime Charges (MOT) on International Cruise passengers and baggage clearance at cruise ports.
The circular refers to the existing Customs (Fees for Rendering Services by Customs Officers) Regulations, 1998 and subsequent amendments, along with earlier instructions enabling 24x7 customs clearance at notified ports and airports. It addresses concerns raised by stakeholders, including the Ministry of Ports, Shipping & Waterways and the Cruise Bharat Mission, regarding the levy of Merchant Overtime (MOT) charges on cruise operations.
Upon examination, the Board has decided to remove such charges as a trade facilitation measure. Accordingly, no MOT charges will be levied for services provided by Customs Officers for the clearance of cruise passengers and their accompanied baggage at customs locations operating on a 24x7 basis.
This decision aims to promote ease of doing business, support the cruise tourism sector, and ensure uniform implementation across all notified customs ports. All Principal Chief Commissioners and Chief Commissioners of Customs have been directed to strictly comply with and uniformly implement this circular.
[Circular No. 27/2026-Customs]
