The Central Board of Indirect Taxes and Customs (CBIC), under the Department of Revenue, Ministry of Finance, has issued Instruction No. 08/2026-Customs dated 12 June 2026, directing field formations to implement the provisions of the Ministry of Electronics and Information Technology (MeitY) Notification S.O. 1246(E) dated 10 March 2026 relating to exemption for Highly Specialized Equipment (HSE) from the scope of compulsory registration requirements.
The instruction draws attention to the amendments made by MeitY to the “Electronics and Information Technology Goods (Requirements for Compulsory Registration) Order, 2021”, originally notified vide S.O. 1248(E) dated 18 March 2021. The amendment revises the provisions contained in Paragraph 8 of the said Order concerning exemptions available to Highly Specialized Equipment.
As per the amended provisions introduced through Notification S.O. 1246(E) dated 10 March 2026, Highly Specialized Equipment (HSE) shall be exempted from the application of the Compulsory Registration Order, subject to the grant of a specific exemption by MeitY under Paragraph 2 of Notification S.O. 1248(E), as amended by S.O. 1929(E) dated 26 April 2023.
The exemption shall be available only in cases where such equipment is manufactured or imported in quantities of less than 100 units per model per year. Additionally, the equipment must satisfy any one of the following prescribed criteria:
- Equipment powered by a three-phase power supply; or
- Equipment powered by a single-phase power supply with a current rating exceeding 16 amperes; or
- Equipment having dimensions exceeding 1.5 metres × 0.8 metres; or
- Equipment having a weight exceeding 80 kilograms.
The Government has clarified that these amendments are intended to facilitate the import and manufacture of highly specialized and low-volume equipment, while maintaining the integrity of the regulatory framework governing compulsory registration of electronic and information technology goods.
According to the notification, the revised exemption provisions shall come into force with effect from 15 June 2026. The CBIC has advised all Principal Chief Commissioners, Chief Commissioners, Principal Commissioners, Commissioners of Customs, and Directorates under the Board to ensure that officers under their jurisdiction are adequately sensitized regarding the amended provisions to facilitate uniform implementation across the country.
The Board has further stated that any operational difficulties encountered during the implementation of these instructions may be brought to its notice for appropriate consideration and guidance.
Background: The Electronics and Information Technology Goods (Requirements for Compulsory Registration) Order, 2021 mandates compliance requirements for specified electronic goods. The latest amendment aims to address the unique operational requirements of highly specialized equipment manufactured or imported in limited quantities by providing a targeted exemption mechanism.
The Instruction can be accessed at: https://taxinformation.cbic.gov.in/view-pdf/1000577/ENG/Instructions
