Customs Act, 2064  2007

Section 7.  Duty not to be charged:

(1)  If any importer makes an application for not releasing any goods imported by that importer and for so leaving such goods with the Customs Office that they belong to the Government of Nepal, no duty shall be charged on such goods.  

(2)  The Government of Nepal may itself use the goods so left pursuant to Sub-section (1) or the Customs Officer may auction them pursuant to this Act. Provided that where such goods are in such a condition that they can neither be brought into use nor be auctioned, the Customs Officer may remove such goods from the Customs Office or destroy them as prescribed; and the expenses incurred in such removal or destroy shall be recovered from the concerned importer himself / herself.

(3)  If the importer makes application within prescribed time period by fulfilling prescribed process with prescribed evidence if any goods is found low quantity at the time of dispatching any goods, valueless or low in quantity or weight by business point of view due to breaking by calamity or having low quantity due to the act of theft, the Customs Officer may give prescribed duty rebate or refund if it is already recovered of that goods which is lost or have low quantity or is found valueless by business point of view.

(4) The quantity of goods damaged pursuant to Sub-section (3), is found that the purpose for which the goods have been imported do not achieve the purpose but can be used as waste or scrap or other any alternative utilization, the Custom Officer may recover the duty by determining the value of such goods accordingly.