What is sws in customs duty

Social Welfare Surcharge (SWS) is a tax introduced under the Finance Act, 2018, to fund government initiatives in education, health, and social security. It replaced the previously applicable Education Cess and Secondary & Higher Education Cess on imported goods. Key features include:

• Rate: It is typically levied at 10% of the aggregate of customs duties, such as Basic Customs Duty (BCD).
• Calculation: It is calculated on the duty amount, not the value of the goods.
• Exemption: If the aggregate customs duty is zero, the SWS is also nil.