Section 110 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 110 is the seizure section of the Act. Its first part lets the proper officer seize goods he has reason to believe are liable to confiscation, deals with custody where goods cannot be physically taken, provides for early disposal of perishable or hazardous goods through an inventory certified by a magistrate, and sets a six-month deadline for the notice that must follow seizure. This article covers sub-sections (1), (1A) to (1D) and (2) as printed in the text on the CBIC portal updated to 30 March 2022. Sub-sections (3) to (5) are in the sibling article linked below.
If the proper officer has reason to believe that goods are liable to confiscation, he may seize them (sub-section (1)). Where physical possession is not practicable, he may leave the goods in an owner's custody on an undertaking not to deal with them, or serve an order that the goods not be removed or dealt with. If no notice under clause (a) of section 124 is given within six months of the seizure, the goods shall be returned (sub-section (2)). The Principal Commissioner or Commissioner may extend this by a further period not exceeding six months, for reasons recorded in writing, and must inform the person before the period expires.
The text consulted is the CBIC copy last updated on 30 March 2022 (the Act as amended up to the Finance Act, 2022). Later Finance Acts may have changed this section, so check it before acting.
Where section 110 fits
Section 110 comes in Chapter XIII after the powers of search, arrest, summons and controlled delivery. The powers to search are in sections 100 to 102 and sections 105 to 106A. The rest of section 110 and section 110A are explained in sections 110 (3) to (5) and 110A. Confiscation itself is explained in Section 111.
If goods have been seized and you want advice on the six-month period and your options, our legal dispute resolution team can help.
Sub-section (1): seizure of goods
The proper officer, if he has reason to believe that any goods are liable to confiscation under the Act, may seize such goods.
First proviso: custody where physical possession is not practicable. The proviso was substituted with effect from 1-8-2019 by section 74 of the Finance (No.2) Act, 2019 (23 of 2019), as the footnote prints. Where it is not practicable to remove, transport, store or take physical possession of the seized goods for any reason, the proper officer may give custody of the seized goods to:
- the owner of the goods, or
- the beneficial owner, or
- any person holding himself out to be the importer, or
- any other person from whose custody the goods have been seized,
on execution of an undertaking by that person that he shall not remove, part with, or otherwise deal with the goods except with the previous permission of the officer.
Second proviso: where seizure is not practicable. Where it is not practicable to seize any such goods, the proper officer may serve an order on the owner, the beneficial owner, any person holding himself out to be the importer, or any other person from whose custody the goods have been found, directing that such person shall not remove, part with, or otherwise deal with the goods except with the officer's previous permission.
| Situation | Tool in the text |
|---|---|
| Goods can be taken | Seizure under sub-section (1) |
| Goods cannot practicably be removed, stored or physically held | Custody to a named person on an undertaking not to deal with the goods |
| Goods cannot practicably be seized | A written order directing the person not to deal with the goods |
Example. Bright Steel Pvt Ltd's imported coils are too heavy to move from the importer's yard. The proper officer, having reason to believe the goods are liable to confiscation, may leave the coils in the importer's custody on an undertaking not to remove or deal with them without his previous permission.
Sub-section (1A): goods that may be disposed of early
Sub-section (1A) was inserted by the Customs (Amendment) Act, 1985 (80 of 1985) with effect from 27.12.1985, as the footnote prints. The Central Government may, having regard to:
- the perishable or hazardous nature of any goods,
- depreciation in value with the passage of time,
- constraints of storage space, or
- any other relevant considerations,
by notification in the Official Gazette, specify the goods or class of goods which shall, as soon as may be after seizure under sub-section (1), be disposed of by the proper officer in the manner the Central Government may from time to time determine, after following the procedure that follows. This article names no notified goods.
Sub-sections (1B) and (1C): inventory before a magistrate
Where goods specified under sub-section (1A) have been seized, the proper officer shall prepare an inventory containing details relating to description, quality, quantity, mark, numbers, country of origin and other particulars he considers relevant to the identity of the goods in any proceedings, and shall make an application to a Magistrate for the purpose of:
| Clause | Purpose |
|---|---|
| (a) | Certifying the correctness of the inventory |
| (b) | Taking photographs of the goods in the presence of the Magistrate, and certifying them as true |
| (c) | Drawing representative samples in the presence of the Magistrate, and certifying the correctness of any list of samples |
Under sub-section (1C), the Magistrate shall, as soon as may be, allow the application. The word is "shall", so the Magistrate has no discretion to refuse.
Sub-section (1D): gold
Sub-section (1D) was inserted with effect from 28-03-2021 by section 94 of the Finance Act, 2021 (13 of 2021), as the footnote prints. Where the goods seized under sub-section (1) are gold in any form as notified under sub-section (1A), the proper officer shall, instead of applying to the Magistrate under sub-section (1B), make the application to the Commissioner (Appeals) having jurisdiction, who shall as soon as may be allow it. The proper officer then disposes of the goods in such manner as the Central Government may determine.
Sub-section (2): the six-month rule
Where goods are seized under sub-section (1) and no notice in respect of them is given under clause (a) of section 124 within six months of the seizure, the goods shall be returned to the person from whose possession they were seized.
Three features follow:
- The clock starts at seizure.
- What stops it is a notice under clause (a) of section 124, given within six months.
- If no such notice is given in time, return is mandatory ("shall be returned").
First proviso: extension. The proviso was substituted with effect from 29-3-2018 by section 92 of the Finance Act, 2018 (13 of 2018), as the footnote prints. The Principal Commissioner of Customs or Commissioner of Customs may, for reasons to be recorded in writing, extend the period to a further period not exceeding six months, and inform the person from whom the goods were seized before the expiry of the period so specified.
Second proviso: provisional release. Where any order for provisional release of the seized goods has been passed under section 110A, the specified period of six months shall not apply.
| Step | Period or requirement |
|---|---|
| Notice under clause (a) of section 124 | Within six months of seizure |
| If no notice | Goods shall be returned to the person from whose possession they were seized |
| Extension | A further period not exceeding six months; reasons recorded in writing; person informed before expiry |
| If provisional release was ordered under section 110A | The six-month period does not apply |
Example. Customs seizes a consignment of garments on 10 January. By 10 July no notice under clause (a) of section 124 has been given, and no extension has been ordered. Under sub-section (2) the garments shall be returned to the person from whose possession they were seized. If, before 10 July, the Principal Commissioner had extended the period for reasons recorded in writing and informed that person, the period could run for a further period not exceeding six months.
What this section does not say
- It does not define "reason to believe".
- It does not say what the notice under section 124 must contain; that section is for another article.
- It does not say when or how the Principal Commissioner's extension is communicated beyond "before the expiry of the period so specified".
- It does not fix a period for disposal under sub-section (1A) beyond "as soon as may be".
Practical points
- Diarise the six months from the date of seizure. This is the key deadline in sub-section (2).
- Look for an extension. An extension needs reasons recorded in writing and information to you before the first six months end.
- Check for provisional release. Where release has been ordered under section 110A, the six-month period does not apply.
- Understand the undertaking. Custody on an undertaking means you may not remove or deal with the goods without previous permission.
- For perishable goods, watch for notifications. Sub-section (1A) leads to early disposal, with an inventory certified by a Magistrate.
Need help with a seizure?
When goods are seized, the six-month period and the options for custody or release matter from day one. Our team can help you read the text and plan your response. See our legal dispute resolution page.
Key takeaways
- The proper officer may seize goods he has reason to believe are liable to confiscation.
- If seizure or physical possession is not practicable, custody on an undertaking or a no-dealing order may be used.
- Goods specified by notification as perishable, hazardous or otherwise suitable may be disposed of early, after an inventory certified by a Magistrate (or, for gold, an application to the Commissioner (Appeals)).
- If no notice under clause (a) of section 124 is given within six months of seizure, the goods shall be returned.
- The period can be extended by a further period not exceeding six months by the Principal Commissioner or Commissioner, for reasons recorded in writing.
- The six-month period does not apply where provisional release has been ordered under section 110A.
- Later Finance Acts may have changed this section; check before acting.
Read next
- Sections 110 and 110A: seized documents, bank account attachment and provisional release
- Sections 109 and 109A: goods imported by land and controlled delivery
- Confiscation of goods under Customs: Section 111
- Border measures: customs seizure of counterfeit goods
Disclaimer: Based on the Customs Act, 1962 as published on the CBIC Tax Information Portal, updated to 30 March 2022 (amended up to the Finance Act, 2022), as consulted on 2 October 2026. Finance Acts of 2023 and later, and the current rules, regulations and notifications, should be checked. This article is general information, not legal advice; check the official text before acting.