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Indian ministry notifies procedure for goods exported under RoDTEP

27
Sep '21

Pic: Shutterstock

The Indian finance ministry has notified the procedure to issue duty credit for goods exported under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme. The rates for 8,555 products like agricultural products and leather were announced under RoDTEP last August. An amount of ₹12,454 crore has been set aside for refunds under the scheme for this fiscal.

The value of goods for calculation of duty credit to be allowed under the scheme will be the declared export freight on board (FOB) value or up to 1.5 times the market price of that item, whichever is less, a notification of the department of revenue said.

The duty credit will be issued in lieu of remission of any duty or tax or levy, chargeable on any material used in the manufacture or processing of goods meant for exports, and where such tax is not exempted, remitted or credited under any other scheme, it added.

"The Central Government hereby notifies the manner to issue duty credit for goods exported under the Scheme for Remission of Duties and Taxes on Exported Products...subject to such conditions and restrictions as specified," the notification said.

Under this, various central and state duties, taxes, and levies imposed on input products, among others, would be refunded to exporters.

It also said that duty credit under the scheme for exports made to Nepal, Bhutan and Myanmar would be allowed only upon realisation of sale proceeds against irrevocable letters of credit in freely convertible currency established by importers in these countries in favour of Indian exporters for the value of such goods.

The principal commissioner of customs or commissioner of customs may, after an enquiry, pass an order to cancel duty credit or e-scrip if an exporter contravenes any of the provisions of the law, it added.

"Where an amount of duty credit has, for any reason, been allowed in excess of what the exporter is entitled to, the exporter shall repay the amount so allowed in excess, himself or on-demand by the proper officer, along with interest...," it noted.

Fibre2Fashion News Desk (DS)

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