RoDTEP benefits subject to conditions notified by Government
NEW DELHI: The government on Friday said that the availability of benefits under the RoDTEP tax refund scheme for exporters will be subject to conditions and restrictions that would be notified over the next few days.
The government had, on Thursday, said that it has decided to extend the benefit of the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme to all goods, with effect from Friday. The finance ministry had also said that the RoDTEP benefit would be available from January 1 even if the rates and other details are prescribed later.
“The benefit of RoDTEP would be available subject to the conditions, restriction, exclusions, ineligibility and fulfilment of the procedural requirements as notified,” the ministry said in a statement. These will be related to the details of export goods (tariff lines) eligible for scheme; applicable RoDTEP rate, value caps (wherever applicable) on such eligible goods/tariff lines; excluded category of exports; other conditions and restrictions and the procedural details for grant of RoDTEP duty credit, and the utilisation of the grants.
The government had approvd the scheme in March for the reimbursement of taxes and duties to exporters, with a view to give a boost the country’s dwindling outbound shipments.The new scheme will refund exporters the embedded central, state and local duties and taxes that were so far not being rebated or refunded and were, therefore, placing India’s exports at a disadvantage.
In view of this problem, a three-member committee had been formed for the determination of ceiling rates under a scheme for reimbursement of taxes and duties to exporters. The country’s exports declined 17.76 per cent to $173.66 billion during April-November this financial year.
Benefits from January 1
The finance ministry also said that the RoDTEP benefit would be available from January 1 even if the rates and other details are prescribed later within the next few days or weeks