Highlights
- Scheme to boost our exports & competitiveness
- Sectors like Marine, Agriculture, Leather, Gems & Jewellery, Automobile, Plastics, Electrical / Electronics, Machinery get the benefits of Scheme.
- Rates of RoDTEP to cover 8555 tariff lines
Union Government on August 17, 2021, notified Remission of Duties and Taxes on Exported Products- (RoDTEP) Scheme Guidelines and Rates. This scheme for zero-rating of exports will boost the country's exports and competitiveness in the global markets.
The scheme will be implemented by Customs through a simplified IT system while the rebate will be issued in the form of a transferable duty credit/electronic scrip which will be maintained in an electronic ledger by the Central Board of Indirect Taxes & Customs (CBIC).
Scheme's objective is to refund, currently un-refunded
- Duties/ taxes/ levies, at the Central, State & local level, borne on the exported product, including prior stage cumulative indirect taxes on goods & services used in production of the exported product, and
- Such indirect Duties/ taxes/ levies in respect of distribution of exported products.
Under the scheme, various central and state duties, taxes, among other levies imposed on input products and others are refunded to exporters to boost exports.'RoDTEP support will be available to eligible exporters at a notified rate as a percentage of Freight On Board (FOB) value. Rebate on certain export products will also be subject to value cap per unit of the exported product.'
The CBIC will notify the necessary procedures and rules regarding the grant of the RoDTEP claim and implementation issues, including the period for application, manner of application, and other matters on an IT-enabled platform. The e-scrips would be used only to pay customs duty under the First Schedule to the Customs Tariff Act, 1975, i.e. the basic customs duty.
Employment Oriented Sectors like Marine, Agriculture, Leather, Gems & Jewellery, etc. are covered under the scheme along with other sectors including Automobile, Plastics, Electrical / Electronics, Machinery, etc. will also get support.
This scheme will enable 'zero-rating' of exports for building an 'Aatmanirbhar Bharat'.
Notification: Click Here
Disclaimer: Every effort has been made to avoid errors or omissions in this material. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of in the next edition. In no event the author shall be liable for any direct, indirect, special or incidental damage resulting from or arising out of or in connection with the use of this information.
CAclubindia
