Duty Drawback

Plz throw some light on " Duty Drawback". what do we mean by it and when it is used ?

 

Replies (5)

Dear Jeevesh,

                               Dutydraw Back means refund of duty which is paid on the input (Excise Duty, Sales Tax etc) in respect of the goods which are exported. please write me email for know more about this. my email id is sachinagarwalcallb @ gmail.com

Thanks for the brief descripttion..

Now here goes my particuler query..

Can a Merchant Exporter claim drawback for the inputs used by the manufacturer?

 

Yes. Every exporter can claim duty drawback. This is irrespective of the fact that as to who has borne the burden of duty. What is important is that the export goods has borne the burden of duty.

Is Refund in form of cash or set off.. coz according to act custom duty is never refunded unless amount paid in excess

duty drawback has various models and modes vis depb licence , cash drawback, its issued from ministry of foreign trade, not by costoms, and varies item to item, the details are laid down in exim policy. 

such benefits are replenishment of excise duty suffered on inputs used in exported goods where the cenvat credit has not been availed.

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