RoDTEP(remission of duties or taxes on export products)Schemebenefiteffective from 01/01/2021
Significant points to be noted by every Exporters regarding implementation of RoDTEP:
- Government of India has decided to extend the benefit of RoDTEP (Scheme for Remission of Duties and Taxes on Exported products)to all exported goods,with effect from 1stJanuary 2021.
- Refund amount shall be directly credited to the Exporter’s ledger account with customs and the same can be used to pay the Basic Customs duty on imported goods. Such credit can also be transferred to other importers.
- Government has notified the rebate percentage on 17thAugust 2021 Vide Appendix 4R of Notification No 19/2015-20.(Click herefor RoDTEP rebate rates)
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An exporter desirous of availing the benefit of the Scheme shall be required to declare his intention for each export item in the shipping bill or bill of export. It may be noted that if an exporter fails to claim the credit in shipping bill, No RoDTEP would accrue to the exporter.
Note: Though the rates and codes arenotified by the department on 17thAug 2021, it is mandatory to indicate their intent of claim at the time of shipping bill filing itself. No changes in the claim will be allowed after the filing of the EGM (Export General Manifest). -
Based on the exporters intent to claim in Shipping bill, system processes the eligible RoDTEP.
Note: The rebate would not be dependent on the realization of export proceeds at the time of issue of rebate, but exportproceedsshould be realized within the time allowed under FEMA, 1999, failing which such rebate shall be deemed never to have been allowed.
Click here for official press release.
Click here for RoDTEP Guidelines notification issued on 17thAug 2021
For any further clarification
CA Saradha H
Co-founder & Partner at GGSH & Co LLP
saradha@ggsh.in