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PROMOTIONAL MEASURES

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..... cial assistance for medium term export promotion efforts with sharp focus on a country /product, and is administered by DoC. Financial assistance is available for Export Promotion Councils (EPCs), Industry and Trade Associations (ITAs), Agencies of State Governments, Indian Commercial Missions (ICMs) abroad and other eligible entities as may be notified. A whole range of activities can be funded under MAI scheme. These include, amongst others, (i) Market studies, (ii) Setting up of showroom / warehouse, (iii) Sales promotion campaigns, (iv) International departmental stores, (v) Publicity campaigns, (vi) Participation in international trade fairs, (vii) Brand promotion, (viii) Registration charges for pharmaceuticals, and term export promotion efforts with sharp focus on a country / product, (ix) Testing charges for engineering products. Each of these export promotion activities can receive financial assistance from Government ranging from 25% to 100% of total cost depending upon activity and implementing agency. Full text of guidelines is available at http://commerce.nic.in. Marketing Development Assistance (MDA) 3.2.1 MDA Scheme is intended to provide financial assi .....

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..... will assist in modernisation and upgradation of test houses and laboratories to bring them at par with international standards. Quality Complaints / Disputes 3.4.3 Regional Sub-Committee on Quality Complaints (RSCQC) set up at Regional Offices of this Directorate shall investigate quality complaints received from foreign buyers. Guidelines for settlement of quality complaints, in particular, and such other complaints, in general, are given in Appendix-16 of HBP v1. Trade Disputes affecting Trade Relations 3.4.4 If it comes to DGFT notice or he has reason to believe that anexport or import has been made in a manner that (i) is gravely prejudicial to trade relations of India with any other country; and / or (ii) is gravely prejudicial to interest of other persons engaged in exports or imports; and / or (iii) has brought disrepute to the country; DGFT may take action against such exporter or importer in accordance with FT (D&R) Act, Rules and Orders made there-under and FTP. 3.5 EXPORT AND TRADING HOUSES Export and Trading Houses 3.5.1 Merchant as well as Manufacturer Exporters, Service Providers, Export Oriented Units (EOUs) and Units located in Special Economic Zones .....

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..... hannels; (iv) 100% retention of foreign exchange in EEFC account; (v) Enhancement in normal repatriation period from 180 days to 360 days; (vi) Deleted (vii) Exemption from furnishing of Bank Guarantee in Schemes under FTP; and (viii) SEHs and above shall be permitted to establish Export Warehouses, as per DoR guidelines. (ix) For status holders, a decision on conferring of ACP Status shall be communicated by Customs within 30 days from receipt of application with Customs. (x) As an option, for Premier Trading House (PTH), the average level of exports under EPCG Scheme shall be the arithmetic mean of export performance in last 5 years, instead of 3 years. 3.5.3 Deleted 3.6 SERVICES EXPORTS Services Exports 3.6.1 Services include all 161 tradable services covered under General Agreement on Trade in Services (GATS) where payment for such services is received in free foreign exchange. A list of services is given in Appendix-10 of HBP v1. Registration cum Membership Certificate (RCMC) for Service Providers 3.6.2 Software exporters shall register themselves with Electronics and Software EPC. Exporters of 14 specific services listed in Sl. No. 34 of Appendix-2 of HBP v1 ar .....

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..... redit scrip may be used for import of any capital goods including spares, office equipment and professional equipment, office furniture and consumables; that are otherwise freely importable 15[and/or restricted] under ITC (HS). Imports shall relate to any service sector business of applicant. Utilization of Duty Credit scrip earned shall not be permitted for payment of duty in case of import of vehicles, even if such vehicles are freely importable 15[and/or restricted] under ITC (HS). In case of hotels; clubs having residential facility of minimum 30 rooms; golf resorts and stand-alone restaurants having catering facilities, Duty Credit scrip may also be used for import of consumables including food items and alcoholic beverages. Non Transferability 3.6.4.6 Entitlement / goods (imported / procured) shall be non-transferable (except within Group Company and managed hotels) and be subject to Actual User condition. 3.6.4.7 to 3.6.4.9 Deleted Procurement from Domestic Sources 3.6.4.10 Utilization of Duty Credit Scrip shall be permitted for payment of excise duty in terms of DoR notification issued in this behalf, for procurement from domestic sources of items permitted under Par .....

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..... ing 2008-09, all Status Holders (having status recognition w.e.f 1.4.2008) exporting products covered under ITC HS Chapters 1 to 24, shall be incentivized with duty credit scrip equal to 10% of FOB value of agricultural exports (including benefits entitled under paragraph 3.8.2) provided that the total benefits for all status holders put together does not exceed Rs 100 Cr (i.e. Rs 50 Cr for each half year) and the conditions specified in Para 3.19.10 of HBP v1 (RE2008) are satisfied. Zonal Office CLA, New Delhi shall be the licensing office for grant of the benefit to all status holders. The following capital goods / equipments shall be permitted for import :- (i) Cold storage units including Controlled Atmosphere (CA) and Modified Atmosphere (MA) Stores, pre-cooling Units and mother storage for onions etc.; (ii) Pack Houses (including facilities for handling, grading, sorting and packaging etc.); (iii) Reefer Van / Containers; and (iv) Other Capital Goods / Equipments as may be notified in Appendix 37F. Imported capital goods/equipment shall be utilized for storage, packing etc. (as in (ii) above) and transportation of agricultural products (including agro-processed perisha .....

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..... of HBP v1) to all countries (including SEZ units) shall be entitled for Duty Credit scrip equivalent to 1.25% of FOB value of exports for each licensing year commencing from 1st April, 2006. However, for exports made w.e.f. 1.4.2008, Toys and Sports Goods as detailed in Table 2 of Appendix 37D shall be entitled to duty credit scrip equivalent to 6.25% of FOB value of exports. Further, for exports made w.e.f. 1.4.2008, High Value Added Manufactured goods, as notified in Table 9 of Appendix 37D, shall be entitled to duty credit scrip eqivelent to 2.5% of FOB value of exports. However, New additional products notified / clarified in Appendix 37D of HBP v1 shall be entitled for Duty Credit scrip on exports w.e.f 1.4.2008. 16[However, special product(s)/sector(s), having high labour intensity, covered under Table 13 of Appendix 37D, shall be granted duty credit scrip equivalent to 5% of FOB value of exports., Admissible date of export for special product(s) / sector (s) shall also be notified in Table 13 of Appendix 37D of HBP v1.] 3.10.2.1 Exports made by EOUs / EHTPs / BTPs who do not avail direct tax benefits / exemption shall be eligible, provided the same is not covered under P .....

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..... ther (a) or (b) above. However, applicants with 'nil' exports in base year shall not be eligible. 3.11.2.1 Exports made by EOUs / EHTPs / BTPs who do not avail direct tax benefits / exemption shall be eligible, provided the same is not covered under paragraph 3.11.4. Ceiling 3.11.3 Duty Credit Scrip shall not exceed Rs 15 Cr for an exporter for all shipments done in a licensing year put together, for which benefit is being claimed under this scheme. Ineligible Exports / Categories 3.11.4 Following shall not be counted for entitlement (i) Export of imported goods covered under Para 2.35 of FTP; (ii) Exports originating in third country but transshipped through India; (iii) Exports of SEZ units or SEZ products exported through DTA units; and (iv) Deemed Exports. 3.12 COMMON PROVISIONS FOR SCHEMES UNDER THIS CHAPTER, EXCEPT WHERE SPECIFICALLY PROVIDED FOR. CENVAT / Drawback 3.12.1 Additional customs duty/excise duty paid in cash or through debit under Duty Credit scrip shall be adjusted as CENVAT Credit or Duty Drawback as per DoR rules, except under SFIS. Special Provisions 3.12.2 Government reserves right in public interest, to specify export products or services o .....

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..... 3501), shall not be entitled to Focus Market Scheme benefits." 2. Has been added vide Public Notice No. 31/(RE-2008)/2004-09 Dated 19/08/2008 3. Has been substituted vide NOTIFICATION NO 36 (RE-2008)/2004-2009 dated 2/9/2008 before it was read as, "DOC would provide financial assistance to deserving exporters on recommendation of EPCs for meeting cost of legal expenses for trade related matters." 4. Has been substituted vide Notification No. 44 (RE-2008)/2004-2009 dated 23/8/2008 before it was read as, "3.6.4.2 All Service Providers, of services listed in Appendix-10 of HBP v1, who have a total free foreign exchange earning of at least Rs. 10 Lakhs in preceding financial year shall qualify for Duty Credit scrip. For Individual Service Providers, minimum would be Rs. 5 Lakhs." 5. Has been substituted vide Notification No. 44 (RE-2008)/2004-2009 dated 23/8/2008 before it was read as, "3.6.4.3 All Service Providers (except Hotels, Restaurants and other Service Providers in Tourism Sector) shall be entitled Duty Credit scrip equivalent to 10% of free foreign exchange earned during preceding financial year. " 6. Has been substituted vide Notification No. 44 (RE-2008)/2004-2009 d .....

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