The Central Board of Indirect Taxes and Customs (CBIC) has issued the Advisory on Implementation of the Rebate of State and Central Taxes and Levies (RoSCTL) Scheme.
The RoSCTL related scheme codes were discontinued to be claimed in the shipping bill w.e.f. 01.01.2021 as per Board’s instructions since the RoDTEP scheme was implemented w.e.f. 01.01.2021. Thus, the claim of RoSCTL in the Shipping Bill was disallowed and instead RoDTEP was allowed to be claimed at item level. The RoDTEP claim was allowed in addition to Drawback. Now, as per aforesaid Notification, the RoSCTL scheme had been continued retrospectively w.e.f. 01.01.2021 till 31.03.2024 for chapters 61, 62 and 63 in exclusion of RoDTEP for these Chapters.
In view of the above enablement of RoSCTL scheme, for availing the benefits of RoSCTL scheme, the claim has to be made by the exporter in the EDI shipping bill by using specific scheme codes for drawback exports, at the item level.
There is no need for separate application or supporting documents except for making a specific choice of scheme codes, as mentioned above, in the shipping bill along with a declaration. In the absence of proper scheme codes, the RoSCTL benefit would not be available.
“Since the RoSCTL scheme was no more applicable w.e.f. 01.01.2021 and instead RoDTEP claims were captured at the item level, and hence there was no provision in System to avail RoSCTL. Further, the RoDTEP claim was enabled in shipping bill with notional rates. Therefore, now for retrospective cases, the RoSCTL amount would be calculated by system for the relevant tariff items (as per RoSCTL schedules) under Chapters 61, 62 and 63 for cases only where both RoDTEP and Drawback were claimed at item level. And the RoSCTL benefit would be calculated on value equal to declared export FOB value of the said goods or up to 1.5 times the market price of the said goods, whichever is less. For instance, for the shipping bills where RoDTEP was not claimed and only drawback was claimed (i.e., scheme code 19) for tariff items under chapter 61,62 and 62, the RoSCTL benefit will not be given as the exporter had filed claim for drawback only. Similarly, where RoDTEP was claimed but drawback was not claimed, no RoSCTL benefit would be given,” the Advisory read.
For the residual RoSCTL/RoSL claims of the period prior to 01.01.2021, these would continue be transmitted to DGFT by Customs System for issuance of scrips, as was being done till now, since the same would not eligible for aforesaid notified RoSCTL scheme.
Once the RoSCTL scroll is generated, the duty credit amount will be available within the ledger created for the IEC holder (or exporter) in their ICEGATE login to claim and convert it into duty credit scrip. A detailed Advisory has been published on the ICEGATE website outlining the process of claiming the duty credit scrips in ledger, transfer thereof to other IEC holder and utilization for the purpose of duty payment.
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