The Central Board of Indirect Taxes and Customs (CBIC) has notified that the customs duty exemption against Scrips issued under Regional Authority under the Scheme for Rebate of State and Central Taxes and Levies (RoSCTL) Scheme.
In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 the Central Government, had satisfied that it is necessary to do for the public interest, to exempts goods, when imported into India against a duty credit scrip issued by the Regional Authority under the Scheme for Rebate of State and Central Taxes and Levies (RoSCTL).
The scrip, against which goods, when imported into India, are exempted from duties mentioned in clauses (a) and (b) below, may include duty credit provided under the Additional Ad Hoc Incentive.
(a) The whole of the duty of customs leviable thereon under the First Schedule to the Customs Tariff Act, 1975 and
(b) The whole of additional duty leviable thereon under subsections (1), (3) and (5) of section 3 of the said Customs Tariff Act.
The exemption shall be subject to the following conditions, namely:
The duty credit in the said scrip is issued against exports of garments and made-ups and their respective rates and cap as listed in Schedules 1, 2, 3 and 4 to the notification of Government of India, Ministry of Textiles notified vide notification for the RoSCTL scheme and made in terms of the Foreign Trade Policy
And also permitting clearance and loading of goods for exportation against the export of garments and made-ups under the RoSCTL scheme has been made on or after the 7th March 2019 and till 31st March 2020.
The imports and exports are undertaken through the seaports, airports or through the inland container depots or through the land customs stations as mentioned in the notification of the Government of India, Ministry of Finance, Department of Revenue as amended.
Provided that the Principal Commissioner of Customs or the Commissioner of Customs may within his jurisdiction, by special order, or by a Public Notice, and subject to such conditions as may be specified by him, permit import and export through any other seaport, airport, inland container depot or through any land customs station within his jurisdiction.
The CBIC said that the exports of said goods transacted through e-commerce platform subject to the items listed in Appendix 3C of Appendices and Aayat Niryat Forms of the Foreign Trade Policy are undertaken either through international courier terminals or through such foreign post offices, as notified by the Foreign Trade Policy.
The scrip is produced before the proper officer of customs at the time of clearance for debit of the duties leviable on the goods and the proper officer of customs after taking into account the debits already made under this exemption and debits made under the notification of Government of India, dated on 14th February 2020 shall ensure the debit of the duties leviable on the goods, but for this exemption and the said scrip and goods imported against it shall be freely transferable.
If the importer does not claim exemption from the additional duty of customs leviable under subsections (1), (3) and (5) of section 3 of the said Customs Tariff Act, he shall be deemed not to have availed the exemption from the said duty for the purpose of calculation of the said additional duty of customs.
The importer shall be entitled to avail of the drawback of the duty of customs leviable under the First Schedule to the said Customs Tariff Act against the amount debited in the said scrip and also the importer shall be entitled to avail drawback or CENVAT credit of additional duty leviable under subsections (1), (3) and (5) of section 3 of the said Customs Tariff Act against the amount debited in the said scrip.
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