The Directorate General of Foreign Trade (DGFT) has extended the deadline for submission of RoDTEP Data for rate review to December 15, 2023, in line with the Industry/Trade feedbacks.
The DGFT tweeted on ‘X’;
https://x.com/dgftindia/status/1731542848313471333?s=20
RoDTEP stands for Remission of Duties or Taxes on Export Products. It is a new Scheme, introduced by the Government of India by making amendment in the Foreign Trade Policy 2015-20 vide DGFT Notification No. 19/2015-20 dated 17.08.2021. The scheme has been made effective for exports from 01.01.2021. This scheme has been introduced with an objective to neutralize the taxes and duties suffered on exported goods which are otherwise not credited or remitted or refunded in any manner and remain embedded in the export goods.
This scheme provides for rebates of all hidden Central, State, and Local duties/taxes/levies on the goods exported which have not been refunded under any other existing scheme. This does not only include the direct cost incurred by the exporter but also the prior stage cumulative indirect taxes on goods. The scheme intends to compensate the duties/taxes/levies at the Central, State and Local level borne on the exported product including prior stage cumulative indirect taxes on goods and services used in the production and distribution of the exported product.
Illustrative taxes would be as follows:
1. VAT and Excise duty on the fuel used in self-incurred transportation costs; on the fuel used in generation of electricity via power plants or DG Sets; on the fuel used in running of machineries/plant;
2. Electricity duty on purchase of electricity;
3. Mandi Tax/ Municipal Taxes/ Property Taxes; and
4. Stamp duty on export documents etc.
Notably, the RoDTEP Scheme’s objective is to refund, currently un-refunded:
a. Duties/taxes/levies, at the Central, State and local level, borne on the exported product, including prior stage cumulative indirect taxes on goods and services used in the production of the exported product; and
b. Such indirect Duties/ taxes/levies in respect of distribution of exported products.
It is worthwhile to mention that the rebate under the Scheme shall not be available in respect of duties and taxes already exempted or remitted or credited.
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