The Ministry of Commerce and Industries notified the facility to claim Service Exports from India Scheme (SEIS) benefits on payments in Indian Rupees shall not be available for services rendered in the Financial Year 2019-20.
A limit on total entitlement under SEIS has been imposed for service exports rendered in the period 01.04.2019 to 31.03.2020 and capped at Rs. 5 Cr per IEC. Further, it has been notified that the facility to claim benefits under SEIS on payments in Indian Rupees shall not be available for services rendered in the FY 2019-20. It is also notified that the deadline for submission of SEIS applications for FY 2019-20 shall be 31.12.2021 and late cut provisions for such applications shall not apply i.e. SEIS applications for FY 2019-20 will become time-barred after December 31, 2021.
In exercise of the powers conferred by Section 5 of the Foreign Trade (Development and Regulation) Act, 1992 read with the Foreign Trade Policy, 2015-20 the Central Government notified the various changes in SEIS in the Foreign Trade Policy 2015-20, as amended from time to time, with immediate effect.
After the existing para 3.08 (a) of FTP 2015-20, para 3.08 (aa) is inserted, “ For SEIS claims on services rendered in the FY 2019-20, the notified services and rates are listed in Appendix 3X as per Annexure to this Notification.”
After the existing para 3.10 of FTP 2015-20, “For SEIS claims for FY 2019-20, service providers of eligible services shall be entitled to Duty Credit Scrip at notified rates (as given in Appendix 3X) on net foreign exchange. earned, with the total entitlement capped at Rs 5 Crore per IEC for FY 2019-20. For SEIS claims for FY 2019-20, the deadline for filing the online application as per ANF 3B shall be 31.12.2021. Provision of late cut under para 9.02 of HBP 2015-20 shall not apply for SEIS applications for FY 2019-20 and such applications shall get time-barred after.”
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