ANNOUNCEMENT 17 Feb 2009In February 2009, the government of India announced a change in the tax legislation for exporters.
NUMBER OF INTERVENTIONS
PUBLIC NOTICE NO.146 (RE-2008)/2004-2009
On 17 February 2009, the Government of India vide Public Notice No. 146 (RE-2008) / 2004-2009 allowed exporters of raw cotton to avail of duty credit scrips equivalent to 5% of FOB value of exports.
The duty credit scrips are issued under the Vishesh Krishi and Gram Udyog Yojana (VKGUY) Scheme, and may be used to pay debts to the government, including various duties and taxes. Exports between 1 April 2008 and 1 July 2009 are eligible.
Given that trade flows may only have adjusted after the annoucement, the implementation date of this intervention is set to 17 February 2009.