ANNOUNCEMENT 01 May 2015
In May 2015, the government of India announced a change in the tax legislation for exporters.NUMBER OF INTERVENTIONS
2
SOURCE
Notification No. 5 / 2015-20
http://dgft.gov.in/Exim/2000/NOT/NOT15/not0515.pdf
On 1 May 2015, the Indian Directorate General of Foreign Trade withdrew the duty-free import benefit on raw sugar under the Duty-Free Import Authorisation (DFIA) scheme. The DFIA scheme allows duty-free import of inputs that are to be physically incorporated in export goods, in this case, imports of raw sugar to be used in producing an export product, thereby subsidizing the export product.
Under DFIA, against such duty exemption, the importer is required to meet certain export obligations with regards to the finished goods.
Duty-free imports of raw sugar have been temporarily allowed against exports of white sugar on 28 March 2018 (See related State Act).
AFFECTED PRODUCTS
On 1 May 2015, the Indian Directorate General of Foreign Trade withdrew the duty-free import benefit of raw sugar under the Duty-Free Import Authorisation (DFIA) scheme. The scheme allows duty-free import of inputs that are to be physically incorporated in export goods, in this case, imports of raw sugar to be used in producing an export product. Against such duty exemption, the importer is required to meet certain export obligations with regards to the finished goods.
Duty-free imports of raw sugar have been temporarily allowed against exports of white sugar on 28 March 2018 (See related State Act).