A limit has been imposed on total rewards under the Merchandise Exports from India Scheme (MEIS). A notification issued by Directorate Generate of Foreign Trade (DGFT) says that the total reward which may be granted to an IEC holder under the scheme shall not exceed Rs.2 Crore per IEC of exports made in the period 1.9.2020 to 31.12.2020. Further, it has also been informed that any IEC holder who has not made any exports for a period of one year preceding 1.9.2020 or any new IECs obtained on or after 1st September would not be eligible for submitting any claim under MEIS. In addition, MEIS Scheme is withdrawn w.e.f. 1.1.2021. The above ceiling will be subject to further downward revision to ensure that the total claim under MEIS for the period 1.9.2020 to 31.12.2020 does not exceed prescribed allocation by the Government which is Rs.5,000 Crore.
It is estimated that 98 per cent of the exporters’ claim of MEIS will be unaffected by the changes. The unaffected exporters who have already factored in MEIS in the pricing of their products do not face any change or uncertainty since neither coverage of products nor rates of MEIS will be changed. An advance notice of 4 months of the end date of MEIS provides certainty for the future pricing decisions.
(Also read: CBDT provides ITR filing compliance check functionality for Scheduled Commercial Banks)
(Also read: Guidelines to resume Metro services from 7th September 2020)
(Also read: File complaint if any detail on product package is not legible or missing)
(Also read: Revised instructions on opening of Current Accounts)
(Also read: More than 150 FAQs on Provident Fund to solve all doubts)
(Also read: Mild or medium color blind person will also get Driving License now)
Disclaimer: The above post includes some content used from PIB India website and executed on this website for fair use only. As this website is of educational nature, hence the content is used for education and awareness to the public.