1

FOREIGN TRADE POLICY HANDBOOK OF PROCEDURES ANALYSIS Chapter 7 DEEMED EXPORTS

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

1 FTP 701(ii) - ldquoDeemed Exports for the purpose of GST would include only the supplies notified under Section 147 of the CGSTSGST Act on the recommendations of the GST Council The benefits of GST and conditions applicable for such benefits would be as specified by the GST Council and as per relevant rules and Notification

Notification No48-Centrax Tax dated 18th October 2017 has been issued to notify following supplies as deemed export

1 Supply of goods by a registered person to a holder of AA

2 Supply of capital goods by a registered person to a holder EPCG

3 Supply of goods by a registered person to EOU

4 Supply of gold by a bank or Public Sector Undertaking specified in the notification No 502017-Customs dated the 30th June 2017 (as amended) against AA

2 FTP 702A(d) Supply of marine freight containers by Deleted The said para has been removed in

2

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

100 EOU (Domestic freight containers-manufacturers) provided said containers are exported out of India within 6 months or such further period as permitted by customs

accordance with certain supplies notified as deemed export vide Notification No48-Central Tax dated 18th October 2017

3 FTP 702B(f)(i) (i) Supply of goods to any project or for any purpose in respect of which the Ministry of Finance by Notification No 122012 ndashCustoms dated 1732012 as amended from time to time permits import of such goods at zero customs duty subject to conditions specified in the above said Notification Benefits of deemed exports shall be available only if the supply is made under procedure of ICB

Supply of goods to any project or for any purpose in respect of which the Ministry of Finance by erstwhile Notification No 122012 ndashCustoms dated 1732012 as amended from time to time had permitted import of such goods at zero customs duty (with exemption of both BCD and CVD) subject to conditions specified therein and which are continued under the Customs Notification No 502017-Customs dated 3062017 with exemption of zero basic customs duty and subject to conditions mentioned in the said new notification Benefits of deemed exports shall be available only if the supply is

Zero Customs duty shall be applicable to supply of goods to any project(ICB) in accordance with Notification No50-2017 Central Tax dated 30062017 subject to conditions mentioned in the said new Notification and Notification No122012 has been rescinded

3

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

made under procedure of ICB

4 FTP 702B(f)(ii) Supply of goods required for setting up of any mega power project as specified in the list 32A at Sl No 507 of Department of Revenue Notification No 122012- Customs dated 17032012 as amended from time to time shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Supply of goods required for setting up of any mega power project as specified in the list 31 at Sl No 598 of Department of Revenue Notification No 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Reference of SrNo and Notification No has been updated in the New Notification No502017-Central Tax

5 FTP 702B(f)(iii) For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

Change in reference of Notification from Central Excise to Customs has been made

4

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

6 FTP 702B(h)(i) Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 33 at Sl No 511 of Notification No 122012ndashCustoms dated 1732012 as amended from time to time

Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 32 at Sl No 602 Customs notification no 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein

Reference of SrNo and Notification Nohas been updated in the New Notification No502017-Central Tax

7 FTP 703(b) Deemed Export Drawback Deemed Export Drawback for BCD

Deemed export drawback benefit has been specified for Basic Customs Duties only which was earlier also available for Excise duties

8 FTP 703(c) Refund of terminal excise duty if exemption is not available

Refund of terminal excise duty for excisable goods mentioned in Schedule 4 of Central Excise Act 1944 provided the supply is eligible under that category of deemed exports and there is no exemption

Refund of TED has been limited only to those products which are specified in Schedule 4 of Central Excise Act There is no provision for Refund of TED in GST regime

9 FTP 704 Duty Drawback benefit is available against ARO or Back to Back letter of credit

Words Back to Back letter of credit deleted from Drawback Column

Duty Drawback benefit shall not be available against back to back letter of credit

5

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

10 FTP 706 Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

(a) In case CENVAT credit rebate has not been availed on the inputs input services by the supplier of goods then benefit as per Column lsquoArsquo of All Industry Rate of Duty Drawback Schedule shall be admissible

(b) If CENVAT credit rebate has been availed by the supplier of goods on inputs input services then no Drawback shall be admissible as per Column lsquoBrsquo of All Industry Rate of Duty Drawback Schedule However in such cases Basic Customs Duty paid can be claimed as Brand Rate of Duty Drawback based upon submission of documents evidencing actual payment of duties

Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

The refund of drawback in the form of Basic Customs duty of the inputs used in manufacture and supply under the said category shall be given on brand rate basis upon submission of documents evidencing actual payment of basic custom duties

Earlier conditions have been removed Drawback under All Industry rate is not allowed for deemed export

Further drawback of only basic customs duty on inputs used in manufacture and supplied is available

11 FTP 712 - Deemed exports benefits contained in FTP 2015-20 shall be available for supplies effected

In respect of supply made after 30062017 new provisions of FTP 2015-20 shall be applicable retrospectively

2

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

100 EOU (Domestic freight containers-manufacturers) provided said containers are exported out of India within 6 months or such further period as permitted by customs

accordance with certain supplies notified as deemed export vide Notification No48-Central Tax dated 18th October 2017

3 FTP 702B(f)(i) (i) Supply of goods to any project or for any purpose in respect of which the Ministry of Finance by Notification No 122012 ndashCustoms dated 1732012 as amended from time to time permits import of such goods at zero customs duty subject to conditions specified in the above said Notification Benefits of deemed exports shall be available only if the supply is made under procedure of ICB

Supply of goods to any project or for any purpose in respect of which the Ministry of Finance by erstwhile Notification No 122012 ndashCustoms dated 1732012 as amended from time to time had permitted import of such goods at zero customs duty (with exemption of both BCD and CVD) subject to conditions specified therein and which are continued under the Customs Notification No 502017-Customs dated 3062017 with exemption of zero basic customs duty and subject to conditions mentioned in the said new notification Benefits of deemed exports shall be available only if the supply is

Zero Customs duty shall be applicable to supply of goods to any project(ICB) in accordance with Notification No50-2017 Central Tax dated 30062017 subject to conditions mentioned in the said new Notification and Notification No122012 has been rescinded

3

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

made under procedure of ICB

4 FTP 702B(f)(ii) Supply of goods required for setting up of any mega power project as specified in the list 32A at Sl No 507 of Department of Revenue Notification No 122012- Customs dated 17032012 as amended from time to time shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Supply of goods required for setting up of any mega power project as specified in the list 31 at Sl No 598 of Department of Revenue Notification No 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Reference of SrNo and Notification No has been updated in the New Notification No502017-Central Tax

5 FTP 702B(f)(iii) For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

Change in reference of Notification from Central Excise to Customs has been made

4

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

6 FTP 702B(h)(i) Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 33 at Sl No 511 of Notification No 122012ndashCustoms dated 1732012 as amended from time to time

Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 32 at Sl No 602 Customs notification no 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein

Reference of SrNo and Notification Nohas been updated in the New Notification No502017-Central Tax

7 FTP 703(b) Deemed Export Drawback Deemed Export Drawback for BCD

Deemed export drawback benefit has been specified for Basic Customs Duties only which was earlier also available for Excise duties

8 FTP 703(c) Refund of terminal excise duty if exemption is not available

Refund of terminal excise duty for excisable goods mentioned in Schedule 4 of Central Excise Act 1944 provided the supply is eligible under that category of deemed exports and there is no exemption

Refund of TED has been limited only to those products which are specified in Schedule 4 of Central Excise Act There is no provision for Refund of TED in GST regime

9 FTP 704 Duty Drawback benefit is available against ARO or Back to Back letter of credit

Words Back to Back letter of credit deleted from Drawback Column

Duty Drawback benefit shall not be available against back to back letter of credit

5

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

10 FTP 706 Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

(a) In case CENVAT credit rebate has not been availed on the inputs input services by the supplier of goods then benefit as per Column lsquoArsquo of All Industry Rate of Duty Drawback Schedule shall be admissible

(b) If CENVAT credit rebate has been availed by the supplier of goods on inputs input services then no Drawback shall be admissible as per Column lsquoBrsquo of All Industry Rate of Duty Drawback Schedule However in such cases Basic Customs Duty paid can be claimed as Brand Rate of Duty Drawback based upon submission of documents evidencing actual payment of duties

Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

The refund of drawback in the form of Basic Customs duty of the inputs used in manufacture and supply under the said category shall be given on brand rate basis upon submission of documents evidencing actual payment of basic custom duties

Earlier conditions have been removed Drawback under All Industry rate is not allowed for deemed export

Further drawback of only basic customs duty on inputs used in manufacture and supplied is available

11 FTP 712 - Deemed exports benefits contained in FTP 2015-20 shall be available for supplies effected

In respect of supply made after 30062017 new provisions of FTP 2015-20 shall be applicable retrospectively

3

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

made under procedure of ICB

4 FTP 702B(f)(ii) Supply of goods required for setting up of any mega power project as specified in the list 32A at Sl No 507 of Department of Revenue Notification No 122012- Customs dated 17032012 as amended from time to time shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Supply of goods required for setting up of any mega power project as specified in the list 31 at Sl No 598 of Department of Revenue Notification No 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein shall be eligible for deemed export benefits provided such mega power project conforms to the threshold generation capacity specified in the above said Notification

Reference of SrNo and Notification No has been updated in the New Notification No502017-Central Tax

5 FTP 702B(f)(iii) For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

For mega power projects ICB condition would not be mandatory if the requisite quantum of power has been tied up through tariff based competitive bidding or if the project has been awarded through tariff based competitive bidding

Change in reference of Notification from Central Excise to Customs has been made

4

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

6 FTP 702B(h)(i) Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 33 at Sl No 511 of Notification No 122012ndashCustoms dated 1732012 as amended from time to time

Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 32 at Sl No 602 Customs notification no 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein

Reference of SrNo and Notification Nohas been updated in the New Notification No502017-Central Tax

7 FTP 703(b) Deemed Export Drawback Deemed Export Drawback for BCD

Deemed export drawback benefit has been specified for Basic Customs Duties only which was earlier also available for Excise duties

8 FTP 703(c) Refund of terminal excise duty if exemption is not available

Refund of terminal excise duty for excisable goods mentioned in Schedule 4 of Central Excise Act 1944 provided the supply is eligible under that category of deemed exports and there is no exemption

Refund of TED has been limited only to those products which are specified in Schedule 4 of Central Excise Act There is no provision for Refund of TED in GST regime

9 FTP 704 Duty Drawback benefit is available against ARO or Back to Back letter of credit

Words Back to Back letter of credit deleted from Drawback Column

Duty Drawback benefit shall not be available against back to back letter of credit

5

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

10 FTP 706 Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

(a) In case CENVAT credit rebate has not been availed on the inputs input services by the supplier of goods then benefit as per Column lsquoArsquo of All Industry Rate of Duty Drawback Schedule shall be admissible

(b) If CENVAT credit rebate has been availed by the supplier of goods on inputs input services then no Drawback shall be admissible as per Column lsquoBrsquo of All Industry Rate of Duty Drawback Schedule However in such cases Basic Customs Duty paid can be claimed as Brand Rate of Duty Drawback based upon submission of documents evidencing actual payment of duties

Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

The refund of drawback in the form of Basic Customs duty of the inputs used in manufacture and supply under the said category shall be given on brand rate basis upon submission of documents evidencing actual payment of basic custom duties

Earlier conditions have been removed Drawback under All Industry rate is not allowed for deemed export

Further drawback of only basic customs duty on inputs used in manufacture and supplied is available

11 FTP 712 - Deemed exports benefits contained in FTP 2015-20 shall be available for supplies effected

In respect of supply made after 30062017 new provisions of FTP 2015-20 shall be applicable retrospectively

4

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

6 FTP 702B(h)(i) Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 33 at Sl No 511 of Notification No 122012ndashCustoms dated 1732012 as amended from time to time

Supply of goods to nuclear power projects provided

(i) Such goods are required for setting up of any Nuclear Power Project as specified in the list 32 at Sl No 602 Customs notification no 502017-Customs dated 3062017 as amended from time to time and subject to conditions mentioned therein

Reference of SrNo and Notification Nohas been updated in the New Notification No502017-Central Tax

7 FTP 703(b) Deemed Export Drawback Deemed Export Drawback for BCD

Deemed export drawback benefit has been specified for Basic Customs Duties only which was earlier also available for Excise duties

8 FTP 703(c) Refund of terminal excise duty if exemption is not available

Refund of terminal excise duty for excisable goods mentioned in Schedule 4 of Central Excise Act 1944 provided the supply is eligible under that category of deemed exports and there is no exemption

Refund of TED has been limited only to those products which are specified in Schedule 4 of Central Excise Act There is no provision for Refund of TED in GST regime

9 FTP 704 Duty Drawback benefit is available against ARO or Back to Back letter of credit

Words Back to Back letter of credit deleted from Drawback Column

Duty Drawback benefit shall not be available against back to back letter of credit

5

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

10 FTP 706 Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

(a) In case CENVAT credit rebate has not been availed on the inputs input services by the supplier of goods then benefit as per Column lsquoArsquo of All Industry Rate of Duty Drawback Schedule shall be admissible

(b) If CENVAT credit rebate has been availed by the supplier of goods on inputs input services then no Drawback shall be admissible as per Column lsquoBrsquo of All Industry Rate of Duty Drawback Schedule However in such cases Basic Customs Duty paid can be claimed as Brand Rate of Duty Drawback based upon submission of documents evidencing actual payment of duties

Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

The refund of drawback in the form of Basic Customs duty of the inputs used in manufacture and supply under the said category shall be given on brand rate basis upon submission of documents evidencing actual payment of basic custom duties

Earlier conditions have been removed Drawback under All Industry rate is not allowed for deemed export

Further drawback of only basic customs duty on inputs used in manufacture and supplied is available

11 FTP 712 - Deemed exports benefits contained in FTP 2015-20 shall be available for supplies effected

In respect of supply made after 30062017 new provisions of FTP 2015-20 shall be applicable retrospectively

5

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

10 FTP 706 Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

(a) In case CENVAT credit rebate has not been availed on the inputs input services by the supplier of goods then benefit as per Column lsquoArsquo of All Industry Rate of Duty Drawback Schedule shall be admissible

(b) If CENVAT credit rebate has been availed by the supplier of goods on inputs input services then no Drawback shall be admissible as per Column lsquoBrsquo of All Industry Rate of Duty Drawback Schedule However in such cases Basic Customs Duty paid can be claimed as Brand Rate of Duty Drawback based upon submission of documents evidencing actual payment of duties

Supplies will be eligible for deemed export drawback as per para 703 (b) of FTP as under

The refund of drawback in the form of Basic Customs duty of the inputs used in manufacture and supply under the said category shall be given on brand rate basis upon submission of documents evidencing actual payment of basic custom duties

Earlier conditions have been removed Drawback under All Industry rate is not allowed for deemed export

Further drawback of only basic customs duty on inputs used in manufacture and supplied is available

11 FTP 712 - Deemed exports benefits contained in FTP 2015-20 shall be available for supplies effected

In respect of supply made after 30062017 new provisions of FTP 2015-20 shall be applicable retrospectively

6

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

till 30062017 in terms of FTP 2015-20 provisions as it stood till 30062017 In respect of supply made after 3062017 new provision shall apply

12 HBOP 702(a)(i) In respect of supply of intermediate goods to Advance Authorisation DFIA holder against Invalidation Letter issued in terms of Paragraph 413 of HBP application to obtain Advance Authorisation for import of duty free inputs shall be made as per procedures given in Chapter 4 of HBP For supplies against invalidation letter no TED refund shall be provided because such supplies are exempted from payment of Excise Duty under Excise Notification no 442001 dated 26062001 as amended time to time

In respect of supply of intermediate goods to Advance Authorisation DFIA holder against Invalidation Letter issued in terms of Paragraph 413 of HBP application to obtain Advance Authorisation for import of duty free inputs as provided under chapter 4 of FTP 2015-20 shall be made as per procedures given in Chapter 4 of HBP For supplies against invalidation letter TED refund shall be given in accordance with para 703(c) of FTP 2015-20 provided there is no exemption

TED Refund shall be given on specified supplies mentioned in Para 703(c) since there is no exemption on such supplies under the new provisions

7

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

13 HBOP 702(a)(ii) In respect of supply of goods to Advance Authorisation DFIA against ARO Back to back LC procedure given in Chapter 4 of the HBP shall be followed TED refund for supplies against ARO Back to Back Letter of Credit shall be allowed provided Excise duty is paid while removing such goods Duty Drawback shall be allowed on duty paid inputs used in such supplies

In respect of supply of goods to Advance Authorisation DFIA against ARO procedure given in Chapter 4 of the HBP shall be followed TED refund for supplies against ARO shall be allowed in accordance with para 703(c) of FTP 2015-20 provided there is no exemption Duty Drawback shall be allowed on basic custom duty paid on inputs used in such supplies

Deemed export benefit for supply of goods against back to back letter of credit has been removed

Duty drawback of basic customs duty only shall be available

14 HBOP 702(b) In respect of supply of goods to EOU EHTP STP BTP Advance Authorisation DFIA can be obtained as per procedure given in the Chapter 4 of HBP For exemption from payment of Terminal Excise Duty procedure as per Excise Circular No85192007-CX dated 03052007 read with Circular No102009-Cus dated 25022009 as amended shall be followed for removal of goods against CT-3 No TED refund shall be provided for supply of goods to EOU EHTP STP BTP In case

In respect of supply of goods to EOU EHTP STP BTP Advance Authorisation DFIA can be obtained as per procedure given in the Chapter 4 of HBP for exemption from payment of Terminal Excise Duty procedure as per Excise Circular number 85192007-CX dated 352007 read with circular No 102009-Cus dated 2522009 shall be followed for removal of goods against CT-3 TED refund shall be

TED Refund shall be given on specified supplies mentioned in Para 703 since there is no exemption on such supplies under the new provisions

Duty drawback of basic customs duty only shall be available

8

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

Advance Authorisation is not obtained for import of duty free inputs against such supply drawback claim for duty paid inputs used in the resultant product shall be filed with the DC concerned A DTA Unit shall claim benefits from the concerned RA

given for supply of goods to EOU EHTP STP BTP in accordance with para 703(c) of FTP 2015-20 provided there is no exemption In case Advance Authorisation as provided in chapter 4 of FTP 2015-20 is not obtained for import of duty free inputs against such supply drawback claim for basic custom duty paid on inputs used in the resultant product shall be filed with the DC concerned A DTA Unit shall claim benefits from the concerned RA

15 HBOP 702(c) In respect of supply of goods to an EPCG Authorisation holder against Invalidation Letter application for Advance Authorisation DFIA shall be made as per procedures given in Chapter 4 of HBP In respect of supply of goods to EPCG Authorisation holder against ARO issued as per Paragraph

In respect of supply of goods to an EPCG Authorisation holder against Invalidation Letter application for Advance Authorisation DFIA shall be made as per procedures given in Chapter 4 of HBP If Advance Authorisation DFIA is not

Duty drawback of basic customs duty only shall be available

9

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

508 of HBP refund of TED shall be allowed If Advance Authorisation DFIA is not obtained for duty free inputs Duty drawback shall be allowed on duty paid inputs used in the resultant product

obtained for duty free inputs Duty drawback shall be allowed on basic custom duty paid on inputs used in the resultant product

16 HBOP 702(d) In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs claim for duty drawback may be filed as per ANF-7A In case supply of goods is made against ICB contract no TED refund shall be provided because supply against ICB contract is exempted from payment of Excise Duty under Excise Notification No 122012-CE dated 17032012

In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs as provided under chapter 4 of FTP 2015-20 may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs as provided in chapter 4 of FTP 2015-20 claim for duty drawback for basic custom duty may be filed as per ANF-7A TED refund for projects mentioned in para 708(iii)(a) of FTP 2015-20

TED Refund has been made applicable only for projects listed for petroleum operations and not for EOU and Advance Authorization holders

10

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

in respect of eligible items of supply covered under schedule IV of Central Excise Act 1944 shall be available provided there is no exemption

17 HBOP 706 Fixation of Brand Rate

Normally drawback may be allowed as per All Industry Rate fixed by DoR in the Drawback Schedule An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Where All Industry Rate of Drawback is not available or same is less than 45th of duties actually paid on raw materials or components used in the production or manufacture of the said goods

(b) Where basic customs duty paid is claimed as brand rate of duty

An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Deleted

b) Where basic customs duty

Application for fixation of brand rate may be made only where basic customs duty paid is claimed as brand rate of duty drawback

11

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

drawback in terms of Paragraph 706(b) of FTP

paid is claimed as brand rate of duty drawback in terms of Paragraph 706 of FTP 2015-20

12

8

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

Advance Authorisation is not obtained for import of duty free inputs against such supply drawback claim for duty paid inputs used in the resultant product shall be filed with the DC concerned A DTA Unit shall claim benefits from the concerned RA

given for supply of goods to EOU EHTP STP BTP in accordance with para 703(c) of FTP 2015-20 provided there is no exemption In case Advance Authorisation as provided in chapter 4 of FTP 2015-20 is not obtained for import of duty free inputs against such supply drawback claim for basic custom duty paid on inputs used in the resultant product shall be filed with the DC concerned A DTA Unit shall claim benefits from the concerned RA

15 HBOP 702(c) In respect of supply of goods to an EPCG Authorisation holder against Invalidation Letter application for Advance Authorisation DFIA shall be made as per procedures given in Chapter 4 of HBP In respect of supply of goods to EPCG Authorisation holder against ARO issued as per Paragraph

In respect of supply of goods to an EPCG Authorisation holder against Invalidation Letter application for Advance Authorisation DFIA shall be made as per procedures given in Chapter 4 of HBP If Advance Authorisation DFIA is not

Duty drawback of basic customs duty only shall be available

9

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

508 of HBP refund of TED shall be allowed If Advance Authorisation DFIA is not obtained for duty free inputs Duty drawback shall be allowed on duty paid inputs used in the resultant product

obtained for duty free inputs Duty drawback shall be allowed on basic custom duty paid on inputs used in the resultant product

16 HBOP 702(d) In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs claim for duty drawback may be filed as per ANF-7A In case supply of goods is made against ICB contract no TED refund shall be provided because supply against ICB contract is exempted from payment of Excise Duty under Excise Notification No 122012-CE dated 17032012

In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs as provided under chapter 4 of FTP 2015-20 may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs as provided in chapter 4 of FTP 2015-20 claim for duty drawback for basic custom duty may be filed as per ANF-7A TED refund for projects mentioned in para 708(iii)(a) of FTP 2015-20

TED Refund has been made applicable only for projects listed for petroleum operations and not for EOU and Advance Authorization holders

10

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

in respect of eligible items of supply covered under schedule IV of Central Excise Act 1944 shall be available provided there is no exemption

17 HBOP 706 Fixation of Brand Rate

Normally drawback may be allowed as per All Industry Rate fixed by DoR in the Drawback Schedule An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Where All Industry Rate of Drawback is not available or same is less than 45th of duties actually paid on raw materials or components used in the production or manufacture of the said goods

(b) Where basic customs duty paid is claimed as brand rate of duty

An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Deleted

b) Where basic customs duty

Application for fixation of brand rate may be made only where basic customs duty paid is claimed as brand rate of duty drawback

11

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

drawback in terms of Paragraph 706(b) of FTP

paid is claimed as brand rate of duty drawback in terms of Paragraph 706 of FTP 2015-20

12

9

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

508 of HBP refund of TED shall be allowed If Advance Authorisation DFIA is not obtained for duty free inputs Duty drawback shall be allowed on duty paid inputs used in the resultant product

obtained for duty free inputs Duty drawback shall be allowed on basic custom duty paid on inputs used in the resultant product

16 HBOP 702(d) In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs claim for duty drawback may be filed as per ANF-7A In case supply of goods is made against ICB contract no TED refund shall be provided because supply against ICB contract is exempted from payment of Excise Duty under Excise Notification No 122012-CE dated 17032012

In respect of supply of goods to other categories as listed in the Paragraph 702 (e) (f) (g) amp (h) of FTP Advance Authorisation DFIA for import of duty free inputs as provided under chapter 4 of FTP 2015-20 may be obtained against Project Authority Certificate as per Appendix- 7C However if Advance Authorisation DFIA is not obtained against such supplies for duty free inputs as provided in chapter 4 of FTP 2015-20 claim for duty drawback for basic custom duty may be filed as per ANF-7A TED refund for projects mentioned in para 708(iii)(a) of FTP 2015-20

TED Refund has been made applicable only for projects listed for petroleum operations and not for EOU and Advance Authorization holders

10

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

in respect of eligible items of supply covered under schedule IV of Central Excise Act 1944 shall be available provided there is no exemption

17 HBOP 706 Fixation of Brand Rate

Normally drawback may be allowed as per All Industry Rate fixed by DoR in the Drawback Schedule An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Where All Industry Rate of Drawback is not available or same is less than 45th of duties actually paid on raw materials or components used in the production or manufacture of the said goods

(b) Where basic customs duty paid is claimed as brand rate of duty

An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Deleted

b) Where basic customs duty

Application for fixation of brand rate may be made only where basic customs duty paid is claimed as brand rate of duty drawback

11

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

drawback in terms of Paragraph 706(b) of FTP

paid is claimed as brand rate of duty drawback in terms of Paragraph 706 of FTP 2015-20

12

10

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

in respect of eligible items of supply covered under schedule IV of Central Excise Act 1944 shall be available provided there is no exemption

17 HBOP 706 Fixation of Brand Rate

Normally drawback may be allowed as per All Industry Rate fixed by DoR in the Drawback Schedule An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Where All Industry Rate of Drawback is not available or same is less than 45th of duties actually paid on raw materials or components used in the production or manufacture of the said goods

(b) Where basic customs duty paid is claimed as brand rate of duty

An application in ANF- 7A along with documents prescribed in ANF-7A amp Appendix-7E may be made to RA or DC concerned as the case may be for fixation of brand rate Application for fixation of Brand rate may be made for the following

(a) Deleted

b) Where basic customs duty

Application for fixation of brand rate may be made only where basic customs duty paid is claimed as brand rate of duty drawback

11

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

drawback in terms of Paragraph 706(b) of FTP

paid is claimed as brand rate of duty drawback in terms of Paragraph 706 of FTP 2015-20

12

11

Sr

No

FTP HBOP

Para Old Provision New Provision Comments Impact

drawback in terms of Paragraph 706(b) of FTP

paid is claimed as brand rate of duty drawback in terms of Paragraph 706 of FTP 2015-20

12

12