Rebate of State Levies on Export of Garments
The Dollar Business Bureau
The CBEC has issued a circular regarding revised rates in the rebate of state levies (ROSL) on the export of garments. The circular dated 9th November No.51/2016-CUSTOMS, 2016 supersedes the earlier notification issued by the Central Govt on Nov 16, 2015.
The present circular 51/2016-CUSTOMS states that, revised rates on garment exports under ROSL Scheme are applicable to exports with Let Export Order dates from 15.11.2016 onwards which is the same date that the revised AIRs of Drawback in terms of Notification No. 131/2016-Customs (N.T.) take effect for implementation. The Electronic Data Interchange Implementation of the revised ROSL scheme rates is being undertaken by the Systems Directorate.
The ROSL scheme is a mechanism adopted by the Govt of India wherein a rebate that the State levies on garment exports is provided based on a budgetary allocation of the Ministry of Textiles, which the Department of Revenue/Central Board of Excise and Customs (CBEC) handle disbursement along with the existing Duty Drawback.
The ROSL scheme is meant for exports of garments that are specifically mentioned in the scheme as goods that come under Chapters 61 or 62 of the Schedule of the All India Rates (AIRs) of drawback. The scheme is applicable to exports that come under Let Export Order dates specified from September 20, 2016 onwards. Though the applicability is for 3 years the Central Govt can adjust the rebate rates based on changes in the underlying conditions.
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