Government of India
Department of Commerce
Directorate General of Foreign Trade
Udyog Bhawan, New Delhi – 110 011
Policy Circular No. 02 /2009-2014 (RE 2010)
Dated: 8th October, 2010.
To
All Regional Authorities (RAs);
All Commissioners of Customs;
Exporting Community.
Subject: Clarification on the procedure to re-credit 4% Special Additional Duty
(SAD) of Customs in DEPB, VKGUY, FPS, FMS, MLFPS scrips – regarding.
Attention is invited to
Policy Circular No. 22 dated 3.2.2010 wherein the
detailed procedure for re-credit of 4% Special Additional Duty (SAD) in the Duty
credit scrip was laid down. It was stated therein that “in case the validity of
the scrip is less than 6 months on the date of submission of request to the RA,
the scrip may be revalidated for 6 months from the date of endorsement for
utilization of the re-credit amount so allowed by the RA.”
- Representations have been received from Trade and Industry that re-credit and
revalidation of the scrips is not being allowed in cases where validity of the
scrips submitted for such re-credit may have expired on or before the date of
submission of the request to the Regional Authority.
- Intention of the aforesaid provision for revalidation is to allow the
utilization of the re-credited amount. Hence, it is clarified that the validity
of the re-credited scrips shall be six months from the date of endorsement by
Regional Authorities or the original validity of the duty credit scrip,
whichever is later. This revalidation shall be irrespective of the fact as to
whether the scrip has expired on or before the date of submission of the scrip
to the Regional Authority. All the Regional Authorities shall take appropriate
action accordingly.
- Any difficulty in implementation of the aforesaid guidelines shall be brought
to the notice of this Directorate immediately.
This issues with the approval of DGFT.
Sd/-
(Tapan Mazumder)
Joint Director General of Foreign Trade
Telefax: 011-23061050
E-mail: tmazumder@nic.in
(Issued from F. No. 01/94/180/DEPB-SAD recredit/AM10/PC-4)