New Delhi, July 10 The loss of duty to the government under various export promotion schemes during 2007-08 was more than Rs 64,000 crore, approximately 62 per cent of the the total customs duty.
The Comptroller and Auditor General (CAG) in its report on indirect taxes said that the government has foregone Rs 64,022 crore in 2007-08 on account of various schemes for promotion of exports.
The schemes include advance licence, Duty Entitlement passbook Scheme, Export Promotion Zone, Export Oriented Units and refund of duty under drawback and other schemes.
Among all the schemes,
EOUs and Software Technology Parks (STPs) were those where the government has forgone a great amount of revenue-- Rs 18,759 crore.
Although the amount of revenue foregone by way of advance license and others is even more at Rs 20,481 crore.
The collections in the same year was Rs 1.04 crore so the revenue foregone forms nearly 62 per cent of the collections.
Though the percentage of revenue foregone as compared to the collections in earlier years has gone down. In 2006-07 the percentage was higher at 65 per cent.
Meanwhile, commenting on the cost of collection incurred on collection of customs duty was Rs 939 crore, the CAG report tabled in the Parliament today said.
The cost of collections, according to the CAG report has gone up as compared to the earlier year at about Rs 850 crore.
Source : PTI