Government of India
Ministry of Finance
Department of Revenue
New Delhi, the 29th September 2009.
Circular No. 25 /2009-Cus.
To,
All Chief Commissioners of Customs/ Customs & Central Excise
All Commissioners of Customs/Customs (Prev.)/Customs &Central Excise / Central
Excise.
DG, CEIB, New Delhi.
DG, Central Excise Intelligence/ DGRI/ DG (Export Promotion) /DGI/ DG, NACEN/ DG
(Systems & Data Management),
Chief Departmental Representative, Customs, Excise & Service Tax Appellate
Tribunal, West Block-2, R.K. Puram, New Delhi.
Sir/Madam,
Sub: Re-Export of goods imported under reward schemes which are defective or
unfit for use Re-credit of duty–Reg
I am directed to invite your attention to the above mentioned subject and to say
that, representations have been received in the Board seeking extension of the
facility of re-credit of the duty presently availble to goods imported under
Duty Entitlement Pass Book Scheme (DEPB), Vishesh Krishi and Gram Udyog Yojana
(VKGUY) and Served From India Schemes (SFIS) to the goods imported under reward
schemes such as Target Plus Scheme (TPS) / Duty Free Credit Entitlement (DFCE),
Focus Market Scheme (FMS), Focus Product Scheme (FPS) Hi-Tech Product Export
Promotion Scheme (HTPEPS). Status Holder Incentive Scheme (SHIS) and
AgriInfrastructure Incentive scheme under VKGUY.
- The matter has been examined by the Board. The Board had earlier vide
Circular no 21/2006-Cus dt 10.8.2006 clarified that the goods imported under
Served From India Scheme (SFIS) and Vishesh Krishi and Gram Udyog Yojana (VKGUY)
can be re-exported if the goods are found to be defective or unfit for use. The
exporter in such cases was to be given a credit entitlement Certificate equal to
98% of the debit made at the time of import by the Jurisdictional Commissioner
of Customs provided the exporter fulfils the criteria laid down in the circular.
Similar facility was earlier extended to the goods imported under DEPB and DFRC
schemes vide Circular numbers 75/2000 dt 11.9.2000 and 29/2005 dt 08.07.2005
respectively.
- It has now been decided to extend the above-mentioned facility to scrips
issued under all reward schemes. Accordingly, in case where the goods imported
against TPS / DFCE / FMS / FPS / HTPEPS/SHIS/ AgriInfrastructure Incentive
scheme under VKGUY are found defective or unfit for use, the same may be
permitted to be re-exported by the Commissioner of Customs subject to the
following conditions :-
Re-export of goods takes place from the same port from where the goods were
imported;
- The goods are re-exported within 6 months from the date of import;
- The Deputy Commissioner/Assistant Commissioner of Customs, as the case may be,
is satisfied about the identity of the goods; and
- The goods were not put into use after import.
- In such cases, on re-export of goods, 98% of the credit amount debited in the
above said duty credit scrips shall be generated by the concerned Custom House
in the form of a Certificate. The said Certificate shall inter alia contain
details of the original duty credit scrips and the value, quantity and
description of the goods exported.
- Based on the aforesaid certificate issued by the Customs department an
application shall be filed by the exporter with the concerned Regional Authority
to enable the authority to take necessary action in terms of Para 3.11.6 of the
Hand Book of Procedure, Vol.I, 2009-14.
- These instructions may be brought to the notice of the trade / exporters by
issuing suitable Trade / Public Notices. Suitable Standing orders/instructions
may be issued for the guidance of the assessing officers. Difficulties faced, if
any, in implementation of the Circular may please be brought to the notice of
the Board at an early date.
Receipt of this Circular may kindly be acknowledged.
Yours faithfully,
Sd/-
(RAJESH KUMAR AGARWAL)
UNDER SECRETARY (DRAWBACK)
F.NO.605/49/2009-DBK