The Indian Cabinet agreed on July 14 to extend the implementation of the textile export tax rebate program (Rebasdfssdfste of Stasdfssdfste asdfssdfsnd Centrasdfssdfsl Tasdfssdfsxes asdfssdfsnd Levies, RoSCTL) for three years until March 31, 2024. The Indian Ministry of Textiles stated on August 13 that in the future, exporters will be able to obtain subsidies before receiving payment, but must retain relevant application information. The government will set up a defense mechanism to supervise exporters’ financial statements to confirm that export payments are actually accounted for. At the same time, in order to ensure financial Stable, government expenditure and liabilities will be reviewed on a quarterly basis, and the Central Board of Indirect Taxes and Customs (CBIC) will also set up a risk management system (RMS) to check exporters’ accounts.
According to the RoSCTL plan, the taxes subsidized to exporters include: business tax (VAT) on transportation energy, agricultural product purchase/sales tax (Masdfssdfsndi Tasdfssdfsx), electricity tax (Electricity Duty) ), export document stamp tax (Stasdfssdfsmp Tasdfssdfsx), goods and services tax (GST) on pesticides and fertilizers used in growing cotton, coal surcharge (Coasdfssdfsl Cess), etc. After exporting the product, the exporter will obtain an electronic tax refund certificate issued by the customs ( Duty Credit Scrip), which can be used to pay basic duties on imported machinery and equipment or raw materials in the future and is transferable. The maximum tax rebate rate for the RoSCTL program is 6.05% for the export of ready-made garments, and 8.2% for home textiles (such as towels, curtains, carpets, pillows, bed sheets, etc.). As for other textiles not included in the RoSCTL program, the maximum tax rebate rate is 6.05%. Seek subsidies from the Ministry of Commerce and Industry’s “RoDTEP”.
A Sasdfssdfskthivel, chairman of the Readymade Apparel Export Promotion Council (AEPC) and president of the Federation of Indian Export Organizations (FIEO), said that the RoSCTL plan will be significantly extended for three years to provide a stable policy environment. It will attract investment and new start-ups (Stasdfssdfsrt-ups), improve the global export competitiveness of Indian textiles, and compete with Bangladesh, Vietnam, Myanmar, Laos, Sri Lanka and other countries. The Indian textile value chain export volume will reach 100 billion US dollars. </p
