The Central Government is empowered to grant duty drawback under section 74 and 75 of the Customs Act, 1962. Section 76-I of the Customs Act has provided that any goods admitted to a Special Economic Zone (SEZ) from the Domestic Tariff Area (DTA) shall be eligible for drawback under Section 75 as if such goods are export goods for the purposes of that Section. Introduction: The Duty Drawback Scheme seeks to rebate duty or tax chargeable on any imported / excisable materials and input services used in the manufacture of export goods. (5) In an action brought against the creditor under sub-section (1) he shall be entitled, in accordance with rules of court, to have the supplier made a party in the proceedings. The duties and tax neutralized under the scheme are (i) Customs and Union Excise Duties in respect of inputs and (ii) Service Tax in respect of input services. "Re- export of Imported Goods (Drawback of Customs duties) Rules, 1995. Privacy Policy ||       Under this scheme, the exporters are compensated by paying the amount of Customs, Central Excise duties and Service Tax incidence actually incurred by the export product. Hence, the drawback scheme will continue in terms of both section 74 and section 75. – In exercise of the powers conferred by section 75 of the Customs Act, 1962 (52 of 1962), section 37 of the Central Excise Act, 1944 (1 of 1944) and section 93A read with section 94 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following rules further to amend the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995, namely:-1. GST and Drawback . This means it is just as responsible as the retailer or trader for the goods or service supplied, allowing you to also put your claim to the credit card company. Under this scheme, the exporters are compensated by paying the amount of Customs, Central Excise duties and Service Tax incidence actually incurred by the export product. Disclaimer || Read more about Time limit extension in duty drawback rules a good move on Business Standard. The duty governed in section 75 is similar to but much wider in its application than under section 234 of the previous Companies Act, No. Section 75 of the Customs Act, 1962 and Section 37 of the Central Excise Act, 1944, empower the Central Government to grant such duty drawback. Section 74 is applicable when imported goods are re-exported as it is, and article is easily identifiable while section 75 is granted when imported materials are used in the manufacture of goods which are then exported. Option of All Industry Rate (AIR) as well as Brand Rate under Section 75 shall also continue. The procedure for claiming drawback under Section 74 of Customs Act 1962 when the goods are re-exported other than by post as per Rule 5 of the Re-Export Of Imported Goods (Drawback Of Customs Duties) Rules, 1995, is as given below: Comment below your thoughts about this post Brand Rate Under Section 75. 12/2019 - Dated: 16-2-2019 - Amendment in notification No. ... ANNEXURE II: Form for claim of drawback under Rule 13. The application should include details of materials/components/input services used in the manufacture of goods and the duties/taxes paid on such materials/ components/input services. 723(E).—In exercise of the powers conferred by section 75 of the Customs Act, 1962 (52 of 1962), section 37 of the Central Excise Act, 1944 (1 of 1944) and section 93A read with section 94 of the Finance Act, 1994 (32 of 1994), the Central Government hereby makes the following rules to further amend the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995, namely:- The Customs Act lays down certain limitations and conditions which exporters claiming drawback have to meet/fulfill. Is IGST paid on imports by EOU is refundable? This work is handled by the jurisdictional Commissioners of Customs & Central Excise. Before proceeding further to discuss Rule 18 of the Drawback Rules, 2017, it is expedient to put some light on legislative genesis of drawback under Customs and Central Excise Duties Drawback Rules, 2017. Under the GST regime, Drawback under Section 75 shall be limited to Customs duties on imported inputs and Central Excise duty on items specified in the Fourth Schedule to Central Excise Act 1944 (specified petroleum products, tobacco, etc.) 2. is not allowed if rate of drawback is less than 1% of FOB value, except where drawback amount per shipment exceeds Rs 500 under Rule 8(1) of the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995. The exporter has to make an application to the Commissioner having jurisdiction over the manufacturing unit, within 3 months from the date of the ‘Let Export’ order. Terms of Use || Contact us || drawback is required to be made within 3 months from the date of export of goods. Under section 74 of the Customs Act, duty drawback to the extent of 98 percent of the duty paid on imported goods can be claimed for re-export, provided the goods are re-exported within 2 years of payment of import duty. E. Limitations on Drawback Admissibility: 14. This post describes about Brand Rate Under Section 75. *, Email: Under section 74 of the Customs Act, 1962 duty drawback to the extent of 98 percent of the duty paid on imported goods can be claimed for re-export, provided the goods are re-exported within two years of payment of import duty. Re-Export of Imported Goods (Drawback of Customs Duties) Rules, 1995 : (promulgated under Notification No.36/95 Cus (NT) dated 26.05.1995, as amended) In exercise of the powers conferred by section 74 of the Customs Act, 1962 (52 of 1962), the Central Government has notified the Re-Export of Imported Goods (Drawback of Customs Duties) Rules, 1995 which provide as follows:- It has therefore been prescribed under proviso to section 75(1) of the Customs Act that no drawback of duty shall be allowed under this section if: (a) the export value of the finished goods or the class of goods is less than the value of the imported material used in the manufacture or processing of such goods or carrying out any operation on such goods or class of goods; or For payments made using These cards 75 - drawback on imported materials used in drawback rules under section 75 database the... Customs Act, 1962, we introduce: -Special offer on GST for... 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