Search Result for : Cenvat

By Sheela Mamidenna As the Chairman of the Empowered Group of State Finance Ministers which was instrumental in the formulation of GST Laws in 2009, Dr Asim Kumar Dasgupta can be rightly called as the ‘architect of GST’. A reformer by heart he set out to mastermind the most ambitious tax reform in Indian history by introducing the Value Added Tax (VAT). He was the man who was instrumental in doing away with many draconian tax levies such as octroi and highway toll in West Bengal and was fondly referred to as ‘my US-trained finance minister’ by the then Chief Minister of West Bengal, Jyoti Basu.  Dr Dasgupta, an MIT graduate continues to inspire the new generation as he lectures at various ...

The Dollar Business Bureau  The DGFT in its latest notification number 40/2015-2020 dtd Feb 23, 2017 makes the following amendment to Chapter 4, paragraph 4.34(i) of Foreign Trade Policy 2015-20.  According to the latest amendment, exporters of gold/silver/platinum jewellery and their related inputs who have availed CENVAT credit facility, and have exported the finished goods availing duty free rebate, can further restock precious metals from authorised centres.  However, the DGFT stresses that the duty-free inputs should be used in the manufacture of dutiable-goods in the same premises where the earlier products were manufactured. And the sale or transfer of such duty-free precious metal inputs is not permissible.

The Dollar Business Bureau  The Government has raised the All Industry Rates (AIR) of duty drawback on gold jewellery and silver jewellery to Rs.252.30 per gram and Rs.3285.40 a kg, respectively. “The Central Government hereby makes the amendments in Customs, Central Excise Duties and Service Tax Drawback Rules, 1995, and raises the certain AIRs of drawback for export of gold jewellery, silver jewellery and articles,” the Central Board of Excise and Customs (CBEC) said in a notification. “The duty on articles of jewellery and parts thereof, made of gold has been increased to Rs.252.30 per gram and Rs.3285.40 per kg on articles of jewellery and parts thereof, made of silver,” the notification said. The revised rates are applicable with effect from June 24, 2016, ...

Execution of GST will put an end to complex taxation practices reducing transaction costs and making the system tax-payer friendly for MSMEs, says Confederation of Indian Industry Sai Nikesh | The Dollar Business CII recommends reduction of Central Sales Tax (CST) rate to 1% till GST is implemented   In line with government’s initiatives aimed at improving manufacturing activity in the country, the Indian industry has been keen on promoting Micro Small and Medium Enterprises (MSMEs), which form the core part of any industry. In this regard, various industry bodies have been pitching on the need to extend incentive and skill-based support to small-scale industries. Ahead of Union Budget 2016-17 release on Monday, the apex industry body- Confederation of Indian Industry ...

The Dollar Business Bureau Services exporters will now be able to get refunds of indirect taxes paid on inputs within five days without any prolonged scrutiny, according to a new scheme announced by the government. The move is aimed at liquidating locked funds amounting to thousands of crores of rupees in the form of CENVAT (central value added tax) paid by companies engaged in trade of goods and services outside India and get refunds later. “This year having been declared as the Year of Taxpayer Services, the Board has accorded primacy to ‘speedy sanction of refunds in case of export of services’,” said the Central Board of Direct Taxes (CBDT). Keeping in mind various legal changes in service tax and representations ...

Himanshu Vatsa | The Dollar Business The delay over the implementation of interest subvention scheme, which seeks rebate in interest rate on bank loans for exporters, is hampering India’s overseas trade severely, say exporters. The previous UPA government had introduced the scheme under which exporters of certain categories used to get up to 3% rebate on interest rates. The scheme which was aimed improving liquidity and competitiveness of exporters in the international market was discontinued in April last year. The present government has also assured that the scheme will be re-launched. Traders engaged in overseas trade have been demanding immediate implementation of the scheme with retrospective effect, i.e, from April 2014. “The decision on re-introduction of the scheme has been hanging in balance since ...

The Dollar Business Bureau The government has allayed the apprehension about any change in the central value added tax (CENVAT) rule, saying that the exemption from excise duty meant for textile industry will continue. In a fresh notification issued on Wednesday, the Central Board of Excise and Customs (CBEC) said that there will be no change in CENVAT Rules, 2004 under which textile manufacturers are exempted from paying up to 12.5% excise duty on the sale of finished goods within the country. The clarification came after representatives of the industry met Finance Ministry officials, expressing concern over an earlier notification of CBEC issued on July 17. The July 17-notification had said that the excise duty rebate can be claimed by the ...

The Dollar Business Bureau Taking note of the falling exports from the country, Finance Minister Arun Jaitley has agreed to take prompt measures to improve competitiveness for Indian exporters in the international market. The government data shows that India’s overall merchandise export in the first two months of the current financial year has contracted by more than 17% to $44.4 billion as against $53.6 billion registered during the same period a year ago. Trade analysts say that the lack of competitiveness of Indian exporters and their product in the global market is the main factor behind the country’s falling exports. On Friday, a delegation of exporters led by SC Ralhan, President of Federation of Indian Export Organisations (FIEO), met the finance ...