Drawback, GST, RoDTEP refund different levies

Availing of refund under one scheme does not take away the right to claim refund under another scheme. Exporters can contest any attempts to delay or deny such refunds

TNC Rajagopalan

Last week, many exporters, Customs brokers, consultants and even some GST/Customs officers asked me whether there is any merit in the contention that exporters can claim Goods and Services Tax (GST) refunds on exports, while claiming part of the amount through the duty drawback route also. My answer is an emphatic ‘No’. Let me explain.
Rule 2(a) of the Customs and Central Excise Duties Drawback Rules, 2017 (introduced through M.F.(D.R.) Notification No. 88/2017-Cus. (N.T.), dated 21-9-2017), says that ‘drawback’ in relation to any goods manufactured in India and exported means the rebate of duty excluding integrated tax leviable under sub-section (7) and compensation cess leviable under sub-section (9), respectively, of Section 3 of the Customs Tariff Act, 1975 (51 of 1975), chargeable on any imported materials or excisable materials used in the manufacture of such goods.
Thus, the said Drawback Rules rebate only the cus
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of or the Business Standard newspaper

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First Published: Jan 22 2023 | 11:14 PM IST

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