Procedure for Supplementary Claims for MEIS Allowed in Retrospective Effect Cases

[DGFT Trade Notice No. 28/2019-20 dated 05.08.2019]

Subject: Mechanism to apply for additional claims under MEIS for certain HS codes for which enhanced rates were notified with retrospective effect.

It may be noted that the Directorate has notified higher rates for certain HS Codes during the Mid Term Review of the Policy, for export made from 01.11.2017. This was done vide Public Notice 42 dated 24.11.2017, Public Notice 44 dated 05.12.2017, Public Notice 02 dated 01.05.2018 and Public Notice 28 dated 08.08.2018.

2. It had come to the notice of the Directorate that certain exporters had realized payment for exports made on or after 01.11.2017 after having made exports under those HS Codes and have also claimed MEIS benefits from the Directorate, before the said Public Notices were notified. These exporters are not able to claim the different higher rates under the current mechanism of issue of such scrips since scrips were issued as per older rates in the system.

3. It order to enable such exporters claim the differential 2% rates as enhanced vide the above 4 Public Notices, the following procedure is being elaborated for compliance by the RAs and the Exporter /Applicants:

i. The Exporter/ Applicant would submit a letter to the concerned RA with a statement of the shipping bills along with corresponding file no. from which MEIS has already been issued, for which additional claims under MEIS is being claimed for the relevant HS Codes.

ii. Based on the letter, the RA would open a supplementary file from the same file number in the E com module. (The necessary e-com module modifications have been done by the NIC)

iii. The RA would then check the eligibility for additional claim and fill the differential rate manually in the relevant field for the relevant HS Codes at the item level.

iv. After approval at the level of the Deputy DGFT, RA would issue the scrip for the supplementary file. This scrip would be issued in the paperless form and the scrip owner would be required to record its transfer online as is the current practice.

v. No. additional documents, arc required to be submitted by the exporters/applicants to the RAs in the process after the applicant has submitted the letter with the statement of shipping bills as in (i) above.

vi. Such scrips would be utilized just like the other MEIS scrips. The mechanism of data transmission of such scrips to Customs/ ICEGATE has been worked out.

4. Difficulties, if any, in the implementation of the above mechanism may be brought to the notice of this Directorate.

5. This is issued with approval of the Competent Authority.

(Issued from F. No. 01 /61/180/65/AM19/PC-3)