News Update

Finance Commission concludes deliberationsGovt working on production-linked sops for more sectorsOfficers who are invested with powers u/s 53 of the NDPS Act are 'police officers' within the meaning of s.25 of the Evidence Act: SC by MajorityCus - 200% Customs duty on imports from Pakistan not applicable as goods entered territory of India prior to the issuance/uploading of the notification 5/2019-Cus dt. 16.02.2019 at 8.45 pm: HCIDS - Input Services & capital goods - Awaiting their fateCus - Kerala gold smuggling case - Power of Customs Department to question applicant u/s 108 cannot be curtailed by granting anticipatory bail: HCStatement recorded u/s 67 cannot be used as a confessional statement in the trial of an offence under the NDPS Act: SC by MajorityCOVID-19 - Second wave is back with vengeance - Over 5 lakh daily global caseload is backFinance Commission to submit its report to President of India on Nov 9ITR filing - CBDT extends due date including that of Audit reportST - Advertisement and Business Promotion, Bank Charges, Brokerage, Housekeeping Services, Insurance Service, Legal and Professional Service, Manpower Consultancy Service, Security services, Telephone & Internet Services are Input services; credit admissible: CESTATCOVID Effect - Devolution of taxes - States get Rs 51K Crore less so farPakistan wittingly admits a hand in Pulwama terror attackCX - Once the proportionate reversal of CENVAT credit takes place, it tantamounts to non-availing of credit: CESTATCus - Ignorance of law and cooperation in investigation are mitigating factors & per se cannot take away the guilt of attempting to bring goods into India without payment of duty: CESTATGovt issues draft 'Coastal Shipping Bill, 2020' for public consultation47-day delay in filing appeal is condoned where caused by the assessee having to change the legal counsel handling the matter: ITAT'Filthy Air' Saga - Is it not a case of Pot calling Kettle black!Penalty notice issued u/s 271(1)(c) r/w Section 274 is sustainable where the AO omits to strike off the relevant charge u/s 271(1)(c), for which such penalty was imposed: ITATGovt exempts cash allowance of Rs 36K towards LTC of non-Govt employeesPenalty in respect of bogus purchases, cannot be levied where it is based on an estimation of the assessee's income from such purchases: ITATGST - DGGI nabs man accused of Rs 392 Cr ITC fraudBank credit grows by over Rs one lakh crore in Sept monthIncome tax raids real estate developer; finds dummy companies with investment overseasGST - Another kingpin nabbed in Rs 1278 Cr ITC fraudUS economy recovers in Q3 - grows at 7.4%Govt reduces tariff value of gold and silver but hikes the same for edible oilsPatient Assistance Proramme - Drugs of many companies exempted from Customs dutyCore Sector output shrinks by 0.8% in Sept monthCabinet approves extension of norms for mandatory packaging in Jute MaterialsPradhan invites Global Oil & Gas majors to partner India in energy transition
 
Cap on MEIS benefits available to exporters till Dec 31

By TIOL News Service

NEW DELHI, SEPT 02, 2020: A limit has been imposed on total rewards under the Merchandise Exports from India Scheme (MEIS).  A notification issued by Directorate Generate of Foreign Trade (DGFT) last evening says that the total reward which may be granted to an IEC holder under the scheme shall not exceed Rs.2 Crore per IEC of exports made in the period 1.9.2020 to 31.12.2020.  Further, it has also been informed that any IEC holder who has not made any exports for a period of one year preceding 1.9.2020 or any new IECs obtained on or after 1 st September would not be eligible for submitting any claim under MEIS.  In addition, MEIS Scheme is withdrawn w.e.f. 1.1.2021.  The above ceiling will be subject to further downward revision to ensure that the total claim under MEIS for the period 1.9.2020 to 31.12.2020 does not exceed prescribed allocation by the Government which is Rs.5,000 Crore.

It is estimated that 98 per cent of the exporters' claim of MEIS will be unaffected by the changes.  The unaffected exporters who have already factored in MEIS in the pricing of their products do not face any change or uncertainty since neither coverage of products nor rates of MEIS will be changed.  An advance notice of 4 months of the end date of MEIS provides certainty for the future pricing decisions.

 


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