Refund on deemed exports - MoF and MoC point finger at each other

This is called "ease of doing business" in India.

The reason for all such "non-adversial" tax administration is that the "minister" concerned will never see the amendments made. Even the parliament does not ever debate on the fine prints of any finance bill. All debates refer to the speech only.
Commerce ministry is trying hard to promote exports either directly or through EOU and SEZ.
Ministry of finance work with a single point agenda of amending the rules if any court or tribunal decides against the existing clarification and or circular leave aside the subordinate legislation.

What is the objective of all such amendments? no body knows? courts will decide again and law will be amended again. This has been my personal experience for 25 years.
The focus seems to be deny any or all the incentives/benifits and collect whatever is possible by law or by amending the law.

The huge expectation of easing prcedures (after TRC recommandations)have resulted in ZERO. What is the use of all these committees? who read these reports? leave aside the implementation.

The budget amendments are started with the review of all cases decided against the revenue in past one year and efforts are made (generally successfully) to un do the impact of all the decisions. And this is called "trade facilitation" "ease of doing business" "non-adversial tax regime".

Arbind Aggarwal

Arbind Aggarwal 13/03/2015