Subject : Extension of Brand Rate of Drawback to exports under DEPB Scheme – Relaxation of time – limit prescribed under Duties Drawback Rules, 1995 for filing Brand Rate application under Rule 6 / 7 of Drawback Rules, 1995 -reg.Online GST Certification Course by TaxGuru & MSME- Click here to Join
Kindly refer to Ministry’s Circular No. 69 /97- Customs dated 2nd December, 1997 – allowing payment of Drawback by way of fixation of Brand Rates on exports made under DEPB Scheme of those products which cannot avail MODVAT credit of the additional duty of customs (CVD) paid in cash on imported inputs, or excise duty paid on indigenous inputs, utilised in the production of export goods.
2. Various representations have been received from the Trade/ Exporters that their applications for fixation of brand rate for such products are hit by the limitation of time limit under Rule 6 / 7 of the Duties Drawback Rules, 1995, as the Circular No. 68/ 97-Customs was issued on 2.12.1997, whereas under the Drawback Rules, they are required to file Brand Rate application within 90 days (60 + 30 days) from the date of the “Let Export Order”.
3. The issue has been examined in the Board, and it has been decided to relax the time – limit prescribed under Rules 6 and 7 of the Duties Drawback Rules, 1995, and to allow the exporters under DEPB Scheme to file their application for Brand Rate within 90 days (ninety days) from the date of issue of Ministry’s Circular No. 68/ 97- Customs dated 2.12.1997. An Exporter who desires to claim drawback under Brand Rate of Drawback is allowed condonation of delay for filing Brand Rate application, in relaxation of Rule 6 and 7 of the duties Drawback Rules, 1995, and shall be deemed to have been accorded permission by the Central Government under Rule 17 of 1995 rules.