{"id":1228,"date":"2023-03-10T10:48:50","date_gmt":"2023-03-10T10:48:50","guid":{"rendered":"http:\/\/www.rnm.in\/blog\/?p=1228"},"modified":"2025-01-30T10:55:41","modified_gmt":"2025-01-30T10:55:41","slug":"statutory-audit-january-2023","status":"publish","type":"post","link":"https:\/\/www.rnm.in\/blog\/statutory-audit-january-2023\/","title":{"rendered":"Statutory Audit &#8211; January 2023"},"content":{"rendered":"\r\n<h2 class=\"wp-block-heading\"><strong>RoDTEP Scheme<\/strong><\/h2>\r\n\r\n\r\n\r\n<p>RoDTEP stands for Remission of Duties and Taxes on Export Products. It is a new scheme that is applicable with effect from January 1st, 2021, formed to replace the existing\u00a0MEIS (Merchandise Exports from India Scheme). The scheme will ensure that the exporters receive the refunds on the embedded taxes and duties previously non-recoverable. The scheme was brought about with the intention to boost exports which were relatively poor in volume previously.<\/p>\r\n\r\n\r\n\r\n<p>The following were some of the export subsidy programmes recommended to be withdrawn:-<\/p>\r\n\r\n\r\n\r\n<p>Merchandise Exports from India Scheme<\/p>\r\n\r\n\r\n\r\n<p>Export Oriented Units Scheme<\/p>\r\n\r\n\r\n\r\n<p>Electronics Hardware Technology Parks Scheme<\/p>\r\n\r\n\r\n\r\n<p>Bio-Technology Parks Scheme<\/p>\r\n\r\n\r\n\r\n<p>Export Promotion Capital Goods Scheme<\/p>\r\n\r\n\r\n\r\n<p>Special Economic Zones (SEZ) Scheme<\/p>\r\n\r\n\r\n\r\n<p>Duty-Free Imports for Exporters Schem<\/p>\r\n\r\n\r\n\r\n<p>&nbsp;<\/p>\r\n\r\n\r\n\r\n<p><strong><u>Features of the RoDTEP Scheme<\/u><\/strong><\/p>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li><strong><em>Refund of the previously non-refundable duties and taxes<\/em><\/strong><\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>Mandi tax, VAT, Coal cess, Central Excise duty on fuel etc. will now be refunded under this particular scheme. All the items under the MEIS and the RoSTCL (Rebate of State and Central Taxes and Levies) are now under the purview of the RoDTEP Scheme.<\/p>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li><strong><em>Automated system of credit<\/em><\/strong><\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>The refund will be issued in the form of transferable electronic scrips. These duty credits will be maintained and tracked through an electronic ledger.<\/p>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li><strong><em>Quick verification through digitisation<\/em><\/strong><\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>Through the introduction of the digital platform, the clearance happens at a much faster rate. Verification of the records of the exporters will be done with the help of an IT-based risk management system to ensure speed and accuracy of transaction processing.<\/p>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li><strong><em>Multi-sector scheme<\/em><\/strong><\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>Under RoDTEP, all sectors, including the textiles sector, are covered, so as to ensure uniformity across all areas. Additionally, a dedicated committee will be set up to decide regarding the sequence of introduction of the scheme across the various sectors, what degree of benefit is to be extended to each sector, and such related matters.<\/p>\r\n\r\n\r\n\r\n<p><strong><u>Eligibility to obtain benefits of the RoDTEP Scheme<\/u><\/strong><\/p>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>All sectors, including the textiles sector, may enjoy the benefits of the RoDTEP Scheme. Labor-intensive sectors that enjoy benefits under the MEIS Scheme will be given a priority.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>Manufacturer exporters and merchant exporters (traders) are both eligible for the benefits of this scheme.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>There is no particular turnover threshold to claim the RoDTEP.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>Re-exported products are not eligible under this scheme.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>To be eligible to avail the benefits of this scheme, the exported products need to have the country of origin as India.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>Special Economic Zone Units and Export Oriented Units are also eligible to claim the benefits under this scheme.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<ul class=\"wp-block-list\">\r\n<li>Where goods have been exported via courier through e-commerce platforms, RoDTEP scheme applies to them as well.<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p><strong><u>MEIS vs RoDTEP<\/u><\/strong><\/p>\r\n\r\n\r\n\r\n<figure class=\"wp-block-table\">\r\n<table>\r\n<tbody>\r\n<tr>\r\n<td><strong>MEIS<\/strong><\/td>\r\n<td><strong>RoDTEP<\/strong><\/td>\r\n<\/tr>\r\n<tr>\r\n<td>1. Incentives available on the export of goods<\/td>\r\n<td>1. Refund of duties and taxes that are currently not being reimbursed by any other schemes.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>2. Not compliant with the WTO norms.<\/td>\r\n<td>2. Compliant with the WTO norms.<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>3. 2%-5% of the FOB (Free On Board) value of exports.<\/td>\r\n<td>3. Product based % is yet to be notified<\/td>\r\n<\/tr>\r\n<tr>\r\n<td>4. Issued in the form of physical transferable scrips.<\/td>\r\n<td>4. Issued in the form of transferable duty credit\u00a0or electronic scrips \u00a0which will be maintained\u00a0via an electronic ledger.<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n<\/figure>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\"><strong><u>Treatment in Financials<\/u><\/strong><\/h3>\r\n\r\n\r\n\r\n<p>It will be fully digitalized and it will be in the form of transferable Duty Credit\/Electronic E-Scripts which will be maintained in an Electronic Ledger by the CBIC. The Company should make its accounting policy as per AS -13 \/AS-9 or Ind AS 20\/Ind AS 115 and keep record reconciliation of scripts received or to\u00a0 be received.<\/p>\r\n","protected":false},"excerpt":{"rendered":"<p>RoDTEP Scheme RoDTEP stands for Remission of Duties and Taxes on Export Products. It is a new scheme that is applicable with effect from January 1st, 2021, formed to replace the existing\u00a0MEIS (Merchandise Exports from India Scheme). The scheme will ensure that the exporters receive the refunds on the embedded taxes and duties previously non-recoverable. The scheme was brought about [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":1217,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_links_to":"","_links_to_target":""},"categories":[163],"tags":[19,164,25],"class_list":["post-1228","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internal-audit","tag-audit","tag-audit-alert","tag-statutory-audit"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>RoDTEP: Boosting Exports with Tax Refunds<\/title>\n<meta name=\"description\" content=\"RoDTEP replaces MEIS from January 1st, 2021, offering tax refunds to boost exports. 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