Rebate of State and Central Taxes and Levies (RoSCTL)

The Union Cabinet has given its approval for the continuation of the Rebate of State and Central Taxes and Levies (RoSCTL) from 1^st April 2020 onward until it is merged with the Remission of Duties and Taxes on Exported Products (RoDTEP). Continuation of RoSCTL beyond 31^st March 2020 is expected to make the textile sector competitive by rebating all taxes/levies which are currently not being rebated under any other mechanism.

Announced on 7^th March, 2019, RoSCTL was offered for embedded state and central duties and taxes that are not refunded through Goods and Services Tax. It was available only for garments and made ups. It was introduced by the Ministry of Textiles.
The government on 13^th March 2020 approved RoDTEP, a scheme for exporters to reimburse taxes and duties paid by them such as value-added tax, coal cess, mandi tax, electricity duties and the fuel used for transportation, which is not getting exempted or refunded under any other existing mechanism.
- RoDTEP replaces the Merchandise Export from India Scheme (MEIS) which was found to violate the World Trade Organization Rules.

Source: PIB/TH

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