What is indigenous capital goods?
What is indigenous capital goods?
Indigenous Sourcing: A person holding an EPCG license may source the capital goods from a domestic manufacturer instead of importing them. The domestic manufacturer supplying capital goods to EPCG license holders shall be eligible for refund of Excise Duty paid by him.
What is EPCG?
Export Promotion Capital Goods (EPCG) scheme allows import of capital goods including spares for pre production, production and post production at zero duty subject to an export obligation of 6 times of duty saved on capital goods imported under EPCG scheme, to be fulfilled in 6 years reckoned from Authorization issue- …
What is EPCG scheme under GST?
EPCG scheme enables the import of capital goods that are used in the pre-production, production, and post-production without the payment of customs duty.
What are the objectives of EPCG scheme?
The objective of the EPCG Scheme is to facilitate import of capital goods for producing quality goods and services and enhancing India’s manufacturing competitiveness. EPCG Scheme allows import of capital goods for pre-production, production and post-production at 0% customs duty.
What are indigenous goods?
Simply put, Indigenous procurement is the act of purchasing goods and/or services from an Indigenous-owned business. [2] The range of businesses includes everything from natural resources, construction, supply and service, tourism, manufacturing, retail, and others.
How is EPCG duty calculated?
The specific export obligation is calculated as 6 times of duty saved value i.e. 8,26,560 *6 =49,59,360 INR to be completed in 6 years.
Who are eligible for EPCG scheme?
1 Who are eligible to avail of the EPCG Scheme? A. The manufacturers, Exporters and Merchant Exporters are eligible to avail of this Scheme.
Who introduced EPCG scheme?
the Directorate General of Foreign Trade
The Export Promotion Capital Goods (EPCG) scheme was introduced by the Directorate General of Foreign Trade (DGFT) under Chapter 5 of the Foreign Trade Policy (FTP) 2015-20.
What is indigenous supplier?
What are indigenous peoples?
Indigenous Peoples are distinct social and cultural groups that share collective ancestral ties to the lands and natural resources where they live, occupy or from which they have been displaced. Indigenous Peoples’ life expectancy is up to 20 years lower than the life expectancy of non-indigenous people worldwide.
How can I apply for EPCG scheme?
EPCG Online Application Procedure
- Step 1: Visit the DGFT Official website.
- Step 2: Log in with DGFT Digital Signature Certificate.
- Step 3: Create a New File.
- Step 4: Fill initial mandatory details.
- Step 5: Filling Industrial Registration, Export House & RCMC Details.
- Step 6: Fill the Factory Address.
What is export obligation?
Export Obligation means obligation to export product or products covered by Authorisation or permission in terms of quantity, value or both, as may be prescribed or specified by Regional or competent authority.
Can You refund excise duty on indigenous capital goods?
24 February 2012 IF WE ARE SOURCING THE CAPITAL GOODS FROM THE DOMESTIC MARKET UNDER THE EPCG SCHEME AND NOT AVAIL THE CENVAT CREDIT ON THAT CAPITAL GOODS, THEN CAN WE TAKE THE REFUND OF EXCISE DUTY WHICH IS CHARGED BY INDIAN SUPPLIER ON THE CAPITAL GOODS AT THE TIME OF REMOVAL IF….
What are services related to trade in indigenous goods?
Most developing countries adhere to a broad definition of professional services, which include new services linked to trade in indigenous goods or are related to trade in other services, including maritime services, and in particular cover computer and related services.
Is there Cenvat credit on indigenous capital goods?
Your means that the supplier will mention in his disclaimer cerificate that the buyer is not taking the cenvat credit on capital goods so that buyer could take refund of excise duty ? am i right regarding this ? u are advised to before posting query also read the Foreign Trade Policy .
What are capital goods and what are they used for?
Capital goods are not finished goods, instead, they are used to make finished goods. Capital goods are physical assets that a company uses in the process to manufacture products and services that consumers will later use. Capital goods include fixed assets, such as buildings, machinery, equipment, vehicles, and tools.