The Remission of Duties and Taxes on Export Product Scheme (RODTEP Scheme) was introduced with effect from 1st January 2021 replacing the earlier export benefit schemes such as MEIS (Merchandise Export from India Scheme) and SEIS (Service Export from India Scheme). Under the RODTEP scheme, the exporter is given benefits in the form of scripts once the goods are exported.
To assess the nature of inputs used in manufacturing the goods being exported and actual payment of duties and taxes made, the DGFT has introduced a requirement to file annual return form vide public notice no. 27/2024-25 dated 23rd October, 2024.
1. Brief about the RODTEP Scheme
- The objective of the RODTEP Scheme is to provide a refund of Duties/Taxes/levies at the central, state, or local level on exported products and Indirect taxes/levies /duties concerning the distribution of exported products for which no refund is otherwise granted to the exporter.
- Benefit under this scheme is granted at a prescribed % of the FOB value of goods exported. Such % is notified as per the 8-digit HSN Code. In some cases, the rebate is granted at notified fixed amounts per unit.
- Rebate is granted in the form of transferable Duty Credit scripts.
- Such scripts can be utilized for payment of Custom Duty or the same can be transferred to some other person as well.
- Recently, the scheme was extended for normal exporters up to 30 September 2025 and for exporters operating under the Advance Authorisation Scheme or as an Export-Oriented Unit or Special Economic Zone up to 31 December 2024.
Read Also: RoDTEP (Remission of Duties and Taxes on Exported Products) | Applicable w.e.f. 01.01.2021
2. Who is required to file an Annual return?
- For filing of annual return, a new para 4.94 has been inserted under Chapter 4 of the Handbook of Procedures 2023.
- As per the newly inserted part, to assess the nature of inputs used in exported goods and to certain the actual amount of taxes and duties incurred, the exporters are now required to file annual RODTEP returns in Form 4RR.
- Annual return is to be filed by the exporter whose total RODTEP claim exceeds INR 1 Crores in a financial year for all HSN Codes.
3. Due date of filing of annual return
- Annual returns are to be filed on the DGFT portal by 31st March of the next financial year, i.e., for FY 2023-24, annual returns are to be filed by 31st March 2025.
- In case of non-filing of the Annual Form by 31st March, the exporter shall have the option to file an annual return by the next 3 months, i.e., up to 30th June on payment of composition fee of INR 10000/-.
- After the expiry of 3 months, the annual return can be filed on payment of composition fee of INR 20000/-.
4. Consequences of non-filing of annual return
- The Exporter shall have the option to file a belated annual return up to 30th June on payment of the compositions fee.
- However, after the expiry of the grace period of 3 months, i.e., 30th June, filing of annual return will lead to the denial of benefits under the RODTEP Scheme and no further scroll out of RODTEP claim for the Shipping bills shall be permitted at the customs port of export.
- After 30th June, RODTEP scrolls shall be resumed within 45 days after payment of the composition fee.
- Scrolls shall be resumed post-exchange of API messages between DGFT and Customs.
- Post resume of scrolls, RODTEP benefit shall also be given for the shipping bills which were not scrolled out earlier on account of non-compliance of AAR
あわせて読みたい： 年次申告（フォームGSTR-9）の提出に関する明確化
5. Other Points to be considered
- The exporter is required to maintain records substantiating the duty remission claim for 5 years.
- Annual returns may be assessed periodically for necessary due diligence.
- Certain annual returns may be selected for detailed scrutiny as per IT-assisted risk-based criteria.
- After completion of the assessment, the RODTEP script holder will be liable to refund or surrender any excess claim received by such person as determined by the order.
6. Information required to be furnished in Form 4RR
The Exporter is required to furnish the following information in Form 4RR:
- 内外輸送コスト
- 製品製造のための原材料、消耗品、スペアパーツの調達プロセスに関連して発生した、道路および鉄道による輸送コストにかかる支払済みVATおよび物品税の合計
- 工場からゲートウェイ港までの輸出貨物の輸送（外向き輸送）にかかる、道路および鉄道による支払済みVATおよび物品税の合計
- 年間輸出製品の製造のために支払われた電気税
- 関連する輸出書類に対して支払われた印紙税
- 年間輸出製品の製造に使用された燃料に対して支払われたVATおよび物品税
- 未登録業者からの購入に含まれる埋没CGSTおよびSGST
- その他支払われた税金（根拠を明記）
- 輸出製品の製造に使用された原材料／投入物に対する前段階の累積税に起因して、輸出製品が負担した投入物ごとの税金／関税／賦課金の発生状況：
- 投入物のHSNコード
- 投入物の技術的説明
- 輸出製品1単位の製造に使用された投入物の価値
- 輸出製品1単位の製造に使用された投入物の数量
- UQC（数量単位コード）
- 消費された原材料／投入物に対して支払われた税金／関税／賦課金の合計
- 期間中に発生したRODTEPの合計
- 本制度の下で発生したRODTEPと、輸出貨物に関して年間で支払われた関税および税金の合計との比較
Conclusion
The exporters are required to prepare detailed information concerning inputs and corresponding tax payments to file an annual return. Such records should be maintained for 5 years. In case of nonfiling of annual return, the benefit of RODTEP shall be disabled. Given the mandatory requirement with potential denial of future benefits on non-compliance, the trade needs to take quick stock of their preparedness for filing the return.
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