EEPC India urges Centre for restoration of MEIS benefits

by Nidhi Bhati

The Engineering Export Promotion Council of India (EEPC) is seeking Centre’s intervention for restoration of benefits under the Merchandise Export from India Scheme (MEIS). According to EEPC India, the Department of Revenue has stopped extending the benefits under the export incentive scheme. The Department of Commerce has blocked the online system for exporters to apply for availing tax incentives under the MEIS programme from 23 July 2020 as the Department of Revenue decided to limit the benefits under the scheme at Rs.900 billion for April-December 2020. EEPC India Chairman Mahesh K Desai stated that it is difficult for exporters to factor in sudden internal policy changes and especially those which have retrospective effect. Exporters have priced in their MEIS benefit after the government announced that MEIS benefit will be extended till 31 December 2020.