Clarification with regard to: A. Deemed Export Benefits on supplies against Invalidation Letter/ARO. & B. Value Addition requirement on clubbing - regarding
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Deemed export benefits clarified for suppliers under invalidation letters and AROs; clubbing uses CIF weighted value addition. Against an Invalidation Letter the supplier may avail Advance Authorisation for Intermediate supplies and TED refund where excise exemption is unavailable; against an ARO the supplier is entitled to deemed export duty drawback. For clubbing Advance Authorisations with different prescribed minimum value addition norms, the applicable requirement is the FTP prescribed minimums and the aggregate must be the CIF weighted average of those prescribed minima so the clubbed authorisation meets the weighted average value addition.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Deemed export benefits clarified for suppliers under invalidation letters and AROs; clubbing uses CIF weighted value addition.
Against an Invalidation Letter the supplier may avail Advance Authorisation for Intermediate supplies and TED refund where excise exemption is unavailable; against an ARO the supplier is entitled to deemed export duty drawback. For clubbing Advance Authorisations with different prescribed minimum value addition norms, the applicable requirement is the FTP prescribed minimums and the aggregate must be the CIF weighted average of those prescribed minima so the clubbed authorisation meets the weighted average value addition.
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