Can EOU get FPS , FMS , MLFPS benifit

[SNEHAL SHAH]

Dear sir,

As per New FTP 2015-2020 Can EOU get FPS , FMS and MLFPS benefit ?

If yes , what condition will be imposed in FTP .

Thanks and Regards,

SNEHAL SHAH

[YAGAY andSUN]

Dear Snehal,

All these FPS, FMS and MLFPS has been subsumed in MEIS.

According to the para 3.06 of the FTP 2015-2020 following are the ineligible categories under MEIS.

3.06 Ineligible categories under MEIS
The following exports categories /sectors shall be ineligible for Duty Credit Scrip entitlement under MEIS
(i) EOUs / EHTPs / BTPs/ STPs who are availing direct tax benefits / exemption.
(ii) Supplies made from DTA units to SEZ units
(iii) Export of imported goods covered under paragraph 2.46 of FTP;
(iv) Exports through trans-shipment, meaning thereby exports that are originating in third country but trans-shipped through India;
(v) Deemed Exports;
(vi) SEZ/EOU/EHTP/BPT/FTWZ products exported through DTA units;
(vii) Items, which are restricted or prohibited for export under Schedule-2 of Export Policy in ITC (HS), unless specifically notified in Appendix 3B.
(viii)Service Export.
(ix) Red sanders and beach sand.
(x) Export products which are subject to Minimum export price or export duty.
(xi) Diamond Gold, Silver, Platinum, other precious metal in any form including plain and studded jewellery and other precious and semi-precious stones.
(xii) Ores and concentrates of all types and in all formations.
(xiii) Cereals of all types.
(xiv) Sugar of all types and all forms.
(xv) Crude / petroleum oil and crude / primary and base products of all types and all formulations.
(xvi) Export of milk and milk products.
(xvii)Export of Meat and Meat Products.
(xviii)Products wherein precious metal/diamond are used or Articles which are studded with precious stones.
(xix) Exports made by units in FTWZ.

This is for your kind information.

Regards,

YAGAY and SUN

(Management, Business and Indirect Tax Consultants)

[SNEHAL SHAH]

Sir ,

First Thanks to you for reply .

Can EOU Job work of DTA materials ( Purchase under advance license ) , if yes what procedure .

Thanks and Regards,

SNEHAL SHAH

AI Summary

MEIS eligibility: EOU units availing direct tax benefits are ineligible for erstwhile FPS/FMS/MLFPS benefits under FTP provisions. FPS, FMS and MLFPS have been subsumed into the Merchandise Exports from India Scheme (MEIS). Paragraph 3.06 of the FTP specifies that EOUs/EHTPs/BTPs/STPs availing direct tax benefits or exemptions are ineligible for MEIS duty credit scrip entitlement, and lists other exclusions including supplies from DTA to SEZ, trans-shipped exports, deemed exports, SEZ/EOU exports via DTA, service exports, specified restricted commodities, items subject to minimum export price or duty, and exports by FTWZ units.