Sir,
We had purchase all New machinery under EPCG Scheme , now some guideline require from you that due to some less export oreder received last 1 1/2 Years due to some internation market competition , we are unable to fulfillment export obligation .
Now quetion is that 3 to 4 Machinery purchase under 3% & 5% Concession rate of duty under EPCG & there is one or two months pending for completion of block period ( 8 Years to be completion on oct-2011 ) is it we apply for extenton for EO fulfillment ?
Please guide to us
sachin
Extension Possible for EPCG Scheme Export Obligation with Penalty; Options Include Composition Fee or Increased Obligation A user inquired about extending the export obligation under the EPCG Scheme due to reduced export orders. They sought guidance on whether an extension could be applied for, given the pending block period completion. A respondent advised that an extension is possible, subject to a 2% penalty on the proportionate duty saved for each year of extension. The extension can be for up to two years, with options to pay a composition fee or increase the total export obligation by 10%. Further extensions beyond the initial period require additional conditions, including partial duty payment. (AI Summary)
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