TaxTMI 
TaxTMI 
Measures taken for Improving Ease of Doing Business for Make In India
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....red for further manufacture and thereby induce domestic value addition. • The Special Additional Duty of 4%, which is levied on imported goods to counter- balance the local taxes levied by States (other than Excise Duty), was reduced/ exempted on certain imported raw materials/ inputs so as to address the problem of input tax credit accumulation. For example, all goods except populated PCBs, falling under any chapter of the Customs Tariff, for use in manufacture of ITA bound goods was fully exempted from 4% SAD. • Basic Customs Duty was increased on metallurgical coke from 2.5% to 5% and on commercial vehicles from 10% to 20% • Excise duty was exempted on inputs required for manufacture of pacemakers, cast components of wind operated electricity generators and Solar PV ribbon for manufacture of Solar PV cells. Also Excise duty was reduced on certain inputs required for manufacture of integrated circuit modules for smart cards and LED drivers and MCPCB for LED lights, fixtures and LED lamps. • Basic Customs Duty on specified steel goods was increased to • Anti-dumping duty and safeguard duty was imposed on specified go....
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....t Treatment Plant operator for treatment of effluent was exempted. 3. In order to allocate additional resources to infrastructure the effective rates of Additional Duty of Customs/ Excise levied on Petrol and High Speed Diesel Oil (commonly known as Road Cess) have been increased from Rs. 2 per litre to Rs. 6 per litre. 4. Non-Tariff Measures 4.1 The following measures have been taken to improve the ease of doing business. 4.1.1 CUSTOMS (i) 24x7 Customs Clearance: Facility of online filing of documents for customs clearance is available through EDI system in 130 Indian customs sites which includes 25 Seaports, 83 ICDs, 18 Airports and 4 Land Customs stations. Of these 130 sites, 24x7 Customs clearance for specified imports, namely, goods covered under 'facilitated' Bills of Entry is made available at 19 Seaports and for specified exports of factory stuffed containers and goods exported under free Shipping bills is made available at 17 airports. This will help in faster clearance of such imported and export goods, reduce dwell time and lower the transaction cost. (ii) Single Window Project- Online message exchange: Single window prov....
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....s wherever documents are filed with digital signatures. The reliance on digitally signed Customs process documents Shall result in the reduction of submission of hard copies of bills of entry, shipping bills, import general manifests, export genera! manifests and consol manifests. (v) Reduction in mandatory documents for imports and exports: To facilitate trade and to simplify procedures, number of mandatory documents have been reduced and only 3 mandatory export and import documents have been prescribed. However, for import and export of special nature under preferential agreements etc., the requisite documents will be required to be submitted. (vi) Setting up of Customs Clearance Facilitation Committee CCFC : To ensure expeditious clearance and identifying and resolving bottlenecks in clearance of EXIM goods, a high level administrative committee i.e. 'Customs Clearance Facilitation Committee (CCFC) has been put in place at every major Customs seaport and airport under the chairmanship of Chief Commissioner of Customs/Commissioner of Customs. This committee would include the senior most functionaries of other government departments/ agencies, such as the Foo....
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....ents: Instructions have been issued to allow Chief Commissioners/ Commissioners to permit payment of arrears in instalments. 4.1.3. CENTRAL EXCISE Direct dispatch of goods: Facility of direct dispatch of goods by registered dealer from seller to customer's premises was allowed. Similar facility has also been allowed in respect of job- workers. Registered importer can also send goods directly to customer from the port of importation. 4.1.4. SERVICE TAX (i) Simplification in procedure for availment of Cenvat Credit in certain cases: For availment of CENVAT credit of Service Tax paid under reverse charge mechanism, the condition of having made the payment of consideration to the service provider was done away with. (ii) If the export proceeds are not received within the prescribed time period, the exporter has to reverse the CENVAT credit. Re-credit of such Cenvat credit was allowed, if such export proceeds are received within one year from the specified period. (iii) To bring certainty in the determination of point of taxation in case of reverse charge mechanism, it was provided that point of taxation will be the payment date ....