TaxTMI 
TaxTMI 
Clarifications on Interest Subvention Support for Pre- and Post- Shipment Export Credit under Export Promotion Mission (EPM) - Niryat Protsahan
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....port Promotion Mission (EPM) issued vide Trade Notice No. 20/2025-26 dated 02.01.2026, Trade Notice No. 22/2025-26 dated 16.01.2026, Trade Notice No. 33/2025-26 dated 20.03.2026, Trade Notice No. 01/2026-27 dated 20.04.2026, and Trade Notice No. 03/2026-27 dated 13.05.2026. 2. Representations have been received from various lending institutions seeking point-wise clarifications on operational difficulties and technical compliance parameters concerning the implementation of the revised guidelines notified vide Trade Notice No. 03/2026-27 dated 13.05.2026. The issues raised primarily relate to timeline alignments for historical claims, running accounts across financial years and UIN related. 3. The issues have been systematically examin....
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....5-26 on or after 02.01.2026, in accordance with Trade Notice No. 03/2026-27. This relaxation does not extend to disbursements made in FY 2026-27. For FY 2026-27 onwards, the prescribed provision of generation of UIN within 15 days from the date of original disbursal shall apply. 3 Timeline for submission of claims in the DGFT portal where UIN is generated within 15 days from end-of-month disbursals For FY 2026-27 onwards, a UIN generated within 15 days from the date of original disbursal is treated as valid. In cases where Credit/Bills are disbursed on the last day of a month, the exporter has time until the 15th of the subsequent month to generate the U....
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....t subvention benefits under that facility. 5 Applicability of year-specific UIN claim filing for running pre-shipment credit accounts spanning multiple financial years With reference to point (d) of Trade Notice No. 03/2026-27 dated 13.05.2026, which provides that "the banks shall also ensure the claim being filed in respect of a UIN is specific to the year in which the disbursal of credit was/is made", clarification is sought on the applicability of this requirement in the case of running account pre-shipment credit facilities where interest is charged on a monthly basis. Example: A pre-shipment export credit facility is disbursed on 15.03.2026, wi....
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..... Clarification is requested on whether disbursements done on or after 02.01.2026 and continuing even after 31.03.2026 shall be reckoned under the same UIN issued for FY 2025-26 while submitting claims online in the DGFT portal. The requirement under point (d) of Trade Notice No. 03/2026-27 that the claim filed in respect of a UIN must be specific to the year in which the disbursal of credit was/is made and is to be read in conjunction with the overall scheme parameters, including the provisions for running/revolving pre-shipment credit facilities. In the case of a running pre-shipment credit account where the original disbursal is made in FY 2025-26 (e.g.....
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....he financial year of disbursal; subvention accruing in a subsequent financial year requires a corresponding UIN for that year. Banks shall ensure that monthly interest subvention claims are filed against the UIN for the financial year in which the interest subvention is granted, and are not cross-mapped against UINs of a different financial year. 6 Claim submission process where subvention benefit was not passed upfront The IES claim submission process for cases where the subvention benefit was not passed upfront due to the absence of a UIN at the time of disbursement is not clearly defined in the Trade Notice. Clarification is requested on the process ....