Circular No.ES/12/2019-20 April 16, 2019
To: Members of the Council
Sub.: Phasing out of physical copies of MEIS / SEIS Duty Credit Scrips issued with EDI port as Port of registration
Kindly refer to Council’s earlier Circular Nos. ES/7/2019-20 and ES/8/2019-20 both dated 5th April, 2019 in which O/o DGFT had issued Public Notice No.84/2015-20 dated 3rd April, 2019 and Trade Notice No. 3/2015-20 dated 3rd April, 2019 informing about discontinuation of the issuance of physical copy of MEIS/ SEIS scrips issued with EDI ports to enhance the ease of doing business for exporters. This shall come into effect for MEIS / SEIS duty credit scrips issued by DGFT from 10th April, 2019 onwards for cases where the port of registration is an EDI port.
As you are aware, DGFT had also earlier created a facility vide Trade Notice No. 42/2015-2020 dated 11th January, 2019 regarding mandatory recording of information on DGFT website about transfer and current ownership details of MEIS / SEIS scrips issued from 14th January, 2019 onwards.
In this regard, we would like to inform you that CBIC has now issued Circular No. 11/2019- Customs dated 9th April, 2019 regarding discontinuation of physical copies of MEIS / SEIS Duty Credit Scrips issued with EDI port as Port of registration.
Please make a note of the following details–
MEIS / SEIS duty credit scrips shall continue to be transmitted electronically by DGFT to the Customs system.
The details of scrips will be visible in Indian Customs EDI System (ICES) to concerned officers involved in registration of the scrips, assessment of Bill of Entry, giving out of charge to imported goods, etc.
For registration, assessment and debiting of scrips, the current procedure as per Circular No. 12/2016-Customs dated 28.03.2016 shall continue to be followed except that instead of presenting physical copy of the scrips printed on security paper, the current owner or his authorized representative shall approach the proper officer of Customs with details of the scrip.
As regard verification of ownership of scrip, same will be checked from DGFT website referred above.
All debits in respect of the paperless scrips shall be made in ICES only and no physical debits would be required on the copy of scrips.
In view of condition in the relevant exemption notifications under the Customs Act, 1962 and Central Excise Act, 1944 prescribing that the scrip shall be produced before proper officer of Customs at the time of clearance and debiting of the duties leviable on the goods, the correctness of the debits made electronically in ICES shall continue to be verified by the proper officer.
No Telegraphic Release Advice (TRA) shall be issued for the paperless scrips issued electronically by DGFT. Consequently, such paperless scrips issued for EDI ports cannot be used for making imports at non-EDI ports.
DGFT shall continue to issue scrips in physical form on security paper as per current practice for non-EDI ports. The facility of TRA would be available for such physical scrips for making imports at other EDI/non-EDI ports.
For procurement of goods from domestic manufacturer on payment of Central Excise duty, the exemption notifications No. 20/2015-Central Excise and No. 21/2015-Central Excise both dated 08.04.2015 prescribe detailed procedure for debiting of scrip, endorsement by Central Excise officer etc.
In view of doing away of physical copy of MEIS / SEIS duty credit scrips, suitable changes in the prescribed procedure have been notified vide Notification No. 01/2019-Central Excise dated 09th April, 2019.
Members may kindly make a note of the above.