New Delhi [India], Nov 25 (ANI): In a bid to support exports of readymade garments and made-ups, the Centre has notified revised rates of Goods and Services Tax (GST) under the scheme for Remission of State Levies (RoSL).
An official release from the Ministry of Textiles stated that post-GST rates of RoSL are up to a maximum of 1.70 percent for cotton garments, 1.25 percent for MMF, silk and woolen garments and 1.48 percent for apparel of blends.
Further, rates are up to a maximum of 2.20 percent for cotton made-ups, 1.40 percent for MMF and silk made-ups and 1.80 percent for made-ups of blends. For sacks and bags made of jute, the rate is 0.60 percent. The RoSL rate for garments under AA-AIR combination is 0.66 percent, the release noted.
Notification of post-GST RoSL rates for rebate of state levies/taxes is in pursuance of the government's decision to boost exports and employment generation in the labour intensive textiles and apparel sector, and the rates shall be effective from October 1.
Further, the Directorate General of Foreign Trade (DGFT) enhanced the rates under the Merchandise Exports from India Scheme (MEIS) from two to four percent on readymade garments and made ups, effective November 1 till June 30, 2018.
The same was also notified through a series of tweets by Union Minister Smriti Irani.
Government has notified post-GST rates for claiming rebate of state levies/taxes under the scheme for Remission of State Levies (ROSL) on exports of ready made garments, made-ups and under AA-RoSL for garments.— Smriti Z Irani (@smritiirani) November 25, 2017
Announcement on post-GST rates of RoSL will be effective from 1 Oct 2017. Post-GST rates for remission of state levies/taxes will boost exports of garments & made-ups.— Smriti Z Irani (@smritiirani) November 25, 2017
Government (DGFT) has also enhanced rates for garments and made-ups to 4% of value of exports under Merchandise Exports from India Scheme (MEIS). New MEIS rates are effective from 1 Nov 2017. Enhanced MEIS rates will further boost exports of garments and made ups from India.— Smriti Z Irani (@smritiirani) November 25, 2017
These measures are expected to boost the exports of garments and made-ups from India. (ANI)