• Dated 11th December, 2020


The taxability dispute on ocean freight has been finally decided by the Gujarat High Court, which held that taxing ocean freight is ultra vires and leads to double-taxation

Foreign Trade in New IT Environment

Background

To make DGFT System,interactive with Importers/Exporters the new IT modules were introduced.As per the release of Trade Notice no. 35/2020-21 dated 12.11.2020, the online system is mandatory w.e.f. 01.12.2020 for Advance Authorization (AA), Export Promotion Capital Goods Scheme (EPCG), Duty Free Import Authorization Scheme (DFIA) and Norms.It is primarily required by all IEC holders to mandatorily register/ link their IEC on the DGFT website as this a pre-requisite for filing online applications/ claims in the new IT environment.

Recentlythe Kolkata Regional Authority (RA) held up an interactive seminar on 01.12.2020 wherein they hadprovided amicable solution to the Importers/Exporters to resolve their queries on the new module.

New Modules Features and Changes as per Training Session on 01.12.2020

The major highlightsof New Online Modules are stated herein below:

    • Importer/Exporter Profile: DGFT has added a dashboard wherein the Exporter/Importer can manage their profile. The profile will be based on IEC. Exporters/Importers have to link their IEC after registering themselves in the new DGFT portal. After registering in the DGFT they will receive a user ID and password for login, users can change their password after first login. Multiple users with one IEC can also register themselves individually through their email id.
    • EPCG License: For EPCG license the old module of ECOM Application is no longer required as DGFT has migrated the same in new modules. Now Exporters/Importers can apply for EPCG license directly from their IEC profile after login. New EPCG module's user interface is more convenient to Exporters/Importers than previous ECOM application. New IT Modules will have the following features:
      • Multiple Documents attachment facility.
      • ITC(HSN) code needs to be selected from the dropdownlist,description will be auto populated as per HSN code. If Exporters/Importershave any other specification then they can mention the same in technicalcolumn of item.
      • No documentsrequired in physical mode with the implementation of New Module.
      • Deficiency will be given online and applicant needs to reply thesame online with attached documents if any.
      • For amendment, invalidation, revalidation and for extension of EO also applicants need to apply online.
    • Advance Authorization andDFIA: Now Advance Authorization and DFIA can be applied by Exporters/Importers directly from their IEC profile. General facilities will remain the same as discussed for EPCG license above.
    • Facilities under New IT Module:
      • Web Browsers:EPCG and AA modules is now available from any web browser viz. Chrome, Microsoft Edge etc. unlike in the past such was accessible only from Internet Explorer. The only condition is that the Exporter/Importer need emBridge of E-Mudra for attachment of DSC(Click here for emBridge link). However, emBridge of E-Mudra can be done only through proper Java settings only.
      • License Database:New Modules contain details of Licenses from 2010 and onwards.
      • Offline Utility:ANF form can now be filled offline and then can be uploaded.
      • CA/CE Repository:Establishment of CA/CE Repository, wherein documents are required to be certified by CA,CE, CS and Cost Accountant through system and can be used for various services. These documents will be maintained in the repository.
      • SB/BE Repository:Documents like shipping bill, bill of entry, bill of exports, GSTN Invoices, bank realization and TR-6 Challans will be available in the repository for importer/exporter and DGFT Officers to enhance functionality. Now also importer/exporter can directly link his application with shipping bill repository and required documents.
      • Real Time Validation:Implementation of checks on details entered by the users wherein the users, will get warnings, errors and the required messages guiding them to the correct values/inputs in the application form.
      • Status Tracking:The applicant can track the status of the application, deficiencies issued, CBIC transmission in the system as well as get immediate notifications via E-mail and SMS.
      • Grievances Redressal:For any other queries Exporters/Importers may raise a ticket after login in to theDGFT portal.
      • FAQs related to the new module will be uploaded on DGFT website soon.

Conclusion

DGFT has a perspective of implementation of IEC centric modules wherein from one platform the Importers/Exporters can avail all services of DGFT.

  • 
The taxability dispute on ocean freight has been finally decided by the Gujarat High Court, which held that taxing ocean freight is ultra vires and leads to double-taxation
  • BT Associates is a premier indirect tax consultant in kolkata, delivering high quality services to client in the area of indirect taxation.GST idea is a unit of BT Associates formed to share knowledge on stakeholders. We cover entire gamut from technical papers to recent development including IT under GST

  •  
The taxability dispute on ocean freight has been finally decided by the Gujarat High Court, which held that taxing ocean freight is ultra vires and leads to double-taxation

  • 
The taxability dispute on ocean freight has been finally decided by the Gujarat High Court, which held that taxing ocean freight is ultra vires and leads to double-taxation
    1. Founder Member

    2. Bhaskar Thakkar
    3. Chief Executive officer
    4. BT Associates, India
    5. thakkar@btassociate.com
  • BT Associates is a premier indirect tax consultant in kolkata, delivering high quality services to client in the area of indirect taxation.GST idea is a unit of BT Associates formed to share knowledge on stakeholders. We cover entire gamut from technical papers to recent development including IT under GST