Exporters, particularly those months SME segment, have been badly hit by COVID-19 pandemic as not only their production has come to a grinding halt due to lock down but several are also facing cancellation of their orders by overseas buyers.
Under the special drive launched by Central Board of Indirect Taxes and Customs (CBIC), all refund and drawback claims of exporters pending upto April 7 will be disposed within the current month. The drive shall be in place till April 30.
It is expect we'd the exporters have refund and drawback claims amounting to about Rs 10,000 crore. It's immediate refund is expected to provide much needed liquidity to exporters who are facing existential problems with several also looking to wind up operations.
The CBIC drive follows government announcement early we this week to issue all the pending income-tax refunds up to Rs 5 lakh, and all pending GST and Custom refunds. The decision for GST and Customs refund would provide benefit to around 1 lakh business entities, including MSMEs, a government statement had said.
CBIC has directed that officers of the level of principal commissioners and special commissioners to personally monitor the performance of the refund drive closely on a daily basis and suitably guide the officers convened to maximise the disposal without delays. However, the officers would be guided by all legal provisions, notifications, circulars and instruction while processing refunds.
All communication between officers and exporters would be done through email as part of efforts to minimise physical contact during COVID-19 pandemic.
