Foreign Trade Policy: New Rules for RoSCTL Scheme Claims 2024

The Rebate of State and Central Taxes and Levies (RoSCTL) scheme is critical for India’s textile and apparel exporters. While RoDTEP covers most sectors, RoSCTL is specifically designed to handle the nuances of Chapters 61, 62, and 63 of the ITC (HS) code. This scheme ensures that embedded taxes—such as electricity duty, stamp duty, and VAT on fuel—are remitted to the exporter to ensure a level playing field. Following recent administrative updates, the Ministry of Textiles and DGFT have streamlined the issuance of duty credit scrips. It is important to note that RoSCTL benefits are not available for products exported under the RoDTEP scheme, as the two are mutually exclusive. Exporters must ensure their shipping bills correctly reflect the intent to claim RoSCTL at the time of filing, as per DGFT Public Notice guidelines. Failure to select the correct scheme code can lead to irreversible loss of benefits. ## Key points for textile exporters - **Validity:** RoSCTL scrips are generally valid for one year from the date of issue. - **Transferability:** Scrips can be transferred to other importers, providing liquidity. - **Compliance:** Ensure all E-BRCs are linked to the shipping bills to avoid recovery proceedings. Manufacturers should audit their past year's filings to ensure no eligible exports were missed in the duty remission cycle.