Thursday, September 3, 2020

No MEIS Incentive w.e.f. 01-Jan-2021

The Ministry of Commerce and Industry has released Notification No. 30/2015-2020 dated 01-Sep-2020, by which it has made the following changes to the Merchant Export Incentive Scheme (MEIS).

1) An exporter cannot claim a total reward under the scheme for exports made between 01-Sep-2020 to 31-Dec-2020 of an amount above Rs. 2 crore.

2) An IEC holder who has not made any exports for one year or more before 01-Sep-2020 or any new IEC registrant after 01-Sep-2020 would not be eligible for any claim under the MEIS scheme.

3) The scheme stands withdrawn with effect from 01-Jan-2021.

4) An exporter may also not be eligible for claim up to Rs. 2 crore, and the ceiling of such amount may further be dropped so as to ensure that the amount allocated by the government for this scheme from September to December 2020 does not exceed Rs. 5000 crore.