published August 02, 2016
 1470130411Appendix 3D SEIS.pdf

The five year Foreign Trade Policy (FTP) 2015-2020 introduced the ‘Service Exports from India Scheme (SEIS)’. This reward scheme came into force from the date of notification i.e. 1.04.2015.

The SEIS is to encourage export of notified services from India. The motto of the scheme is to provide rewards to exporters to offset infrastructural inefficiencies and associated costs involved and to provide exporters a level playing field. Also in order to give boost to exports from SEZ, the FTP has extended the reward scheme to units located in SEZs.

Served from India Scheme (SFIS) is replaced by Service Exports from India Scheme (SEIS) .The intention is to provide benefits to all service providers located in India, instead of Indian Service Providers. Earlier, under SFIS the benefit was not available for foreign brand of the Indian companies.

Incentives: Duty Credit Scrips shall be granted as rewards under Service Export from India Scheme (SEIS). The Duty Credit Scrips and goods imported/ domestically procured against them shall be freely transferable. The Duty Credit Scrips can be used for the following requirement.

Entitlement under SEIS: Service Provider of eligible services shall be entitled to Duty Credit Scrips at notified rates as per appendix 3D (attached here). The rate of reward under SEIS would be based on Net Foreign Exchange.


Ineligible categories

Foreign exchange remittances other than those earned for rendering of notified services and following shall not be taken in to account for calculation of entitlement:

Remittances through Credit Card and other instruments for SEIS: – Free Foreign exchange earned through international credit cards and other instruments, as per permitted by RBI shall also be taken into account for computation of value of exports

© 2015 Ashu Dalmia & Associates Chartered Accountants