Govt May Hike Exporter Tax Refund Outlay

Mint · business

The Indian government is considering a significant increase in tax refunds for exporters, potentially raising the outlay to nearly ₹2 trillion over the next five years. This move aims to alleviate liquidity issues and cushion exporters from global economic challenges and geopolitical conflicts. Proposals include a substantial hike for the RoDTEP scheme and an increase for RoSCTL, with the finance ministry reviewing the plans. The government seeks to keep exports zero-rated, aligning with international practices by refunding embedded taxes.