Exporters of service have suggested a 10% incentive rate for Covid-19 hit sectors such as hospitality, aviation and tourism, under a new scheme to replace the Services Export from India Scheme (SEIS).
The Services Export Promotion Council is working on a new incentive scheme for select sectors wherein the benefits for exports range from 3-10% unlike the SEIS, which provided duty credit scrips to exporters at the rate of 3-5% of the net foreign exchange earned. "We are working on sector-wise benefits for 12 champion sectors and will soon submit them to the government," said Sunil H Talati, chairman, Services Export Promotion Council.
The government had last year released ?10,002 crore to clear the pending services export incentive dues. Last year, the council had proposed a Duty Remission on Export of Services Scheme to refund taxes to services exporters wherein small and micro exporters would be eligible for a 7% incentive while the large ones would get 4%.
Source : economictimes.indiatimes.com