Restoration of RoDTEP for Advance Authorisations (AAs) holders, Special Economic Zones (SEZs) and Export Oriented Units (EOUs) - 26 May, 2025
The DGFT has restored the support under RoDTEP scheme for exports of products manufactured from AAs, SEZs and EOUs with effect from 1 June 2025. The rates are available in Appendix RE in alignment with new HS codes as per the Finance Act, 2025 on the DGFT portal.
The taxpayer contended that section 56(2)(viia) was introduced as an anti-abuse provision. The legislative history links section 56(2)(viia) to section 56(2)(vii)—which clearly applies only to capital assets. Accordingly, section 56(2)(viia) should not apply to genuine business transactions involving trading stock.
The Mumbai Bench of the Tribunal accepted the taxpayer’s interpretation, relying on legislative intent, CBDT circulars, and judicial precedents.
