SEIS Scheme (Service Export from India Scheme) was introduced under the Foreign Trade Policy 2015-2020 to provide the incentive of 3% to 7% on net foreign exchange earned in the form of duty credits. The goal of introducing SEIS Schedule is to promote the export of notified services on the international market. Service providers of notified services, as per Appendix 3D, are only eligible to avail the benefits under the SEIS Scheme.
The government had suspended the issuance of benefits under various export incentive programs including the SEIS scheme due to the allocation process.
[Watch this short video on the SEIS Scheme for 2019-2020 which explains Eligible services for the benefits under SEIS Scheme, benefit rates, and procedure to avail the benefits for FY 2019-2020.]
SEIS schedule for the financial year 2019-2020
The service industry has been greatly affected during the pandemic and to provide some relief to the service exporters, the Government of India announced the benefits under the SEIS scheme to be provided for the exports carried out in the financial year 2019-20.
On September 9, 2021, the Government of India decided to release Rs. ₹ 56,027 to provide fixed benefits under incentive schemes. For the SEIS scheme, Rs 10,002 Cr has been allocated for the financial years 2018-19 and 2019-20.
According to notification no. 29/2015-2020, 23rd September 2021, the SEIS schedule for the financial year 2019-20 has been announced. There are various services that have been excluded from the eligible list of services for the benefits and also the benefit rates have been reduced for some.
In this article, we will discuss the SEIS schedule for FY 2019-20.
List of the services exempted from the benefits during the financial year 2019-2020
The following list of positions has been removed from the list of notified positions eligible for the 2019-2020 financial year under the SEIS schedule.
Reduction of contribution rates
The incentive rate under the SEIS scheme for the financial year 2019-2020 has been announced in the range of 3% to 5% on net foreign exchange earnings, which was previously 5% to 7% on net foreign exchange earnings. The reimbursement rate would be reduced by 2% compared to the previous year's rate.
List of the eligible posts under the SEIS Scheme for the financial year 2019-2020
See the list below notified for the financial year 2019-2020 with concessional rates of 3% to 5% –
To avail the benefits under the SEIS scheme, error free documentation is the important part, prepare the below list of documents well in advance before proceeding with the application –
Documents required for SEIS application for financial year 2019-20
List of documents required for the SEIS scheme
- Importer Exporter code (IEC code)
- Application Form ANF-3B (Aayat Niryat Form)
- CA certificate
- Statement showing the relationship between invoices and FIRC's (Table No. 4)
- List services
- Self-attested copy of invoice and FIRC
- DGFT Digital Signature Certificate (DSC)
- RCMC copy
- Necessary declarations
Procedure for availing the benefits under SEIS Scheme for the financial year 2019-2020
According to the DGFT notification, the SEIS scheme for the financial year 2019-20 has been notified. Important points before proceeding to apply under the SEIS Scheme
- Total entitlement is limited per IEC to Rs. 5 Cr for the financial year 2019-2020.
- To avail the benefits under the SEIS scheme for the financial year 2019-2020, the online application must be made on the DGFT portal as per ANF 3B by 31.12.2021.
- There will be no provision for Late cut.
- The application according to the SEIS Scheme is time-barred after 31.12.2021.
Step 1 : – Visit DGFT Portal – https://www.dgft.gov.in/CP/
Step 2: – Select SEIS Scheme from the Services tab and log into the DGFT Portal.
Step 3:– Login with valid credentials and start a new application.
Step 4:– Below screen will be displayed for online application under SEIS Scheme for financial year 2019-2020.
Step 5:– There would be 7 tabs in the online application screen –
Applicant Information – The first tab is applicant information, in this section the applicant's name, IEC number, company name, company address would be automatically filled in. Few details need to be filled by the applicant.
RCMC – A valid copy of RCMC (Registration Cum Membership Certificate) is required to apply for SEIS benefits.
Net currency information – All invoice information must be completed from 1St April 2019 to 31St March 2020.
All other information must be completed; the necessary attachment must be made before submitting the application.
Accept the conditions on the declaration page, pay the state fee and submit the application.
[To know the complete procedure to avail the benefits under SEIS Scheme in details visit on – SEIS Scheme (Service Export from India Scheme)]
How can we help you claim SEIS Scheme benefits from DGFT?
We at Afleo consultants are India's leading import-export consultants, with rich experience of 10+ years in the same domain. We specialize in all DGFT and customs related matters – Export Incentive Schemes like RoDTEP, MEIS, SEIS, Import Permits like Advance License, EPCG, Status Certification AEO/Star Export House Certification, Duty Drawback, etc.
Our experts would perform the following tasks for you under the SEIS Scheme –
- We conduct extensive consultations with our customers to understand the nature of their services and to determine whether they will be eligible for claims or not.
- We help our clients to prepare documents by providing hassle-free services.
- Prepare and submit online applications to obtain the license under the SEIS scheme.
- Dedicated follow up team at DGFT department for speedy processing of SEIS.
- Registration of the License is done at customs from our office.
- We also assist with the sale of licenses at the best available price, provide assistance with documentation for the transfer of license to the buyer.
- Also do the online transfer by registering the details on the DGFT website.
- We carry out the entire process in a time-bound manner.
[Not sure whether your company is taking all the Export incentives notified by the Govt? – Refer to our article on “18 latest Export promotion schemes/Export Incentives in India“]
We have a presence in PAN India.
We would appreciate your comments and views on the above topic.
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