{"id":839,"date":"2022-07-21T20:08:27","date_gmt":"2022-07-21T20:08:27","guid":{"rendered":"https:\/\/www.enrichservices.in\/l\/?p=839"},"modified":"2022-07-21T20:08:27","modified_gmt":"2022-07-21T20:08:27","slug":"what-is-epcg-invalidation","status":"publish","type":"post","link":"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/","title":{"rendered":"What is EPCG Invalidation?"},"content":{"rendered":"

\"What<\/p>\n

Hey, in our previous blogs, we discussed the EPCG scheme, and we generally take EPCG license to import Duty-free Capital goods (i.e. Machinery). Do you know Capital goods can also be procured indigenously (locally) under the EPCG scheme? Let\u2019s see how to procure Machinery under the EPCG scheme locally: –<\/p>\n

Anybody who wants to import Capital goods under the EPCG scheme usually applies for an EPCG license to DGFT, and the same will be produced at Customs for Duty-free import of Capital goods. If any industry is not having GST on their end product, then they may not be able to take the ITC \/ refund of GST incurred on Machinery purchased locally. Even if they have less percentage of GST, it takes a long time to take the ITC \/ refund of this GST. Such industries can procure the Machinery under invalidation of the EPCG scheme to avail of the GST refund benefit under Deemed export category.<\/p>\n

In such cases, the applicant must first apply for an EPCG license and, after that, have to approach DGFT for issuance of invalidation by executing Bond & BG as applicable. DGFT will invalidate the EPCG license for imports and issue EPCG invalidation in the name of a domestic supplier by endorsing the machinery details.<\/p>\n

While supplying the Machinery, the supplier must mention the EPCG, invalidation numbers, and dates on their supplier invoices. Such types of supplies are treated as Deemed export supplies per para 7.02 (c) of Chapter 7 of Foreign Trade Policy of 2015-20 and can also avail deemed export benefits as per para 7.03 of FTP of 2015-20.<\/p>\n

For calculation of Export obligation in case of the domestic souring of Machinery, EO shall be reckoned concerning notional Customs duties saved on FOR value.<\/p>\n

Top DGFT Consultants<\/a><\/span><\/p>\n

Authors Bio:-<\/strong><\/span><\/p>\n

Sudheer Varma Vegesna\u00a0\u00a0<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Hey, in our previous blogs, we discussed the EPCG scheme, and we generally take EPCG license to import Duty-free Capital goods (i.e. Machinery). Do you know Capital goods can also be procured indigenously (locally) under the EPCG scheme? Let\u2019s see how to procure Machinery under the EPCG scheme locally: – Anybody who wants to import […]<\/p>\n","protected":false},"author":1,"featured_media":842,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[291,356,322,368,376,323,230,166,165,373,372,214,212,213,374,369,370,131,325,359,362,360,43,215,371,353,375,377,357,358],"yoast_head":"\nWhat is EPCG Invalidation - Enrich Professional services?<\/title>\n<meta name=\"description\" content=\"Anybody who wants to import Capital goods under the EPCG scheme usually applies for an EPCG license to DGFT, & the same will be produced at Customs\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"What is EPCG Invalidation - Enrich Professional services?\" \/>\n<meta property=\"og:description\" content=\"Anybody who wants to import Capital goods under the EPCG scheme usually applies for an EPCG license to DGFT, & the same will be produced at Customs\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\" \/>\n<meta property=\"og:site_name\" content=\"Enrich Services\" \/>\n<meta property=\"article:published_time\" content=\"2022-07-21T20:08:27+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.enrichservices.in\/l\/wp-content\/uploads\/2022\/07\/EPCG-302-\u00d7-472-px.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"604\" \/>\n\t<meta property=\"og:image:height\" content=\"944\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\">\n\t<meta name=\"twitter:data1\" content=\"2 minutes\">\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/#website\",\"url\":\"https:\/\/www.enrichservices.in\/l\/\",\"name\":\"Enrich Services\",\"description\":\"Just another WordPress site\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":\"https:\/\/www.enrichservices.in\/l\/?s={search_term_string}\",\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en\"},{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/#primaryimage\",\"inLanguage\":\"en\",\"url\":\"https:\/\/www.enrichservices.in\/l\/wp-content\/uploads\/2022\/07\/EPCG-302-\\u00d7-472-px.jpg\",\"contentUrl\":\"https:\/\/www.enrichservices.in\/l\/wp-content\/uploads\/2022\/07\/EPCG-302-\\u00d7-472-px.jpg\",\"width\":604,\"height\":944,\"caption\":\"Hey, in our previous blogs, we discussed the EPCG scheme, and we generally take EPCG licence for the import of Duty-free Capital goods (i.e. Machinery). Do you know Capital goods can also be procured indigenously (locally) under the EPCG scheme? Let\\u2019s see how to procure Machinery under the EPCG scheme locally: - Anybody who wants to import Capital goods under the EPCG scheme usually applies for an EPCG licence to DGFT, and the same will be produced at Customs for Duty-free import of Capital goods. If any industry is not having GST on their end product, then they may not be able to take the ITC \/ refund of GST incurred on Machinery purchased locally. Even if they have less percentage of GST, it takes a long time to take the ITC \/ refund of this GST. Such industries can procure the Machinery under invalidation of the EPCG scheme to avail of the GST refund benefit under Deemed export category. In such cases, the applicant must first apply for an EPCG licence and, after that, have to approach DGFT for issuance of invalidation by executing Bond & BG as applicable. DGFT will invalidate the EPCG licence for imports and issue EPCG invalidation in the name of a domestic supplier by endorsing the machinery details. While supplying Machinery, the supplier must mention the EPCG, invalidation numbers, and dates on their supplier invoices. Such types of supplies are treated as Deemed export supplies as per para 7.02 (c) of Chapter 7 of Foreign Trade Policy of 2015-20 and can also avail deemed export benefits as per para 7.03 of FTP of 2015-20. For calculation of Export obligation in case of the domestic souring of Machinery, EO shall be reckoned concerning notional Customs duties saved on FOR value.\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/#webpage\",\"url\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\",\"name\":\"What is EPCG Invalidation - Enrich Professional services?\",\"isPartOf\":{\"@id\":\"https:\/\/www.enrichservices.in\/l\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/#primaryimage\"},\"datePublished\":\"2022-07-21T20:08:27+00:00\",\"dateModified\":\"2022-07-21T20:08:27+00:00\",\"author\":{\"@id\":\"https:\/\/www.enrichservices.in\/l\/#\/schema\/person\/6409a474e6a5798f125b3c55b3eaf6e6\"},\"description\":\"Anybody who wants to import Capital goods under the EPCG scheme usually applies for an EPCG license to DGFT, & the same will be produced at Customs\",\"breadcrumb\":{\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/#breadcrumb\"},\"inLanguage\":\"en\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"item\":{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/\",\"url\":\"https:\/\/www.enrichservices.in\/l\/\",\"name\":\"Home\"}},{\"@type\":\"ListItem\",\"position\":2,\"item\":{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\",\"url\":\"https:\/\/www.enrichservices.in\/l\/blog\/what-is-epcg-invalidation\/\",\"name\":\"What is EPCG Invalidation?\"}}]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/#\/schema\/person\/6409a474e6a5798f125b3c55b3eaf6e6\",\"name\":\"admin\",\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\/\/www.enrichservices.in\/l\/#personlogo\",\"inLanguage\":\"en\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/f3e0b9dfd4109b47dccd80ae363fbaa3?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/f3e0b9dfd4109b47dccd80ae363fbaa3?s=96&d=mm&r=g\",\"caption\":\"admin\"},\"sameAs\":[\"http:\/\/www.enrichservices.in\/l\"]}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","_links":{"self":[{"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/posts\/839"}],"collection":[{"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/comments?post=839"}],"version-history":[{"count":1,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/posts\/839\/revisions"}],"predecessor-version":[{"id":843,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/posts\/839\/revisions\/843"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/media\/842"}],"wp:attachment":[{"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/media?parent=839"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/categories?post=839"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.enrichservices.in\/l\/wp-json\/wp\/v2\/tags?post=839"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}