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Income-Tax Exemption: In order to promote exports, tax incentives are granted under the Income-Tax Act. The major incentives are :
1) All export profits derived from export of goods or merchandise outside India, except mineral oil and minerals and ores and services are exempted from the income-tax. The benefit is also available to supporting manufacturers/processors, selling goods or merchandise to an Export/Trading House for export.
2) Tax relief is provided on export of computer software and for import of system.
3) A deduction of 50% of the profits from project exports is granted to an Indian company or resident tax payer.
4) Five years tax holiday is provided to the units in Free Trade Zones/Export Processing Zones and 100% Export Oriented Units.
The exporters or manufacturers are required to enclose with their tax return a report in the prescribed form duly signed by a Chartered Accountant.
Commercial Dimension : From the point of view of an exporter, a transaction is complete as soon as the importer either pays for the bill of exchange on its presentation or he unde
Duty Free Licence: Import of raw materials, intermediates, components, consumables, parts, accessories and packing materials may be permitted against a Duty Free Licence. Duty F
Export of Jewellery, Indian Currency, Foreign Exchange, Securities, etc. Taking out of personal Jewellery from India by travellers is regulated under the Baggage Rules fram
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