The duty credit under the scheme shall be calculated by taking into account the deemed import content of the said export product as per SION and the basic custom duty and surcharge thereof payable on such deemed imports. The value addition achieved by export of   such product shall also be taken into account while determining the rate of duty credit under the scheme. 

Validity

The DEPB shall be valid for a period of 12 months from the date of issue. 

Revalidation

No revalidation shall be granted beyond the original period of validity of DEPB. 

Application in prescribed form

An application for grant of credit   under DEPB may be made  to  the  licensing authority concerned in the prescribed form in duplicate alongwith the following documents:

• Bank Receipt (in duplicate) / Deemand Draft evidencing payment of application fee at   the rate of Rs. 5 per thousand subject to minimum of Rs. 200.
• E.P. Copy of DEPB shipping Bills.
• Bank Certificate of Exports.
• Self attested copy of valid Registration cum Membership Certificate.
• Exporter Importer Profile, in duplicate.

The  application  may  be made by  the Registered Office or   Head Office or  a  Branch Office  or manufacturing units of the eligible exporter to the  licensing   authority concerned. 

Time Period

The application for obtaining the credit should be filed with in a period of 180 days from the date of exports or within 90 days from the date of realisation, whichever is later,reckoned from the last date of realisation / exports, in respect of shipments for which the claim have been filed. 

Frequency of Application

The applicant may file one or  more applications subject to the condition that   each  application  shall contain not more than 25 shipping bills.   All  the shipping  bills   in  any one application must   relate  to exports made from one Custom House only. This limit shall not apply to the applications filed through EDI mode.

The  DEPB  shall  be   issued  with  single port  of   registration, which will be the port from  where the exports have been effected.

Wherever provisional shipment has been   allowed  by  the  customs   authorities, DEPB   against  such exports  shall  be   issued  only   after  the  release of  the shipping   bill  by   the Customs. In such cases, application for DEPB shall be filed within 180 days from the date of release of such shipping bill. 

Verification by Customs

The licensing authority  shall ensure that while issuing  the DEPB, the shipping bill no.(s)  and date(s), FOB value in  Indian rupees as  per shipping bill(s) and  description  of   export   product are endorsed on the DEPB. Before allowing the imports against DEPB, the Customs shall verify that  the details of the exports as given on the DEPB are as per their records. 

Transferability

The DEPB and/or the items imported against it are freely transferable. The transfer of DEPB shall however be for import at the port where exports have been made. However, imports from a port other than the port of export shall be allowed under TRA facility as per the terms and conditions of the notification issued by Department of Revenue. 

Applicability of Drawback

The exports made under the DEPB Scheme shall not be entitled for drawback. The additional customs duty paid in cash on inputs under DEPB shall be adjusted as CENVAT Credit or Duty Drawback as per Rules framed by the Deptt. of Revenue. However, where the Additional customs Duty is adjusted from DEPB, no benefit of CENVAT / Drawback shall be admissible.