I (Meaning and importance of Exports) Unit Structure

6) Octroi and Rail Freight Refund 
– 
The exporters can claim Octroi refund from local authorities. 
Octroi is the levy imposed by local authorities like Municipal 
Corporation on goods entering from outside the local area 
jurisdiction. The exporters can also claim railway freight refund paid 
on transportation of goods by railways from the place of production 
to the ports or docks. 
7) Exemption from Income Tax 
– 
Out Government has provided income tax relief to all 
exporters. Under section 80 HHC, exporters are given 100% 
exemption from the payment of income tax on export profits. 
Similarly, FTZs / EPZs and 100% EOUs enjoy a five year tax 
holiday. 
8) Duty Free Credit 
– 
Exporters get duty free credit on various items depending on 
the FOB value of goods. For example, under Vishesh Krishi Gram 
Udyog Yojana, exporters get 5% duty free credit on FOB value of 
exports. Also service provides are eligible for duty free credit of 

---

231 
10% of FOB earned by them under the “Served from India” 
scheme. 
9) Special Incentives to SEZ Units 
– 
The SEZ units are given special incentives to boost export 
performance. For example a five year tax holiday is given to SEZ 
units. The SEZ units are also given extension in credit realization 
from 180 days to 360 days. 
10) Market Access Initiative 
– 
Under this scheme, Govt. provides financial assistance to 
undertake market studies, and marketing development activities in 
respect of certain „ Focus Products‟ and „Focus Markets‟. The 
assistance is provided to various agencies such as Departments of 
Central and State Governments, Export promotion Councils, 
Individual exporters and others. The amount of assistance ranges 
from 25% to 100% of the total cost depending upon the activity and 
the implementation agency.