RoDTEP and GST Refund explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Exporters often ask whether claiming RoDTEP reduces or blocks their GST refund. It does not. RoDTEP remits embedded duties and taxes that are not refunded under any other scheme, while the GST refund returns the IGST paid on the export or the ITC that builds up under LUT. They sit side by side on the same shipping bill. What needs care is the paperwork: the RoDTEP declaration, the e-scrip ledger and, for larger claimants, the annual return.
The ICAI Handbook on Foreign Trade Policy answers the question directly: there is no restriction on exporting goods on payment of GST while claiming RoDTEP. RoDTEP is aimed at embedded duties and taxes not exempted or refunded through other schemes, so it does not overlap with GST refunds. It is claimed by a declaration in the shipping bill, credited as transferable e-scrips in an electronic ledger on ICEGATE (not to the bank), and exporters whose claims exceed ₹1 crore in a year must file an Annual RoDTEP Return.
What each scheme gives back
| RoDTEP | GST refund on exports | Duty drawback | |
|---|---|---|---|
| Aim | Embedded duties and taxes not refunded by other schemes | GST on the export or on inputs | Customs duties on inputs |
| Basis | Percentage of FOB value, notified rates (Appendix 4R; 4RE for SEZ, EOU and Advance Authorisation exports) | IGST paid, or Rule 89(4) formula under LUT | All Industry Rate or brand rate |
| Claimed through | Declaration in the shipping bill | Shipping bill (IGST route) or RFD-01 (LUT route) | Shipping bill |
| Paid as | E-scrip in the ICEGATE credit ledger | Bank credit | Bank credit |
RoDTEP took effect from 01.01.2021, replacing MEIS, and was notified through Notification 19/2021-Customs. Operational details are in Circular 22/2021-Customs.
If both claims are live on your shipments and one of them has stalled, our export refund team can trace the shipping bill through the GST side.
Why there is no conflict with the GST refund
The only statutory bar on combining an export incentive with a GST refund is the third proviso to section 54(3) of the CGST Act. It stops a refund of ITC where the exporter avails drawback of central tax or claims IGST refund on the same supplies. RoDTEP is neither: it is a remission scheme under the Foreign Trade Policy, delivered as scrips, and it covers taxes that GST refunds do not reach.
The FTP Handbook's FAQ confirms this for the IGST route: goods can be exported on payment of GST while claiming RoDTEP. For the LUT route, nothing in section 54(3) or Rule 89 refers to RoDTEP, so the ITC refund is computed in the usual way.
Illustration (round figures): An exporter ships goods with an FOB value of ₹1 crore on payment of IGST.
| Claim | Assumption | Amount |
|---|---|---|
| IGST refund | IGST at an assumed 18% | ₹18,00,000 to the bank |
| RoDTEP | Assumed notified rate of 1% of FOB | ₹1,00,000 as e-scrip |
| Drawback | Assumed AIR of 1.5% | ₹1,50,000 to the bank |
Check the actual RoDTEP and drawback rates for your tariff item; the figures above are only to show that the three claims stack.
How the RoDTEP claim is made
Following the FTP Handbook:
- Declare in the shipping bill. Since 01.01.2021 the exporter must state in each shipping bill whether RoDTEP is claimed. CBIC has specified that if it is not claimed there, no RoDTEP accrues.
- Customs processes it after the EGM is filed, and generates a scroll of admissible amounts.
- Create an e-scrip ledger on ICEGATE (IEC holders registered with a DSC). See ICEGATE e-filing.
- Generate the scrip against selected shipping bills. It can be used to pay basic customs duty on imports or transferred electronically to another party.
The IGST refund on the same shipping bill runs on its own track: GSTR-1 Table 6A, GSTR-3B Table 3.1(b), the manifest and the ICES scroll. See Rule 96: shipping bill as refund application.
The Annual RoDTEP Return
DGFT Public Notice 27/2024-25 (23 October 2024) introduced the Annual RoDTEP Return (ARR) in Appendix 4RR of the Handbook of Procedures. According to the FTP Handbook:
- it applies initially to IECs whose total RoDTEP claims exceed ₹1 crore in a financial year;
- it is filed on the DGFT portal by 31 March of the following year;
- late filing up to 30 June attracts a composition fee of ₹10,000, and ₹20,000 after that;
- without the ARR, RoDTEP scroll-out stops after the grace period, and resumes within 45 days of paying the composition fee.
The ARR does not affect the GST refund, but a stopped RoDTEP scroll is often mistaken for a GST problem. Keep the two separate when you follow up.
Points to watch
- Apparel and made-ups. Goods covered by RoSCTL (HS chapters 61, 62 and 63) do not get RoDTEP; other textiles can.
- Merchant exporters at 0.1%. The FTP Handbook's answer is that RoDTEP is available for goods manufactured in India and directly exported. On the GST side, the concessional purchase has its own refund conditions; see merchant exports at 0.1%.
- EPCG holders. EPCG and RoDTEP can be claimed together. See GST refund under the EPCG scheme.
- Realisation of proceeds. The GST refund on goods is recoverable under Rule 96B if export proceeds are not realised within the FEMA period. Track realisation for every shipping bill.
Need help with RoDTEP-linked exports?
When RoDTEP scrips arrive but the IGST refund does not, the fault almost always lies in the GST data. We reconcile the shipping bills against GSTR-1 and GSTR-3B, clear the ICEGATE errors and follow the refund to your bank. See our GST refund on exports service, or IGST refund support for the payment route.
Key takeaways
- RoDTEP and GST refund can be claimed on the same export; the FTP Handbook says so for the IGST route.
- Section 54(3) bars an ITC refund only for drawback of central tax or a parallel IGST refund; RoDTEP is neither.
- RoDTEP must be declared in the shipping bill and is issued as e-scrips, not bank credit.
- The Annual RoDTEP Return applies to IECs claiming over ₹1 crore a year.
- Drawback, RoDTEP and the GST refund each follow separate tracks; follow up on each separately.
Read next
- Can duty drawback and GST refund both be claimed?
- GST refund for exporters: both routes explained
- IGST refund status on ICEGATE
- IGST refund shipping bill error codes
Disclaimer: Positions stated as on 30 September 2026, based on the CGST Act and Rules as amended, the Finance Act 2026, and the ICAI Handbook on Refunds under GST (January 2026). Verify current notifications before filing.