Posted On 17 Jul 2015
The Automatic tax refund system (drawback) benefits exporters because it has the resources obtained by safeguards.
According to President Rafael Correa, this will have an annual cost of $ 256 million, an amount obtained by safeguards from its entry into force from March of this year until June 2016.
The Ecuadorian Federation of Exporters (Fedexpor), believes that the initiative is beneficial because it is automatic. There are no complex procedures or calculations that slow returns. The amount -that in no case exceeds 5% – is set by the exported amount.
The resolution of the Committee of Foreign Trade (Comex) provides compensation for exports from February to December of this year. But the private sector requests its extension until 2016.
The regulation is in force since June 21 and has minor procedural flaws. Several companies, for example, can not receive the return because, according to the system of the National Customs Service, these have debts with the state. This despite the fact that the obligations are prescribed and are not valid.