Motor vehicle chassis - Admissibility to Notification Nos. 241/86-C.E. and 279/86-C.E. - Central Excise - B.19/9/86-TRU

Motor vehicle chassis - Admissibility to Notification Nos. 241/86-C.E. and 279/86-C.E. Letter No. B.19/9/86-TRU Dated 4-9-1986 Government of India Ministry of Finance (Department of Revenue) New Delhi Attention is invited to notification No. 241/86-C.E., dated 3-4-1986 and 279/86-C.E., dated 24-4-1986 under which separate concessional rates of excise duty for body building of motor vehicles have been prescribed for independent body builders. 2. Neither of these notifications is applicable to a manufacturer of chassis. The concessions are available for independent body builders in the case of duty paid chassis. For this purpose, all old chassis with registration as well as new chassis with the provisional RTO registration may be taken as duty paid. However, care should be taken to ensure that no credit of duty paid on the chassis is taken under Rule 56A or 57A of the Central Excise Rules. The question of charging duty again on the chassis from the independent body builders in such cases would not arise.