SSI Exemption to power driven pumps not conforming to BIS standards, till 31-12-2006 - Central Excise - M.F. (D.R.) 352/1/2006-TRU

SSI Exemption to power driven pumps not conforming to BIS standards, till 31-12-2006 M.F. (D.R.) 352/1/2006-TRU Dated 14-8-2006 Government of India Ministry of Finance (Department of Revenue) Central Board of Excise Customs, New Delhi In this year's budget, it had been proposed to withdraw the SSI exemption on power driven pumps designed to handle water, which do not conform to Bureau of Indian Standards (BIS). Though the withdrawal was to be effective from 1-4-2006, because of representations that units needed time to get BIS certification, the date for implementing the proposal had earlier been extended by Notification No. 27/2006-Central Excise, dated 30th March, 2006 till 1-8-2006. 2. In view of representations that there is some delay in getting BIS certification, it has been decided to allow sufficient time to the units likely to be affected by the withdrawal of SSI exemption, to obtain requisite BIS certification. Accordingly, Notification No. 39/2006-Central Excise, dated 10th August, 2006 has been issued to amend Notification No. 8/2003-Central Excise, dated 1st March, 2003 so as to continue Small Scale Industries excise duty exemption on all power driven pumps designed to handle water from the date of publication of this notification in the Official Gazette and till the 31st day of December, 2006. With effect from 1-1-2007, this exemption will not be available to power driven pumps designed to handle water which do not conform to BIS standards. 3. You may apprise all concerned Associations about these changes. All small scale manufacturers of pumps falling under your jurisdiction may be advised to get BIS certification by 31st December, 2006 for their products in order to avail SSI exemption benefit. It should also be made clear to them that the benefit of SSI exemption would not be available after 31-12-2006 to pumps which do not conform to BIS standards. It may be mentioned that on our request, BIS has already issued instructions to its field offices to process applications received from pump manufacturers expeditiously. 4. You may contact the small scale units and find out if there are difficulties in getting BIS certification. If any difficulties are brought to your notice by any Associations/trade bodies in getting BIS certification, you may like to take up the matter with the concerned BIS authority under intimation to the Board. 5. Hindi version will follow.