Exemption from operation of Rule 174 to exempted goods - 11/88 - Central Excise - Non Tariff

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Exemption from operation of Rule 174 to exempted goods

Notification No. 11/88-C.E. (N.T.)

Dated 15-4-1988

In exercise of the powers conferred by rule 174A of the Central Excise Rules, 1944, the Central Government, being satisfied that it is necessary and expedient in the public interest so to do, hereby exempts from the operation of rule 174 of the said rules, goods specified in the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), so long as the said goods are chargeable to nil rate of duty or remain exempt from the whole of the duty of excise leviable thereon :

Provided that where the goods are chargeable to nil rate of duty or where the exemption from the whole of the duty of excise leviable thereon is granted, -

(a) based on the value of the goods; or

(b) based on the process of manufacture of the goods; or

(c) on the ground that appropriate duty of excise has been paid in respect of the raw materials used in the manufacture of the goods; or

(d) based on value or quantity of clearances of the goods made in a financial year; or

(e) subject to conditions, if any, specified in the said Schedule in respect of such goods; or

(f) subject to conditions, if any, specified in any notification issued under sub-rule (1) of rule 8 of the said rules,

the manufacturer makes a declaration and gives an undertaking as specified in the Form annexed hereto while claiming exemption for the first time under this notification and thereafter before the 15th day of April of each financial year :

Provided further that where the exemption from the whole of the duty of excise leviable on the said goods is granted, based on the value of clearances made in a financial year, nothing in this notification shall apply if the aggregate value of the said goods cleared, -

(i) by a manufacturer from one or more factories, or

(ii) from any factory by one or more manufacturers,

for export or for home consumption or both, either had exceeded during the preceding financial year or exceeds during the current financial year, rupees ten lakhs.

FORM

The Assistant Collector,

Central Excise

I/We ........... declare that to the best of my/our knowledge and belief the information furnished in the Schedule below is true and complete.

I/We undertake to apply for a Central Excise Licence in the proper form as soon as value of the goods, mentioned in the said Schedule cleared in a financial year, reaches rupees ten lakhs.

I/We undertake to apply for a Central Excise Licence in the proper form as soon as the goods mentioned in the Schedule become chargeable to duty.

I/We undertake to maintain such records and follow such procedure as may be prescribed by the Collector in relation to the exempted goods.

I/We also undertake to intimate any change in the information furnished in the said Schedule.

THE SCHEDULE

1. Name(s) and address(es) of the proprietors/all partners/ Directors of the company owning the factory.

2. Name and address of the factory.

3. Names and adddresses of other factories/manufacturers (producing such goods) in whom the manufacturer claiming the exemption has proprietory interest.

4. Full description of the goods (heading wise) manufactured by the factory.

5. Value/quantity of the goods cleared during the preceding financial year.

6. Value/quantity of the goods estimated to be cleared in the current financial year.

7. Heading No. or sub-heading No. of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) under which the goods are classifiable.

8. (a) Reference to the heading/sub-heading of the said Schedule or the notification issued under rule 8 of the Central Excise Rules, 1944 (under which the goods are exempted from the whole of the duty of excise leviable thereon).

(b) Grounds of exemption under the said heading/sub-heading or the said notification.

9. Process of manufacture.

(Signature of the applicant)

Note.- Portion of the Form/Schedule that is not relevant to a particular manufacturer may be deleted.