Small scale exemption scheme for tread rubber and similar retreading products - 45/87 - Central Excise - Tariff

Small scale exemption scheme for tread rubber and similar retreading products

Notification No. 45/87-C.E.

Dated 1-3-1987

In exercise of the powers conferred by sub-rule (1) of rule 8 of the Central Excise Rules, 1944, the Central Government hereby exempts tread rubber, camel back, cushion compound, cushion gum, tread gum, tread packing strips, falling within Chapter 40 of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) (hereinafter referred to as the "said goods"), and cleared for home consumption on or after the 1st day of April in any financial year, by a manufacturer from one or more factories, or from any factory by one or more manufacturers, -

(a) in the case of first clearances of the said goods upto an aggregate quantity not exceeding fifty tonnes, from so much of the duty of excise leviable thereon which is specified in the said Schedule as is in excess of the amount calculated at the rate of Rs. 6 per kilogram; and

(b) in the case of clearances (being clearances of the said goods of an aggregate quantity not exceeding one hundred tonnes) immediately following the said clearances of the quantity specified in clause (a), from so much of the duty of excise leviable thereon which is specified in the said Schedule as is in excess of the amount calculated at the rate of Rs. 9 per kilogram.

2. Nothing contained in this notification shall apply if the aggregate quantity of clearances of the said goods, for home consumption, -

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

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

had exceeded two hundred fifty tonnes in the preceding financial year.

3. Where a manufacturer has not cleared the said goods in the preceding financial year, or has cleared the said goods for the first time on or after the 1st day of August in the preceding financial year, the exemption contained in this notification shall apply to such manufacturer, -

(a) if he files a declaration with the Assistant Collector of Central Excise that the aggregate quantity of clearances of the said goods by him, for home consumption, from one or more factories, during the financial year is not likely to exceed two hundred fifty tonne, and

(b) if the aggregate quantity of clearances of the said goods by him, for home consumption, from one or more factories, during the financial year does not exceed two hundred fifty tonnes.

4. Where the said goods have not been cleared from any factory in the preceding financial year, or have been cleared for the first time on or after the 1st day of August in the preceding financial year, the exemption contained in this notification shall not be applicable if the aggregate quantity of clearances of the said goods from such factory by one or more manufacturers, for home consumption, during the financial year, exceeds two hundred fifty tonnes.

Explanation - For the purposes of computing the aggregate quantity of clearances under this notification, the clearances of the said goods which are exempted from the whole of the duty of excise leviable thereon by any other notification (not being a notification where exemption from the whole of the duty of excise leviable thereon is granted based upon the value or quantity of clearances in a financial year) issued under sub-rule (1) of rule 8 of the Central Excise Rules, 1944, and for the time being in force, shall not be taken into account.