Exemption from licensing - 174/86 - Central Excise - Tariff

Contents

Exemption from licensing

Notification No. 174/86-C.E.

Dated 1-03-1986

In exercise of the powers conferred by rule 174A of the Central Excise Rules, 1944, and in supersession of the notifications of the Government of India in the Ministry of Finance (Department of Revenue) No. 2/81-Central Excises, dated the 17th January, 1981, 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, all goods exempted from the whole of the duty of excise leviable thereon on the basis of the value of clearances made in a financial year so long as they remain exempt from the whole of the duty of excise leviable thereon in terms of any notification issued by the Central Government under rule 8 of the said rules or on account of the fact that they are being exported out of India :

Provided that the exemption contained in this notification shall not 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 five lakhs.

Explanation :- For calculating the value of clearances of rupees five lakhs under this proviso, the value of goods cleared for export shall be deemed to be the value of goods cleared for home consumption under the notification referred to therein :

Provided further that 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 also that the exemption contained in this notification shall not apply to goods classifiable under Heading No, 32.04 of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986).

FORM

The Superintendent,

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 five lakhs.

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.

SCHEDULE

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

2. Name and address of the factory.

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

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

5. Value/quantity of the goods (estimated) 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 under which the goods are classifiable.

8. (a) Reference to 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) Basis of exemption of the said notification.

9. Process of manufacturer.

(Signature of the applicant)

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