Job Work for Exempted SSI Goods: Exemption scheme - 83/94 - Central Excise - Tariff

Job Work for Exempted SSI Goods: Exemption scheme

Notification No. 83/94-CE, Dated 11-4-94

In exercise of the powers conferred by subsection (1) of section 5A of the Central Excises and Salt Act, 1944 (1 of 1944), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts excisable goods

i. of the description specified in the Annexure to the notification of the Government of India in the Ministry of Finance (Department of Revenue) ¹Nos. 8/2003-Central Excise, dated the 1 st March, 2003 and ¹9/2003-Central Excise, dated the 1 st March, 2003, or

ii.²falling under heading 3904 relating to plastic material commonly known as polyvinyl chloride compounds (PVC compounds) and goods falling under heading 8413 of the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986),

⁴[(iii) falling under tariff item 3901 30 00 of the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) relating to material commonly known as Ethylene vinyl acetate copolymers (EVA compounds).]

(hereinafter referred to as the specified goods) manufactured in a factory as job work, from the whole of the duty of excise leviable thereon, which is specified in the said Schedule, subject to the condition that the supplier of the raw materials or semi-finished goods gives an undertaking to the proper officer having jurisdiction over the factory of the job worker-

           ³a. that the specified goods received from the job worker shall be used in the factory of such supplier in or in relation to the manufacture of specified goods which are exempted from the whole of the duty of excise leviable thereon under the aforesaid notifications, or goods falling under headings 6401 to 6405, cooking or heating apparatus of a kind used for domestic purposes, non electric, and parts thereof, of copper falling under sub-heading 7418 19 or 7419 99, headings 8436, 8437, 8714 or 9608 or tariff item 7321 90 00, heading 8424 (except mechanical appliances which are not of a kind used in agriculture or horticulture), tariff items 8481 80 41, 8481 90 10, drawing and mathematical instruments falling under sub-heading 9017 20 or tariff item 8486 40 00 or kerosene pressure lanterns and parts thereof including gas mantles for use in kerosene pressure lanterns falling under heading 9405 of the said Schedule, as the case may be; and

          b. that in the event of his failure to do so, he undertakes to pay excise duty, if any, payable on such goods, but for the exemption contained in this notification, as if such goods were manufactured by the said supplier and sold on his own account:

          Provided that the waste or bye product, if any, generated during the process of such job work shall also be exempt from the whole of the duty of excise leviable thereon under the said Schedule if-

                    i. such waste or bye-product is used by the job worker for the manufacture of the said specified goods within his factory; or

                    ii. returned to the said supplier and are used in the factory of the said supplier in or in relation to the manufacture of the specified goods.

Explanation : For the purposes of this notification, the expression "job work" means processing of or working upon raw materials or semi-finished goods supplied to the job worker, so as to complete a part or whole of the process resulting in the manufacture or finishing of an article or any operation which is essential for the aforesaid process, and the expression "job worker" shall be construed accordingly.

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Note :

( As amended by Notification 18/97-CE, Dated 10-4-1997; Notification 39/97-CE, Dated 30-6-1997; Notification. No. 7/98-CE, Dated 2-6-1998; Notification. No. 18/99-CE, Dated 1-4-1999; Notification. No. 36/99-CE, Dated 26-8-99, Notification. No. 31/2000-CE, Dated 31-3-2000; Notification No. 17/2001 dated 31-3-2001; Notification No. 24/2002 dated 28-3-2002;  and

1. For the figures, words and letters "8/2002-Central Excise, dated the 1 st March, 2002 and 9/2002-Central Excise, dated the 1 st March, 2002", the figures, words and letters "8/2003-Central Excise, dated the 1 st March, 2003 and 9/2003-Central Excise, dated the 1 st March, 2003" has been substituted vide Notification No. 16/2003 CE dated 1/3/2003

2. Has been substituted vide Notification No. 20/2006 CE dated 1/3/2006

3. Has been substituted vide Notification No. 48/2006 CE dated 30/12/2006

4. Inserted vide notification no. 7/2009 CE dated 7-7-2009