Excise duty exemption under notification 10/97, Central Excise

[Vivek anandhan]

We are going to despatch our product without payment of duty under notification 10/97(Research Instute - Public funded),  whether we have to reverse 5% of duty under the Cenvat Credit Rule, 2004 (rule 6)

Can any body explain me.

V.Vekanandhan

Sunbeam Generators Pvt ltd.,

Posts / Replies

[Mangesh Lokre]

Yes,

 

You have to reverse an amount ( and not the Duty ) equal to 5% of the Value of the exempted goods, if you have not maintained the seperate account for dutiable and exempted goods.

 

Example : If the Value of the Exempted Goods is Rs 100, then you have to reverse Rs 5.

This will Non Cenvatable and Cost to you. This value will not reflect on the Excise Invoice hence not recoverable from the Customer.

 

[Vivek anandhan]

Thanks  Mr.Mangesh Lokre

[Vivek anandhan]

Thanks  Mr.Mangesh Lokre

[Vivek anandhan]

Thanks  Mr.Mangesh Lokre