Captive consuption to be shown in ER-1 Return filed through ACES system -reg

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..... Captive consuption to be shown in ER-1 Return filed through ACES system -reg
Query (Issue) Started By: - vinay wakde Dated:- 29-8-2016 Last Reply Date:- 29-8-2016 Central Excise
Got 3 Replies
Central Excise
We have issued some quantity of finished goods for captive consumption (re-cycle) within the factory purposes, as the quality of said goods is deteriorated and not marketable. How .....

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..... to show the quantity of captive consumption in ER-1 to be filed through ACES system. We have observed that these is no option in the format. Regards, VINAY Reply By KASTURI SETHI: The Reply: Sh.Wakde Ji, Under Rule 12 of Central Excise Rules, 2002, ER-1 has been prescribed for production and removal of excisable goods from the factory. You have not removed the defective finished goods from th .....

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..... e factory. Hence no column. However, there is Rule 12 BB against serial no. 4 but it does not cover your issue. Captive consumption is for intermediate product to be used in the manufacture of final product (dutiable). Here is not such situation. Rule 12 under which ER-1 return is filed has no mention of captive consumption notification no.67/95-CE and other notification amending 67/95-CE. Your bo .....

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..... oks of accounts and other records including RG.1 (Finished Stock Register) are sufficient for accountal of goods used for captive consumption. Reply By Ganeshan Kalyani: The Reply: Sir, excise duty is on removal of goods from the factory premises. When the goods (now recycled) was not being removed at all then there is no removal happened and therefore no excise duty is applicable. Further after .....

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..... recycling the final product would attract excise duty on removal. Thanks. Reply By Ganeshan Kalyani: The Reply: Sir, I agree with Sri Kasturi Sir's reply. It enriched my knowledge. Thanks.
Discussion Forum - Knowledge Sharing .....

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