1) We are registered under Central Excise Manufacture, we have now purchased non excisable dies and moulds on behalf of our customer for production of there casting. now we intend to sell the same to our non excisable customer. should we charge him the excise amount and make the invoice or can we sell him the same without charging excise amount.

2) can we add some margin amount ( as trader) and make the nonexcisable invoice

MY CLIENT HAS AN SSI UNIT. THE ITEM THEY WERE MANUFACTURING WAS EXEMPTED WIDE NOTIFICATION. THERE TURN OVER AS ON 26TH FEB 2010 WAS 2.4 CR. IN THE CURRENT BUDGET THEIR ITEM'S EXEMPTION HAS BEEN OMITTED. DO THEY IMMEDIATELY NEED TO APPLY FOR EXCISE REG CODE OR THEY NEED TO APPLY ONLY WHEN IF THEIR TURNOVER FROM 27TH FEB 2010 TO 31ST MARCH 2010 EXCEEDS 150 LKS.

We have manufacturing unit.I want to know what is applicibility of fileing er4,er5,er6 and er7?


Thanks
Sandeep

Dear experts

Our cutomer have lost pink copy (Duplicate for transporter) of excie Invoice.Now they are asking another copy of for availment of cenvat.We tell them to avail credit on a original white invoice as (as rule indicate).But they are asking another original white copy for availiment of cenvat.The customer is valuable for us.We have computer generated invoice system.Can we print and send another original copy with remakrs of Duplicate by pen?

Pl guide me for further procedure.

SANDEEP

is it true dat................. exemption of 214/86 is availaible to job worker only if it is an intermediate goods for principal manufacturer?


or it is availaible irrespective of dat d goods r final product or intermediate goods 4 principal mfrer........

1) We are registered under Central Excise Manufacture, we have now purchased non excisable dies and moulds on behalf of our customer for production of there casting. now we intend to sell the same to our non excisable customer. should we charge him the excise amount and make the invoice or can we sell him the same without charging excise amount.

2) can we add some margin amount ( as trader) and make the nonexcisable invoice

XYZ Pvt. Ltd. is a manufacturer of car metal components. The parts of the car metal components are manufactured through using of a special type of “Dye”. During the year 2007-08, invoice raised against the customer for one component in the following prescribed format.

Material 50000.00
Labour charges 45000.00
Power and fuel 15000.00
Tool (Dye) depreciation 5000.00
Over hands 5000.00
Total costs 120000.00
Add: excise duty @8% 9600.00
129600.00
Add: VAT @4% 5184.00
Invoice value 134784.00

During the year 2008-09, there was a mutual agreement between the one of the customer and XYZ Ltd. was, the “Dye” being supplied by the customer to XYZ ltd, and it request not to charge depreciation. Accordingly, the XYZ Ltd. revise the invoice in the following format for a customer from 1\4\2008-31\3\09

Material cost 50000.00
Labour charges 45000.00
Power & fuel 15000.00
Over heads 5000.00
Total costs 115000.00
Add: excise duty @8% 9200.00
124200.00
Add: VAT @4% 4968.00
Invoice value 129168.00

Since there was a lower collection of excise duty during the year 2008-09, the excise officer came to know the agreement between the customer and XYZ Ltd about supply of “Dye” and consequent cost reduction (& excise duty collection).
On1/4/2009 the Central Excise Officer issued a ‘Show Cause’ Notice and stating that since the “Dye” was supplied by customer, add a Tool Amortisation cost on a reasonable estimated basis and arrive a assessable value for excise duty purpose and pay excise duty on that.

For example:

Material 50000.00
Labour 45000.00
Power & fuel 15000.00
Over heads 5000.00
115000.00
(+)Tool amortisation cost 5000.00
Assessable value 120000.00
(+) Excise duty @ 8% 9600.00
129600.00
(-)Amort. cost 5000
124600.00
(+) VAT @ 4% 4984.00
Invoice value 129584.00

Based on the above Notice, there was a huge demand from Excise Department to pay Excise duty for the year 2008-09.

As an Indirect consultant Advice on the above issue.

My sister concern import some machines at free of cost by paying full custom duty and frieght charges on it. Now they want to sell to us after some modifications on it. We are only trader not manufacturer. but they want to charge excise duty from us on the value which we are supposed to sell to our customer. Kindly clarify whether they should charged excise duty on whole price or on only modification charges paid by them

1) If a new unit is set up in HP/uttrakhand which is exempeted from excise duty under Notification no. 50/2003 whether such unit is required to take registration under excise or not ?
2) Whether any certificate is being issued by the excise deptt. to confirm that such unit is exempt from excise duty under said notification.

Can anyone tellme how to get refund of cenvat credit. At present what we do is file for the rebate claim on material exports made onpayment of duty.

But the cenvat credit lying inbooks are very prolonged period is there any other way out to get the refund for the unutilised cenvat credit.

Regards

Girish Mani