02 February 2013
Q. My company sell Machinery (Final Product) to Bangalore Based Company which is exempted from Excise due to STP, but our company based on NCR. We don’t have such exemptions. Sir I want to know how we will pass the Excise Duty to that company. OR Accounting Treatment of this transaction. That company not ready to pay Excise duty.
06 February 2013
Supplies of goods manufactured in India from Domestic Tariff Area (DTA) to EOUs/STPs/EHTPs/BTPs are regarded as ‘deemed export’ and are eligible for the deemed export benefits specified under Para 8.3 of Foreign Trade Policy (FTP) [Para 6.11 (a) read with Para 8.2 (b) of the FTP]. DGFT has clarified that the scope of such supplies for deemed export benefits is only for those goods which are covered under para 6.6.1 of HandBook of Procedure (HBP) [DGFT’s Policy circular No. 23/2008 dated 28.07.2008].
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