Exit from eou

This query is : Resolved

Vipul Adhvaryu (Querist)
Follow

05 October 2011 Dear Experts,

The site of CA Clubindia has been highly resourceful and helpful in variety of issues related to corporate FAQ's.

I would be highly grateful, if you can guide me on platforms/sites which could help us in smooth exit from EOU status, especially w.r.to Customs/Excise and other critical matters to be taken care of.

Your guidance shall be of great help.

Thanks & Regards,

Vipul Adhvaryu.
Manager - Commercial
Ashu Organics (I) Pvt. Ltd.
www.ashuorganics.com
vipul@ashuorganics.com

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
Follow

29 October 2011 sorry for late reply.

Please Noted that :
With the approval of the Development Commissioner, EOU units may opt out of the scheme. Such exit from the scheme shall be subject to payment of Excise and customs duties and the industrial policy in force at the time of exit.

If the unit has not achieved the obligations under the scheme, it shall also be liable to penalty at the time of exit.

the Development Commissioner, to exit from the scheme on payment of duty on capital goods under the prevailing EPCG Scheme as a one time option. This will be subject to fulfillment of the eligibility criteria under that Scheme and standard conditions indicated in Handbook (Vol-I).

Units proposing to exit from EOU scheme should obtain permission for in principle approval and submit details of imports and exports made to the Central Excise/Customs Authority. After such verification, the said authority will assess the duty payment and the unit will pay the duty so assessed and obtain ‘no dues certificate’ from the excise authority. During the period between such payment of customs duty and obtaining the final debonding letter , the unit will not be entitled to claim any exemption for procurement of capital goods or inputs. They can however, claim DEEC/DEPB/DFRC/Duty Drawback .

for more info: raed FTP 2009-2014

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now