Import of goods and sold against ct-3

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This query is : Resolved

CA Arun Kumar (Querist)

26 February 2013 what is the tax treatment under excise and customs duty where goods are imported and sold as it is against CT-3?

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)

27 February 2013 The CT-3 is form of Central Board of excise and customs is one of an important certificate on the basis of which a 100% EOU (Export Oriented Units) can obtain duty free indigenous goods.Basically it is used to obtain goods from MRF without any payment of excise duty. But this certificate is applicable only for specific industries such as EOU, SEZ (Special Economic Zone), Defence etc.

Procurement of Goods Indigenously under CT-3 Procedure:

The EOUs can procure goods from DTA (Domestic Traffic Area) without payment of Central Excise duty as mentioned in the Chapter X of Central Excise Rules, 1944.

However, it should be noted that such procurement from DTA is against CT-3, which is issued by the Superintendent of Customs and Central Excise in charge of the EOU. Such goods are required to be brought directly from the manufacturer /warehouse into the unit's premises under AR3A and examined by the designated officer.

After examination of such goods, one copy of AR-3A is sent by registered post to the jurisdictional Central Excise authorities as a Re-warehousing Certificate in token of receipt of the goods in the unit. To avoid separate permission every time, the EOUs are issued pre-authenticated CT-3 in booklet form and against such pre-authenticated CT-3; the EOUs are allowed to procure capital goods, raw materials, consumables etc. Goods procured from DTA and found to be defective can be returned to the manufacturer under Chapter X procedure of erstwhile Central Excise Rules, 1944.

for more info:

https://www.caclubindia.com/experts/utilization-of-form-ct-1-ct-2-ct-3--180146.asp#.US3jKjf7crc

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