21 September 2010
Facts: I have applied for letter of undertaking in form UT-1 on a stamp paper of 100/- bec we are a manufacturer exporter. I have purchased machinery of approx 10 lacs on which there was no excise duty charged by the seller. So far as i understand, on removal of excisable goods from factory there will be no excise duty in UT-1.
Querry: 1)What will be the better way to claim the refund of inputs bec i was told by my friend that u claim monthly rebate by paying the duty on finished goods and then take cenvat credit for inputs and for the duty paid on finished goods and dont go for refund bec it will take longer time.
2) what documents are required for removal of excisable goods in both the above case.
22 September 2010
In the following situation rebate procedure may be useful
1. If u have balance of duty in capital goods cenvet credit accounts, as balance in this account is never refundable 2. For SSI unit, since getting refund is not a easy procedure. 3. When duty paid goods are proposed to be exported. 4. Claiming rebate is much easy than claiming refund of duty.
Details of document required may be obtained through Excise deptt.
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