Rebate on Export Sale

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This query is : Resolved

ATUL U ANAVEKAR (Querist)

04 October 2010 Kindly help me with the below case:

Export Sales Rs 100000
Excise Duty incl cess Rs 8240

Raw Material used in the final product are imported against ADVANCE LICENSE on which no duty is paid.

Can we claim rebate of the excise duty paid ie 8240 as the sales are export sales.

Madhukar N Hiregange

Madhukar N Hiregange (Expert)

05 October 2010 Yes application for refund is required to be made for the same.

ATUL U ANAVEKAR

ATUL U ANAVEKAR (Querist)

05 October 2010 Thank you for your kind reply. But my doubt is not resolved. Kindly guide me…

My client has imported raw material against ADVANCE LICENSE to which Customs Notification No. 93 dated 10 September 2004 [G.S.R.606(E)] is applicable.

Point 5 of Customs Notification No. 93 dated 10 September 2004 [G.S.R.606(E)] states that the export obligation is discharged within the period specified by exporting resultant products, and in respect of which facility under RULE 18 or SUB RULE (2) of 19 of the Central Excise Rules, 2002 HAS NOT BEEN AVAILED.

Export Sales Rs. 100000
Excise Duty incl cess Rs. 8240
Opening Cenvat Bal Rs 500000
Raw Material used in the final product are imported against ADVANCE LICENSE on which no duty is paid.

As per the notification cited above, rebate under Rule 18 or 19 cannot be claimed for the excise duty on export sales.

Are there other provisions, under which we can claim refund for the excise duty on export sales to the extent of Rs 8240.

Thanking you in advance.