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Refund/rebate of excise in case of export by merchant

Sambhav (none) (46 Points)

23 January 2014

A person has made an export of an autopart of Heavy Motor Vehicle. He purchased it from the manufacturer, and then exported it. Now my queries are as follows:

1. He needs the refund of excise paid by him to the manufacturer. Is it refund or rebate?

2. Will this be covered by Section 11B of Central Excises and Salt Act, 1944 or Rule 18 of CER 2002 and Notification No.19/2004 CE (NT) dated 6.9.2004?

3. What will be the steps to claim the refund/rebate?

Please support your views with, sections/notifications. Thank You!

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3 Replies

Arun Kumar Singh (GST Advocate) (15220 Points)
Replied 23 January 2014

Two procedures are available for export of goods for merchant/manufacturer exporter. Merchant exporter can export the goods under CT-1 without payment of duty under rule 19 of central excise rules 2002. Another is merchant export can export the goods under rule 18 of central excise rules 2002 with payment of duty, after export of goods you can take the rebate.

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karan jit singh (Consultant) (1299 Points)
Replied 24 January 2014

Originally posted by : Samcolldu
	A person has made an export of an autopart of Heavy Motor Vehicle. He purchased it from the manufacturer, and then exported it. Now my queries are as follows: 1. He needs the refund of excise paid by him to the manufacturer. Is it refund or rebate? 2. Will this be covered by Section 11B of Central Excises and Salt Act, 1944 or Rule 18 of CER 2002 and Notification No.19/2004 CE (NT) dated 6.9.2004? 3. What will be the steps to claim the refund/rebate? Please support your views with, sections/notifications. Thank You!

1.Rabate

2. Rule 18 of CER (NN 19/2004)

3.Procedure

Prepere invoice under rule 11
Prapare ARE1(3copies)
present goods with are1 to SCE
Examined by SCE and seal such package
Endorse each copy of ARE1
Return original and duplicate copy
Send triplicate copy to Rebate officer
Exporter now can remove goods for exports from factory
Goods with both copy of ARE 1 presented to Custom cleareance House
Custom officer certify the same and retain copy of ARE1
on the basis of Original ARE1 with the exporter , self attested shipping bill, and bill of lading exporter lodge the rebate claim
AC/DC if satisfied, he shall sanction the rabate.