SPECIAL ADDITIONAL DUTY

Yes

Thanks for the reply. One of our supplier ask for duty of 12% CVD and 4% additiional duty. When i discuss with our taxation they said we are unable to claim the additional duty 4%. It is cost to the company. So kindly clarify wether we are able to get back the 4%.

Sorry sir i am unable to get in your single word answer. Plz explain

Credit both on CVD and Special CVD is available.................

kindly refer para 4 of the circlular below link.......

https://www.eximkey.com/contents/showpage1.asp?pageid=21100

Yes , You can get the same and forword to suppliers.

You can get the credit or get the duty drawback of SAD (Special Additional Duty).

There are some things that needs to be clear to all before going ahead to claim SAD Refund.

U can not take credit of SAD. that means, U must pay SAD first at the point of entry at customs. U must pay VAT/CST at the time of sale of the goods. And, then, U should go to claim SAD. So, it is called Refund and not taking Credit of SAD. U can not say that U have already paid SAD and do not want to pay VAT/CST. U must pay VAT/CST and go for refund.

ok.......!

Well Mr. Lakshmanan, now your question is clear. As a buyer from importer, you cannot get refund of SAD paid by the importer. Such refund is allowed only to importer, who also pay VAT at the time of sale of goods.

However, if you are a manufacturer, you can take cenvat credit of SAD.

Is it necessary to take declaration from the importer that refund of SAD has not been taken by him and you(purchaser from importer)  may take credit of the same.

Whether a manufacturer who also is an importer/trader, can claim credit of SAD paid on imported items which he trades and use the credit for clearance of manufactured goods. If yes, what are the provisions

Sir, can an importer can claim credit of both CVD and SAD paid by him ? If yes, under what circumstances.