Consider a scene where an SSI manufactures product which can be supplied to pvt. sector as well as to defense R&D institutes like DRDO which are exmpted from excise under Central Excise Tariff Notification No: 10/97-CE, dated 1-3-1997
We have following questions:
- SSI has aggregate turnover less than 1.5 Crore
- Aggregate includes defense and pvt sector supplies
- DOES THE SSI unit need to take excise duty exemption certificate from the DRDO lab to whom it will supply ? Reason we are asking is that since the SSI has aggregate turnover less than 1.5 Crore. In this case if excise ememption certifciate is demanded (ans SSI is not registered) a copy of the exemption certifciate is givn by DRDO to the excise authorities. Now will it not lead to unnecessary harassment since the SSI is not registered?
- In future it can happen that the aggregate turnover reaches 1.9 Crore. In this case defense supply (exempted) is around 60 Lacs and balance is pvt sector. Now does the SSI need to register with excise authorities? (Since the excisable turnover is 1.3 Crore) In this case
wbrgds
Puneet
CAclubindia
