Central Excise Exemption Central Excise Law applies to all manufacturers and producers. However, the following persons are not required to register for Central Excise or pay Central Excise duty:
Persons manufacturing good or products that are fully exempt from central excise or have 0% rate of excise duty by way of notification.
Small Scale Industry whose aggregate turnover in a financial year does not exceed Rs. One Crore and Fifty lakhs.
A person involved in wholesale trade of excisable goods or products.
A person using excisable good or products for any other purpose other than for processing or manufacturing of goods.
Person manufacturing excisable goods under the warehousing procedures of Customs Act, 1962.
Procedure of obtaining registration.The application for registration is to be filed with the Superintendent of Central Excise having jurisdiction over the premises in respect whereof the registration is to be obtained. The following documents are to be submitted for obtaining the registration Possession letter/allotment letter/rent deed of the premises to be registered; Article of Association of the company or Partnership deed of the firm, as the case may be;
List of items with their Tariff sub-headings proposed to be manufactured; list of items with their Tariff sub-headings, if any, obtained, under Chapter X procedure or dealt within;
Registration certificate issued under Shop and Establishment Act and PAN Number; Duly filled in application in the form R-I in triplicate;
Grounds plan of the premises in duplicate including details of plant & machinery etc.;
Details of the proprietors/all partners/Directors of the company including
2.Address – Official/ residential.
The application for registration in form R-I is either to be signed before the Superintendent of Central Excise or can be submitted duly attested and notarised by the notary public.
Application for registration should be made in prescribed form. Following are the special requirement in relation to registration: Separate registration is required for each separate premises, if person has more than one premises. If business is transferred, fresh registration has to be obtained by the transferee Change in constitution of partnership firm or company should be intimated within 30 days of change. in case of such changes, fresh registration is not required If the manufacturer ceases to carry on operations for which he is registered, he should apply for de- registration
If there is any change in information given in form, the change should be informed in the application form itself.
Grant of registration.After receipt of application for registration, the jurisdictional Superintendent is to grant registration within 30 days of the receipt of the application. Even if the registration is not granted, it will be deemed to have been granted. The registration is in respect of premises and not a person.
Stage of filing application for registration.
For the goods that attract Central Excise duty right from the beginning, the registration is to be applied for before the removal of the goods. These goods are not covered under Small-Scale Exemption notification. Even where a manufacture of goods eligible for Small-Scale exemption opts for availment of Modvat credit, the registration is to be applied for before the removal of the goods.
Manufacturers of Cosmetics and Refrigeration goods are to apply for registration after crossing the clearances of Rs. 30 lakhs.
Manufacturers of other goods are to apply for registration when the clearances exceed Rs. 50 lakhs.
Validity of registration certificate.A registration certificate is valid till the relevant unit is engaged in manufacturing of excisable goods. The registration certificate is not required to be renewed.
Transferability of registration certificate.
Registration certificate is not transferable. When a registered person transfers his business to another person, the transferee has to obtain a fresh registration.
Requirement of amendment in registration certificate.When a registered firm or a company or association of persons undergoes a change in Constitution, the jurisdictional Range Officer is to be intimated within 30 days of such a change for incorporation of this fact in the registration certificate.
In case a registered person desires to manufacture a new product, he is to get the product endorsed on his registration certificate.
Requirement of exhibition of registration certificate.Every registered person is required to exhibit the registration certificate or a certified copy thereof in a conspicuous part of the registered premises.
Whether 100% export oriented unit or unit in free trade zone is required to be registered.
A 100% Export Oriented Unit or a unit in Free Trade Zone licenced or appointed under the provisions of Customs Act, 1962, is deemed to be registered under the Central Excise law.
Surrender of registration certificateWhen the registered person ceases to carry out the operation for which he is registered, he is required to surrender his registration certificate immediately to the Range Officer.
Filing of Central Excise Return:The Central excise return shall be filed on or befor 10th of next month. In case of dealer, the excise return shall be filed on quaterly basis. Following are the forms and description of return
Type of Return
Due Date For Filing
Who Can File
Manufacturers of Central Excise, other than those who are required or entitled to file ER-2 or ER-3 returns
Manufacturers who are 100% EOUs(Export Oriented Units) and are removing goods into the domestic tariff area
20th of completed quarter
Manufacturers availing exemption on the basis of value of their annual clearance, manufacturer of processed yarn, unprocessed fabrics falling under chapters 50 through 55,58 or 60 of the Central Excise Tariff or manufacturers of readymade garments.
Annual Financial information statement to be submitted by manufacturers who paid duty of excise more than Rs.One crore in the preceding financial year.
Annual return of information relating to principal inputs used in the manufacture of finished goods. Filed by manufacturers who paid duty of excise more than Rs. One crore in the preceding financial year
Monthly return of information relating to principal inputs on which cenvat credit was availed. Filed by manufacturers who paid duty of excise in excess of Rs.One crore in the preceding financial year.
15th of month succeeding completed quarter
Filed by registered first stage and second stage dealers giving details of the invoices issued by them and documents based on which credit passed on.
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