Central Excise

Central Excise Act 1944 Central Excise Tariff Act 1985 Central Excise Rules 2002 Country is divided in 23 excise zones and a Chief Commissioner of Central Excise heads each zone. Categories of exports >Export of finished goods without payment of duty under bond or undertaking >Export of manufactured/processed goods after procuring raw material without payment of duty under bond Conditions 1. Exporter shall furnish bond in form B-1 and obtain certificate in CT-1. If a annual letter of undertaking is given, then there is no need of CT-1 Goods should be exported within six months from the date on which they were cleared for export or within such extended period deputy/assistant/maritime commissioner may allow Forms to be used ARE-1 (application for removal of Excise) is needed for export clearance without duty payment, it is prepared in Quintuplicate, 5 colors Original > White color form, Duplicate >pale yellow, Triplicate > pink, Quadruplicate > Green, Quintuplicate >Blue It should be signed by exporter or his authorized agent Invoice should be prepared as per rule 11 of central excise rules 2002 and it should have this prominently mentioned on top For Export without Payment of Duty Manufacturer- exporter > can submit bond, but will have to submit letter of undertaking & Merchant- exporter > necessarily submit a bond in B-1 form- either surety or security bond depending on the standing of the exporter Surety or Nil security bond Exporters having good track record Also some specified categories/merchant exporters namely status holders are exempt from submitting the bond; e.g.- Star trading house, export house, trading house etc The bond shall be in sum equal at least to the duty chargeable on the goods exported The officer who accepts the bond will be responsible for discharging the bond upon furnishing proof of export by the exporter Letter of Undertaking form UT-1 Letter of Undertaking should be furnished only to the Deputy/Assistant commissioner of central excise having jurisdiction over the exporters factory and not to any other officer of the excise board or to the maritime commissioner. A letter of undertaking is valid for 12 calendar months CT-1 will have to be obtained by merchant exporter for procuring goods from a factory or warehouse. Such forms will be given in lots of 25