Notification No. 31/2008-CE Dated 10/6/2008

Amendments in Notification No. 32/99-CE Dated 8/7/1999 - Exempt to Specified New/Expanded Industrial Units in Assam / Tripura from Basic & Addl. duties - reg.- G.S.R. (E).- In exercise of the powers conferred by sub-section (1) of section 5A of the Central Excise Act, 1944 (1 of 1944), read with sub-section (3) of section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957) and sub-section (3) of section 3 of the Additional Duties of Excise (Textile and Textile Articles) Act, 1978 (40 of 1978), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 32/99-Central Excise, dated the 8th July, 1999 which was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 508 (E), dated the 8th July, 1999, namely:-

In the said notification,-

 

(i) in paragraph 2A,-

 

(a) after the words, brackets and figure “corresponding entry in column (2) of the said Table,”, the words, brackets and figure “when manufactured starting from inputs specified in the corresponding entry in column (5) of the said Table in the same factory,” shall be inserted;

 

(b) for the Table, the following Table shall be substituted, namely:-

 

TABLE

S.No.

Chapter of the First Schedule

Description of goods

Rate

Description of inputs for manufacture of goods in column (3)

(1)

(2)

(3)

(4)

(5)

1.

29

All goods

29

Any goods

2.

30

All goods

56

Any goods

3.

33

All goods

56

Any goods

4.

34

All goods

38

Any goods

5.

38

All goods

34

Any goods

6.

39

All goods

26

Any goods

7.

40

Tyres, tubes and flaps

41

Any goods

8.

72 or 73

All goods

39

Any goods, other than iron ore

9.

74

All goods

15

Any goods

10.

76

All goods

36

Any goods

11.

85

Electric motors and generators, electric generating sets and parts thereof

31

Any goods

12.

25

Cement or cement clinker

75

Limestone and gypsum

13.

17 or 35

Modified starch/glucose

75

Maize

14.

18

Cocoa butter or powder

75

Cocoa beans

15.

72 or 73

Iron and steel products

75

Iron ore

16.

Any chapter

Goods other than those mentioned above in S.Nos.1 to 15

36

Any goods

 

(ii) In paragraph 2.1, -

 

(a) for sub-paragraph (1),the following shall be substituted, namely:-

 

“ (1) Notwithstanding anything contained in paragraph 2A, the manufacturer shall have the option not to avail the rates specified in the said Table and apply to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, having jurisdiction over the manufacturing unit of the manufacturer for fixation of a special rate representing the actual value addition in respect of any goods manufactured and cleared under this notification, if the manufacturer finds that the actual value addition in the production or manufacture of the said goods is at least 115 per cent of the rate specified in the said Table and for the said purpose, the manufacturer may make an application in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, not later than the 30th day of September in a financial year for determination of such special rate, stating all relevant facts including the proportion in which the material or components are used in the production or manufacture of goods:

 

Provided that the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, may, if he is satisfied that the manufacturer was prevented by sufficient cause from making the application within the aforesaid time, allow such manufacturer to make the application within a further period of thirty days:

 

Provided further that the manufacturer supports his claim for a special rate with a certificate from his statutory Auditor containing a calculation of value addition in the case of goods for which a claim is made, based on the audited balance sheet of the unit for the preceding financial year:

 

Provided also that a manufacturer that commences commercial production on or after the 1st day of April, 2008 may file an application in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, for the fixation of a special rate not later than the 30th day of September of the financial year subsequent to the year in which it commences production.

 

(1A) Nothing contained in sub-paragraph (1) shall apply to a unit manufacturing goods falling under Serial Nos. 12, 13, 14 or 15 of the Table.”

 

(b) in sub-paragraph (2), for the words ”six months”, the words “three months” shall be substituted;

 

(c) for sub-paragraph (5), the following sub- paragraph shall be substituted, namely:-

 

“(5) The manufacturer shall be entitled to refund at the special rate fixed under sub-paragraph (2) in respect of all clearances of excisable goods manufactured and cleared under this notification with effect from the 1st day of April of the year in which the application referred to at sub-paragraph (1) was filed with the Commissioner of Central Excise or Commissioner of Central Excise and Customs, as the case may be:

 

Provided that in cases where the application referred to in sub-paragraph (1) had already been filed prior to the 10th day of June, 2008, the manufacturer shall be entitled to refund at the special rate fixed under sub-paragraph (2) in respect of all clearances of excisable goods manufactured and cleared under this notification with effect from the 1st day of April, 2008.’’

 

(d) after sub-paragraph (5), the following shall be inserted, namely:-

 

“(5A) A manufacturer who commences commercial production on or after the 1st day of April, 2008, shall be entitled to refund at the special rate fixed under sub-paragraph (2) against his first application in respect of all clearances of excisable goods manufactured and cleared under this notification with effect from the date of commencement of such commercial production and the difference between the refund payable at such special rate and the actual refund paid to him from the date of commencement of commercial production till the date of fixation of special rate, during the period shall be refunded to him.”

 

(iii) after paragraph 2.1, the following shall be inserted, namely:-

 

“2.2 (1)In case the total amount of refund paid or payable to a manufacturer in respect of goods cleared from a unit during a financial year is less than the total duty paid by him on the said goods, other than the amount paid by utilization of CENVAT credit, for the year, the differential amount, if any, shall be refunded to him subject to the condition that the total refund made to him during the year, including the aforesaid differential amount, does not exceed the total duty payable on value addition whether at the rate specified in the Table or at the special rate fixed under paragraph 2.1.

 

(2) The Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, shall refund the differential amount, if any, to the manufacturer not later than the 15th day of May in the subsequent financial year.“

 

[F. No. 334/1/2008-TRU]

 

(Unmesh Wagh)

Under Secretary to the Government of India.

 

Note:- The principal notification No. 32/99-Central Excise, dated the 8th July, 1999 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) vide number G.S.R. 508(E), dated the 8th July, 1999 and was last amended vide notification no. 17/2008-Central Excise, dated the 27th March, 2008 vide number G.S.R. 222(E), dated the 27th March, 2008.