Imposition of Central Excise duty on jewellery Constitution of sub-committee of the High Level Committee

Central Excise duty on jewellery: transitional valuation safeguards, limited enforcement and sub committee to design compliance procedures.

Imposition of Central Excise duty on articles of jewellery was announced with differential treatment based on input tax credit and certain exclusions. A Sub Committee of the High Level Committee will consult trade and officials on compliance procedures, recordkeeping, forms (including Form 12AA) and operating procedures, reporting within 60 days. Pending recommendations, payments shall follow first sale invoice value; invoice valuation will not be challenged if caratage/purity, weight and gem carats are specified; enforcement actions are restricted and exporters may use self declaration and LUT under prevailing arrangements.