Supply to SEZ Unit v/s BRC

[Ashok Chopra]

Respected Forum,

I had supplied goods to SEZ Unit also submitted copy of ARE-1 duly endorsed by Authorised Officer of SEZ as proof of export. 180 days have been lapsed and payment from SEZ unit.  my Range office is pressurising  me either to submit BRC or excise duty alognwith interest. 

1. Am i entitle to deposit excise duty in this case?

2. If yes, is there any procedure of extention of time? Pls provide copy of notification and act etc. to satisfy my range

3. If i am not entitled, pls provide me copy of notification or act to satisfy my range

Anxiously awaiting for your kind co-operation

 regards

[GANTI SARMA]

What is the problem to get the BRC from your bank ? How you have cleared the goods to SEZ by duty payment or under LUT ? If you cleared under LUT, you submit Annexure-19 with Original & Duplicate copies of ARE-1, xerox copies of SEZ entry certificate. If you cleared on duty payment, you can  file refund claim and get the amount back. This is nothing but export.

 

[Sunil Vaidya]

It is not clear from your query whether you received the payment from SEZ unit or not. It is also not clear whether your transaction is in in IC or FC. Due to various frauds detected in the past now a days the Department insist for the realisation certificate. However, endorsement of the Authorised Officer of SEZ is suffice to prove that you have supplied the goods to the SEZ. 

AI Summary

Supplier to SEZ Unit Pressured to Submit BRC or Pay Excise Duty; Seeks Guidance on Time Limit Extension A supplier to an SEZ unit is facing pressure from the excise office to either submit a Bank Realization Certificate (BRC) or pay excise duty with interest, as 180 days have passed without payment from the SEZ unit. The supplier seeks guidance on whether they must pay the excise duty and if there is a procedure for extending the time limit. Responses suggest obtaining the BRC, clarifying if goods were cleared under Letter of Undertaking (LUT) or duty payment, and using relevant documents to claim a refund or prove export compliance. The SEZ officer's endorsement is noted as sufficient proof of supply.