Excise Duty Rebate.

[Asked by Guest]

We are a trader & want to export Pesticides to Nepal.Will it be taken as Export & we  can claim Refund  of Excise Duty paid to Manufacturer.Any Duty Drawback benefit?Buyer will send us payment thru DD/LC.

[Mahir S]

For export to Nepal, a different procedure has to be followed considering that the rebate is granted to the His Majesty's Government of Nepal based on Indo-Nepal Treaty. Currently, the procedure is specified only for exports through specified Land Customs Stations.

 Benefits under Duty Exemption Entitlement Certificate Scheme (DEEC), Duty Exemption Pass Book Scheme (DEPB) and claim for Drawback available.

[Mahir S]

Rebate procedure to Nepal is specified in Notification No. 20/2004-CE(NT)

Thank you very much Mr Naveed.

Sir,Pl.let me know whether a trader can export on CT-1 submitting to Manufacturer.

[Rahul Sonawane]

Dear Mr.Naveed,

As per my knowledge , DEPB scheme is not in existence,

Dear Mr.Manjitji - Yes Trader can submit CT-1 to manufacturer.

 

[Mahir S]

Yes, I also agree that trader can also submit CT-1 to the manufacturer, provided he is a Merchant Exporter.

I agree that DEPB scheme has been withdrawn from 30.09.2011. ( Intention was to convey the fact that export benefits are available in the matter). Thanks for the same.

 

     

[YAGAY and SUN]

Indo -  Nepal treaty has been amended and no benefit of excise duty is now not provided to his majesty of Nepal.

Export to Nepal is now treated at par with export to other countries.

AI Summary

Excise duty rebate: exports to Nepal now follow the standard export regime; merchant exporters may submit CT 1 to claim benefits.
Exports to Nepal must follow the rebate procedure specified in Notification No. 20/2004-CE(NT) via designated Land Customs Stations; merchant exporters may submit a CT 1 to the manufacturer to enable rebate and clearance. DEPB has been withdrawn, though other exemption schemes and drawback claims may be available, and amendments to the Indo Nepal treaty mean Nepal no longer receives special excise treatment and exports are treated akin to exports to other countries.