supply made to SEZ unit without LUT

[Guest]

What will be the excise liability, if we made the supply to SEZ unit in AR1 without LUT 

[MUKUND THAKKAR]

Dear Deepak,

you have  to  pay  excise  duty at the rate of 12.36 percent during the time  of removal, and  you will get  it  the  refunds for what ever excise duty you pay. by following the procedure  of refund,

Mukund Thakkar

 

AI Summary

Excise duty payable on supplies to SEZ units without LUT, recoverable later through the refund procedure. Supply to a SEZ unit without a Letter of Undertaking (LUT) attracts excise duty payable at the time of removal under AR1; the duty paid can subsequently be recovered by following the statutory refund procedure, subject to compliance with refund conditions and documentary requirements.