registration certificate need to be amended or not

[Dalia Felix]

Dear Sirs,

we are manufacturers of certain dutiable goods. One of our finished goods (say A - on which excise duty is paid) is converted to another value added product (B) and is sold to customers. Though the 'commercial name' of the value added good changes on conversion, the tariff head remains the same.

We have already included A in the excise registration certificate. In this context, whether we have to amend our registration certificate (since CETA remains the same and it already exists in the registration) or not?

What are the procedures to be followed and precautions to be taken.

[PAWAN KUMAR]

Dear Sir,

As per my view, if the new goods B is similar to goods A, and also falls under the same tariff, no need to amend the excise registration. Raise an invoice for captive consumption of goods A and make the entry in the RG-1 register. Pay duty on goods B at the time of their removal from your factory.

[YAGAY andSUN]

Dear Dalia,

There is no need to get the RC amended but you would have to follow captive consumption procedure.

Regards

YAGAY and SUN

(Management and Indirect Tax Consultants)

[MUKUND THAKKAR]

Dear Dalia Felix,

please refer your RC carefully never mention in RC what items your are manufacture only word is " Manufacturing Excisable Goods" as when you need to append any items use ACES go your registration application form and add the your requirements. your RC remain same and your amendment details appear in ACES. what and when you are makes changes in your RC.

[Mahir S]

Dear Dalia,

As goods are captively consumed, it would be advisable to append the product B in the registration certificate by following the procedure as explained above by Mukund ji.

The product should also be shown separately in RG-1 and in ER -1 returns with different Name of the Product (B), though under the same chapter sub heading.

[Mahir S]

Regarding Procedures and Precautions -- Though the goods are falling under the same chapter sub heading, however the procedure regarding captive consumption as explained above by Pawanji and Khatriji is required to be followed.

[Dalia Felix]

A big thank you to all ..

AI Summary

Captive consumption procedure applies when converted goods share the same tariff; no registration amendment required. If the converted product B falls under the same tariff heading as product A, no amendment of the excise registration certificate is required. The captive consumption procedure must be followed: raise an invoice for captive consumption of A, enter the transaction in the RG 1 register, and pay duty when B is removed from the factory. Use ACES to add or record specific product details if needed, and report product B separately in RG 1 and ER 1 returns under the same chapter/subheading with its distinct name.