Terminal Excise Duty Refund

[Asked by Guest]

Dear Sir,

We are Manufacturer and exporter of Tractors and Cranes.

We indigenously procured New Machine and paid Central Excise duty, but left to obtain EPCG Authorisation. Now we want to get TED Refund of Excise Duty paid.

Kindly advise how we can proceed for the same.

[PAWAN KUMAR]

Dear Sir,

For the purpose of getting TED refund, details procedure is available in Para 8.3.1 of Handbook of Procedure-Vol.-I.

Please review the para and proceed.

Sorry Sir, I am to know whether we can avail TED Refund, if we take EPCG License now against purchase effected 2 months back.

[PAWAN KUMAR]

Dear Sir,

No such TED refund will not applicable for you. You may avail Cenvat of excise duty paid on such machines.

No cenvat applicable as our product Tractors are excise exempted. That's why we are asking for TED Refund procedure.

[YAGAY and SUN]

Please submit ANF-8 alongwith attested copies of IEC, EPCG License, duty calculation etc.

[PAWAN KUMAR]

Dear Sir,

As per my view, you should discuss the issue with concerned officer at DGFT office as the claim for TED shall be filed to Regional Authority of DGFT office. Cenvat will not be admissible in the instant case.

[RadheyShyam Mangal]

TED is refunded in case the supply from DTA suppliers falls under deemed export mentined in Para 8.2(b) of FTP. Since at the time of getting goods rom DTA, you did not have EPCG meaning thereby is that supply to you is not against EPCG license and hence such supply cannot find place in deemed export and thus you may not get ant TED refund.

In case the machine obtained by you is used for manufacture of dutiable as well as exempted goods then you can take Cenvat Credit of such CG.

regards

Dear Sir,

Thanks for your reply.

Is there any possibility to present our case before PRC Committee for claim this refund.

[RadheyShyam Mangal]

I think "No"

AI Summary

Terminal excise duty refund denied when domestic supply was not against EPCG authorization at time of purchase.
Entitlement to Terminal Excise Duty refund depends on whether the domestic supply was made against an EPCG authorisation at the time of supply; deemed export treatment and TED refund claims must be filed with the Regional DGFT authority using ANF 8 and supporting documents, and TED will not apply where EPCG authorisation was obtained only after the purchase. Cenvat credit may be considered only if the machine is used in manufacturing dutiable goods.