Dear Sir,
ABC, who is registered with excise dept, received an export order for supply as well as erection of machinery from England.
ABC appointed PQR as subcontractor for supply as well as erection work. PQR not registered with Excise dept.
PQR again appointed XYZ ,who is registered with Excise dept to supply machiney and PQR will do erection work.
Being export, no body wants to pay excise duty.
Is Central Excise registration of PQR required ?
Pl. Guide about procedure also.
Thanks.
Sumeet Tholle
PQR, a merchant exporter subcontracting machinery supply, doesn't need excise registration but must furnish a bond per CBEC guidelines. ABC, registered with the excise department, received an export order from England for supplying and erecting machinery and subcontracted the task to PQR, who is not registered with the excise department. PQR further subcontracted the supply of machinery to XYZ, who is registered. The query is whether PQR needs excise registration. The response clarifies that PQR is considered a merchant exporter and does not require registration. Merchant exporters must furnish a bond as per CBEC's guidelines, but those with certain statuses or registered with Export Promotion Councils may be exempt from providing security. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
