Rebate under Rule 18

[Rudrayani Shedjale]

Hello

We have exported the goods in December 2014 under rebate. that time we have debited the duty in cenvat part II. Now in Nov 2015, if we are claiming for the rebate of duty paid is it necessary that our cenvat balance should be more than the amount of rebate claimed??

PLease revert.

[Rajagopalan Ranganathan]

Madam,

If you have sufficient balance in you Cenvat account on the date of export to debit the duty involved on the export goods that will do. Rule 18 does not stipulate that your cenvat balance should be more than the amount of rebate claimed.

[Rudrayani Shedjale]

thank you very much for the information sir.

AI Summary

Rebate under Rule: cenvat balance need only cover the duty debited at export, not exceed the rebate claimed.
The operative requirement under Rule 18 is that, on the date of export, the exporter have sufficient Cenvat balance to debit the duty attributable to the exported goods; the rule does not require the Cenvat balance to exceed the amount of rebate claimed.