Digital signature certificate

[Narendra Soni]

Dear Experts,

We have already digital signature certificate for dealing with DGFT department. Can the same may be used for Central excise & service tax records & signature, if yes, please suggest how it can be used.

[YAGAY andSUN]

Dear Narendra,

No, it cannot be used. However, it can be used in Imports only.

Regards,

YAGAY and SUN

Management, Business & Indirect Tax Consultants

[Narendra Soni]

Thanks,

Can electronic records & digital signature be used for issuing job work challan & maintain job work records in case of goods sent and receive on job work .

[Rajagopalan Ranganathan]

Sir,

Sub-rule (8) of rule 11 of Central Excise Rules, 2002 was inserted by Notification No. 8/2015-CE dated 28.2.2015 (with effect from 1.3.2015) which lays down that-

"An invoice issued under this rule by a manufacturer may be authenticated by means of a digital signature:

Provided that where the duplicate copy of the invoice meant for transporter is digitally signed, a hard copy of the duplicate copy of the invoice meant for transporter and self attested by the manufacturer shall be used for transport of goods."

Sub-rule 9 of rule 11 of Central Excise Rules, 2002 lays down that -

"The Board may, by notification, specify the conditions, safeguards and procedure to be followed by an assessee using digitally signed invoice.

Explanation. - For the purposes of rule 10 and this rule, the expressions, “authenticate”, “digital signature” and “electronic form” shall have the respective meanings as assigned to them in the Information Technology Act, 2000 (21 of 2000)."

CBEC has issued Instructions regarding maintenance of Records in Electronic Form and authentication of records by Digital Signature and manner of verification which is reproduced below: -

F. No. 224/44/2014-CX.6

Government of India

Ministry of Finance

Department of Revenue

Central Board of Excise and Customs

New Delhi, dated the 6^th July, 2015

To

Principal Chief Commissioners / Chief Commissioners of Central Excise (All),

Principal Chief Commissioners/Chief Commissioners of Central Excise & Service Tax (All).

Sub: Instructions regarding maintenance of Records in Electronic Form and authentication of records by Digital Signature–manner of verification-reg.

[Mahir S]

Soni ji,

You are mixing your query by way of using two words simultaneously -- electronic records & digital signature.

Hence both the queries are required to be dealt separately to avoid confusion.

[Mahir S]

Yes, you can use electronic records for maintaining job work records in case of goods sent and receive on job work.

[Mahir S]

No, you cannot use digital signature for issuing job work challans, as such challans are not been issued under Rule 11 of Central Excise Rules 2002.

[DR.MARIAPPAN GOVINDARAJAN]

I endorse the views of Yagay and SUN

AI Summary

Digital signature authentication permitted for invoices under Central Excise rules; electronic records allowed but not for job work challans. Sub rule (8) of rule 11, Central Excise Rules, 2002 permits authentication of manufacturer invoices by digital signature, with the proviso that a digitally signed duplicate for the transporter must be accompanied by a hard self attested copy. Sub rule (9) authorises notifications prescribing conditions and procedures and adopts IT Act definitions. Administrative instructions dated 6 July 2015 set out maintenance and verification procedures. A DGFT digital certificate is not generally acceptable for Central Excise except for imports; electronic records may be used for job work records, but digital signatures cannot be used for job work challans not issued under rule 11.