Dear Experts,
A manufacturer supplier wants to supply the goods to merchant exporter, Can supplier supply the same goods against a bond executed by the supplier not by merchant exporter because merchant exporter is not providing the same.
In this case which bond should be executed with the excise department and further to which jurisdiction i.e. supplier or merchant exporter.
is there any further documents needs to be submitted with excise department.
And further also if manufacturer supplier is having Annual regular LUT then also a fresh bond is required??
Thank you in advance..
Manufacturer Can Use B-1 Bond for Duty Payment; Ensure Security from Merchant Exporter and Submit Export Proof A manufacturer supplier inquires about supplying goods to a merchant exporter using a bond executed by the supplier due to the merchant exporter not providing one. The discussion clarifies that the manufacturer can use their own B-1 Bond for duty payment under ARE-1, executed with the Assistant Commissioner of Central Excise in their jurisdiction. The manufacturer must ensure security equivalent to the duty amount from the merchant exporter and submit proof of export. The bond can be executed with either security or surety, with specifics depending on the manufacturer's export house status. (AI Summary)
TaxTMI 
TaxTMI 
