TaxTMI 
TaxTMI 
How can I, being a trader, take advantage of excise duty exemption, if I purchase an excisable commodity from a manufacturer and sell it to an exporter? Thanks.
Central Excise query
27 Apr 2016 
6 Replies 
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Excise duty exemption for exports unavailable when an intermediary trader supplies; trader may claim duty credit or refund.
An exporter buying directly from a manufacturer and furnishing Form CT-1 can obtain supply structured as exempt from excise by the manufacturer. If a registered trader interposes between manufacturer and exporter, no statutory exemption attaches to the exporter; the trader may only pass on or seek recovery of duty paid through the prescribed duty credit or refund mechanism. (AI Summary)
An exporter buying directly from a manufacturer and furnishing Form CT-1 can obtain supply structured as exempt from excise by the manufacturer. If a registered trader interposes between manufacturer and exporter, no statutory exemption attaches to the exporter; the trader may only pass on or seek recovery of duty paid through the prescribed duty credit or refund mechanism. (AI Summary)