supply of material from the own DTA unit to our own 100% EOU

[Hariharan Sundaram]

Sir, we are 100% EOU engaged in processing and export of polished granite slabs. We are also having our own quarry from where we are excavating rough blocks which is duly permitted by the State Government Authorities. The constitution of the 100% eou and quarry and one and the same (Same PAN and same partners). We are selling rough blocks from quarry to third parties. What is the procedure for clearing the rough blocks to our 100% EOU and kindly advise me on the documents to be used for such clearances?

AI Summary

Granite Exporter Clarified: Transfer Granite Blocks with Commercial Invoices, No Excise Formalities Due to Nil Duty Rate. A business involved in processing and exporting polished granite slabs operates both a 100% Export Oriented Unit (EOU) and a quarry under the same ownership. They sought guidance on the procedure and documentation required to transfer rough granite blocks from their quarry to their EOU. A respondent clarified that these granite blocks fall under a tariff sub-heading with a 'Nil' duty rate, allowing the use of commercial invoices for transfers without needing to adhere to Central Excise Act formalities due to the absence of applicable duties.