Transfer of machine to other branch - purchased under EPCG

[NAUSHERAWAN SM]

Dear Sir,

Let me know the procedure to transfer of machine to sister concern purchased under EPCG licence but EPCG obligation not completed.

Thanks,

S.M.Nausherawan

[MUKUND THAKKAR]

Sir,

Before transfer of machine, please taking approval from DGFT- Dehli, PRC committee granting permission, if your requirement is genuine, if permission grantted by DGFT you have approch your excise division office to intimate them. and you need to surrender your installation certificate if obtain. you may follow the same installation certificate procedure after installation of machinery at your new unit.

[Ganeshan Kalyani]

Sir, in addition to my collegue Mr. Mukund Ji's view, if you had taken any benefit under Sales tax/VAT then a permission is required to be sought from Sales tax department and an intimation to Directorate of Industries. Thanks.

[KASTURI SETHI]

Thanks to both experts for enrichment of my knowledge.

AI Summary

Transfer of EPCG encumbered machinery requires prior DGFT approval, excise intimation, surrender of installation certificate, and tax permissions. Transfer of machinery under an EPCG licence before fulfilling export obligation requires prior DGFT (PRC committee) permission; after DGFT authorisation the transferor must intimate the excise division and surrender the installation certificate, with installation formalities to be repeated at the receiving unit. If sales tax or VAT benefits were availed, permission from the sales tax authority and intimation to the Directorate of Industries are additionally required.