CLEARANCE UNDER CT-3

[SURYAKANT MITHBAVKAR]

We are manufacturing Pharma Machinery registered under Excise Act.

We have received order from our overeseas customer (USA). He is remit payment in INR.

Further, the material to be delivered in Tamilnadu as consignee (EOU Unit ) & Buyer (USA).

Since it is not export transaction can we clear material on CT-3 (Received from Tamilnadu (Consignee) ) and mention as buyer Overseas Customer (USA).

[Rajagopalan Ranganathan]

Sir,

It is for CT-3 issuing authority to check who is the buyer and to whom the excisable goods are to be delivered. If you got CT-3 certificate issued by the competent authority you can clear your products without payment of duty.

[YAGAY and SUN]

Such sale would not tantamount as export out of country and no export benefit would be available. However, Goods can be sent against Form CT-3.

AI Summary

CT-3 clearance permits duty-free removal if issued, but such domestic delivery to an EOU is not an export benefit case.
Movement of excisable goods to an overseas buyer with delivery inside India may be effected against a CT-3/CT form issued by the competent authority; the issuing authority must verify buyer and consignee, and a valid CT form permits removal without payment of excise duty, but the transaction does not qualify for export benefits.