Sale to DTA from SEZ Unit

[Ashok Chopra]

Respected Forum,

I am SEZ unit want to clear goods in DTA. How much duty i should charge from DTA unit, please provide me copy of notification to satisfy my management.

Also please guide me any relaxation or concessional duty is to charged or any permission is to taken from Development commissioner, please provide me copy of notification.

thanks and regard

[YAGAY and SUN]

SEZ To DTA Sale Eligible For CVD Exemption As Available To Local Manufacturer

[YAGAY and SUN]

The GST Council is besieged with demands from various quarters for commodity-specific exemptions or concessional tax rates on many products. Of particular note is the one for biris (beedis). This is a bad idea, from the viewpoint of both revenue and public health. Tailored exemptions break the GST chain, raise the chances of evasion and generate systemic inefficiencies, beating the purpose of GST. On tobacco products, the plan is to levy the highest tariff of 28% plus a sin tax component of 15% that will not be eligible for input tax credit. This makes sense as it will keep the GST chain unbroken, while dissuading harmful consumption.
Cigarettes account for around 11% of tobacco consumption but contribute 87% of taxes from tobacco. Heavy taxation of cigarettes has brought down cigarette use, but the use of tobacco in general has gone up, raising the healthcare burden. The National Health Policy 2017 seeks to increase the country’s public spending on health from 1.15% of GDP at present to 2.5% of GDP by 2025, with taxes on tobacco being specifically targeted as a potential source of finance.

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[Sathish Kumar]

Sir,

May i know the CVD Exemption Notification to clear goods to DTA from SEZ.

Regards,

Suresh

AI Summary

CVD exemption for SEZ to DTA sales recognized as available like local manufacturer; secure the applicable notification and procedures.
Sales from an SEZ to the DTA are eligible for a Countervailing Duty (CVD) exemption to the extent such exemption is available to a local manufacturer; the SEZ unit should obtain the applicable notification and confirm any procedural requirements or permissions (including whether Development Commissioner approval is needed) to document and implement the exemption.