We have register under Excise Act, We wish to run additional unit where we are doing only Lobour Job activity. No clearance from that unit to customer. we are doing only labour job on material received under 214/86 from our other unit. our final product is dutyable from our other unit. in the above circumstance is it necessary to register the same premises under Excise also guide us is it necessary to bill as labour job to our other unit after charging service tax whereas our final balance sheet is consolidated.
Registration of Additional Unit
SURYAKANT MITHBAVKAR
Company Debates Need for Separate Excise Registration for New Labor Unit under Section 6 and Rule 214/86 Compliance A company operating under the Excise Act wishes to run an additional unit for labor job activities without direct customer clearances. The issue is whether this unit requires separate excise registration. One respondent suggests that registration is necessary under Section 6 of the Central Excise Act, while another advises that registration is not needed. Instead, they recommend submitting a job worker's declaration under Rule 214/86 to the jurisdictional division office along with an undertaking from the job worker, which should suffice for compliance. (AI Summary)