Registration of Additional Unit

[SURYAKANT MITHBAVKAR]

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.

[Ram Babu]

As per Section 6 of CEA registration is required to be obtained by any prescribed person who is engaged in (a) every manufacturer or producer of exciable goods. In your case you are doing only labour job and duty is also discharged by the other unit, you are required to get registerd yourself in excise.

[Ram Babu]

you are not required to get registerd yourself in excise.

[SANJEEV JADHAV]

You are not required to register with excise. Please submit job workers declaration under rule 214/86 to the jurisdicational division office of the job worker along with undertaking of jobworker. This is sufficient for you.

AI Summary

Excise registration: job-worker premises generally need not register if duty discharged by the principal; submit job-worker declaration. A unit performing only labour job on materials received from another unit generally need not register under excise where duty is discharged by the principal; submit the job-worker declaration under rule 214/86 to the jurisdictional division and an undertaking from the job-worker as the suggested compliance step. One reply cited Section 6 suggesting registration, but the prevailing advice was that registration is unnecessary.