Excise exemption

[SNEHAL SHAH]

Sir,

Our one unit located at haridwar and this unit is excise exempton . On this unit land there is 1/4 protion building construction and other land is unused after 31/03/2011 we are planning to install new machinery and construcitn new shed , approx 45 new machinery install .

Please guide Haridwar excise exemption availed after this expansion ? please guide on urgent basis .

Sachin

 

[Mukesh Kumar]

As long as the land on which consruction was not done constitute the same factory as existing before cut off date, in my opinion, you can avail the exemtion for the production with new machinery.

AI Summary

Excise exemption may continue if expansion forms the same factory, allowing new machinery production subject to cut off date.
If the land on which new construction and machinery installation occur constitutes the same factory as that existing before the cut off date, the excise exemption available to the existing unit may be availed for production using the newly installed machinery.