Dear Sir,
A manufacturer exporter export the goods under UT-1 whareas there is no LUT filed to the AC/DC by the manufacturer, but exporter following all procedure like issue of ARE-1 under UT-1, Excise Inv. (duty not charged), and one is also defaulted that ARE-1 doesnt submitted within 24 hr to the juridictional authority. party had received currrency in bank and having proper Bank Realization Certificate (BRC) as per export invoice.
Note: Party is not availing CENVAT facility
What Should we do?
whether firm is liable to penal action?
does export proved once BRC got?
please guide more........
Exporter Faces Penalty for Procedural Lapses in Filing LUT and ARE-1 Under Central Excise Rules; Potential for Leniency A manufacturer-exporter exported goods under UT-1 without filing a Letter of Undertaking (LUT) with the Assistant/Deputy Commissioner, and failed to submit ARE-1 within 24 hours to the jurisdictional authority. Although the exporter received payment and obtained a Bank Realization Certificate, they did not avail CENVAT credit as their raw materials are exempt. Responses suggest that procedural lapses occurred, which may be regularized by submitting evidence to the jurisdictional authority. Penalties under Central Excise Rules could apply, but procedural lapses might be condonable, possibly with a nominal penalty or by seeking compounding under specific rules. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
