CONSOLIDATION OF GOODS

[sanjay misra]

what is the excise ruling for entry of goods in another factory of the same manufacturer for consolidation and loading of consignments for home consumption not for export.

 

[YAGAY andSUN]

Dear Sanjay

 

Your query is not clear.  Kindly make it more clear with the help of an exhibit, if possible.

 

Best Regards,

 

Pradeep Khatri

[sanjay misra]

Is it possible under excise rule for the entry of  the vehicle with excisable goods from one factory to another of the same manufacturer in the same city for consolidation and loading of consignments for further despatch to Branches within India becasue same type of permission is granted for export with some conditions.

As presently the suprindentent of excise  is denyig permission for the same .

[YAGAY andSUN]

According to our knowledge there is no law on such matter. Anyhow, an intimation letter would be suffice if there is no intention to evade duty and transactions are neat and clean on part of assessee.

[Vijay kumar]

There is no Rule under the Central Excise Rules, 2002 for this situation. However, you may refer CBEC's Excise Manual of supplementary instructions wherein the procedure for such consolidation has been prescribed.

AI Summary

Consolidation of goods: inter factory transfers lack a specific excise rule; intimation and Excise Manual guide procedure. There is no specific provision in the Central Excise Rules for inter factory transfers of excisable goods for consolidation; administratively an intimation from the manufacturer and adherence to departmental supplementary instructions or Excise Manual procedures are recommended where transactions are bona fide and records are clean.