Can be sold with excise duty

[Hemant Kumar]

Dear Sir,

We have imported Second Hand Machinery against Zero % EPCG Licence and we have completed export obligation as per FTP. We have got export obligation discharge certificate from DGFT and we have got bond cancellation certificate from customs. 

Now we want to sale the goods in the domestic market.

Can be sold the goods in the domestic market with excise duty?

What is the procedure for customs, DGFT and Central Excise point of view?

 

[Guest]

No issues from Customs and DGFT except the following.

as per H.P-1 under 6.18:  Maintenance of Records

Every EPCG licence holder shall maintain for a period of 3 years from the date of redemption, a true and proper account of the exports/supplies made and services rendered towards fulfillment of export obligation under the scheme.

You can sell in DTA by paying applicable excise duty similar to any other machinery procured locally and proposed to sell.

AI Summary

Sale of EPCG-imported machinery allowed in domestic market after export obligation, subject to payment of applicable excise duty. Imported second-hand machinery under a zero-rate EPCG licence, after completion of export obligation and receipt of DGFT discharge and customs bond cancellation, may be sold in the domestic market on payment of applicable excise duty; the EPCG licence holder must retain true and proper records of exports/supplies and services for three years from redemption as required by H.P-1 (clause 6.18).