GOODS SUPPLY TO MEGAPOWER & EPCG HOLDER COMPANY

[SNEHAL SHAH]

Dear sir,

Please give Valuable feedback as mention below :

GOODS SUPPLY TO MEGA POWER PROJECT/ULTRA MEGA POWER PROJECT:-

Q.1) We are manufacturer(DTA unit) of EOT Crane(CET: 84261100) & Tower Crane(CET: 84262000), and also registered with Central Excise, Customs & Service Tax Department with availing CENVAT Credit facility. Mostly, we supply the said goods to upcoming power projects. It may be mega power projects or Ultra Mega Power projects under NIL Excise Duty against Central Excise Notification No.06/2006-CE dated 01.03.2006 and as amended. Please give your valuable notes for the said subject.

Q.2) Please brief notes regarding to avail benefits(supplier/buyer) & what conditions to be required as per Central Excise & Customs Act & Rules?

Q.3) When buyer needs Disclaimer Certificate from supplier & what situations?

Q.4) In the above case REVERSAL of CENVAT is necessary, if yes or not  & why? Please give your valuable opinions.

GOODS SUPPLY TO EPCG LICENCE HOLDER:- i.e.  Indigenous sourcing of Capital Goods as a EPCG License holder:

Q.1) We are manufacturer(DTA unit) of EOT Crane(CET: 84261100) & Tower Crane(CET: 84262000), and also registered with Central Excise, Customs & Service Tax Department with availing CENVAT Credit facility. Mostly, we supply the said goods to EPCG License holder. It may be 3%  or Zero% EPCG License holder. Please give your valuable notes for the said subject matter.

Q.2) What type of benefits can avail Domestic Supplier and in what situations & what conditions must be followed?

Q.3) What type of benefits can avail as an EPCG LICENSE HOLDER and in what situations & what conditions must be followed?

Q.4) In this case as an EPCG License Holder any change(increase/decrease) EXPORT OBLIGATION, if any why & what situations?

Q.5) In this case as a Domestic supplier’s, What formalities to be followed prior clearance/documentation procedures and after clearance as per Central Excise Rules?

 With Regards,

SNEHAL SHAH

[Guest]

Hi..

Snehal,

In  above  cases  you  can  avail   refund  of   TED  &  DBK  Benefits  as  per  FTP 2009-14.

for detailed  information. pls email  me  on  [email protected]  or contact me  on  9689531714.

 

AI Summary

Excise nil-duty exemption for power project supplies affects supplier benefits, CENVAT reversal, and EPCG compliance obligations. Supplies of EOT and tower cranes to large power projects under a nil-duty excise regime raise issues of supplier and buyer eligibility, requisite documentation, the circumstances in which a disclaimer certificate is needed, and whether registered suppliers must effect CENVAT reversal. Parallel issues arise for indigenous supplies to EPCG license holders concerning supplier benefits, EPCG holder entitlements, potential effects on export obligations, and clearance and post-clearance formalities; a reply indicated refund routes under the foreign trade policy for certain duties.