exemption of excise duty

[Dattatreya shenoy]

We are being contracted to supply items for solar thermal power project approved by ministry of new and renewable energy. We are supplying through a EPC contractor and we are liable to charge 0% excise duty due to exemption. The problem is we are laden with a large input excise credit from our raw material purchase. Can the duty exemption be passed on to our raw material supplier also, so that we will also be charged 0% duty.

AI Summary

Solar Project Supplier Seeks Input Duty Exemption; Debate Over Extending 0% Excise Duty to Raw Material Suppliers A company involved in supplying items for a solar thermal power project, approved by the Ministry of New and Renewable Energy, is exempt from charging excise duty due to a 0% rate. However, they face a challenge with significant input excise credit from raw material purchases. They inquire whether this duty exemption can be extended to their raw material suppliers to also benefit from the 0% duty. One respondent believes this is not possible, while another suggests quoting the specific exemption notification number and serial number for clarity on the exemption claim.