rg 1 stock send for jobwork micronising

[Asked by Guest]

Dear sir,

In RG 1 register stock can we send material for jobwork . please what is procedure for RG 1 stock sending

jobwork for micronising (100% mesh).

Regards

Manoj Raut

[YAGAY and SUN]

Dear Manoj,

There is no such provision which indicates that finished goods can be sent for further manufacturing or jobwork. 

Further, if it is necessary to do so, then, a complete flow chart clearing dipicting such process can be submitted to the Jurisdictional Commissioner of Central Excise for the purpose of obtaining special permission for removal of such goods for further jobwork.

Thanks and Best Regards,

Pradeep Khatri

[Dilip Darji]

Dear Sir.

Mr.Khatri has correctly replied you.

FG accounted for in RG.1 Register can be removed only on payment central excise duty. However, if FG accounted for in RG.1, needs some mocronising process, it is not FG but it is SFG. By making entry of removal for other purpose in RG 1 Register, you can convert FG in SFG and than remove out of factory under rule 4 (5A) for micronising and return to your factory.

AI Summary

Removal of finished goods requires reclassification to semi-finished or special permission before sending for micronising.
Finished goods recorded in the RG-1 Register are generally removable only on payment of excise duty and cannot be sent for further manufacture or jobwork absent a specific provision. If processing is necessary, seek the jurisdictional Commissioner's special permission with a detailed process flow chart. Alternatively, reclassify the stock to semi-finished by making an entry of removal for other purpose in RG-1, then remove the goods for micronising under the prescribed outward-processing procedure and return them to the factory, observing all compliance requirements.