Procedure to avail exemption of central excise during export by a merchant exporter that is trading export

[Vinamra Jain]

I am a trader. I want to export goods. I am not registered in central excise. How can I avail exemption of excise duty. Is there any procedure that the manufacturer who is supplying me the goods doesn't charge me the excise duty on his invoice as is the case with the tax which is not charged in case we provide a Form 'H'.

AI Summary

Merchant Exporters Need Bond in Form B-1 for Excise Duty Exemption; ARE-1 Form Required for Export Proof. A merchant exporter seeking exemption from central excise duty during export must execute a bond in Form B-1, allowing the manufacturer to supply goods without charging duty. Registered exporters with recognized Export Promotion Councils and Star Export Houses are exempt from furnishing security unless flagged by authorities. The exporter must obtain a CT-1 certificate from the Central Excise office, ensuring the bond's debit does not exceed its credit. The ARE-1 form, signed by both exporter and manufacturer, is required for export proof. The bond can be executed with Maritime Commissioners or relevant Assistant/Deputy Commissioners, with oversight on export proof submission.