OPEN AND TIME BOUND CT-1

[RAM SHARMA]

DEAR EXPERTS,

WE ARE MANUFACTURER AND WANT TO SALE  CT-1. WE HAVE NOT FIXED QUANTY ORDER.CAN WE ISSUE CT-1 WITH PROJECTION BASE QUANTITY OR BLANK QUANTITY FROM THE EXCISE DEPARTMENT. WHAT IS THE LEGAL OBLIGATION TO CANCEL THE BALANCE QUANTITY. PL ADVICE.

THANKS

 

[YAGAY andSUN]

If, less quantity is exported, then, for unutilized quantiy the Merchant Exporter has obtain a certificate from the Central Excise Department to square it off and in the case of excess quantity is exported against the quantity mentioned in the CT-1, then, Central Excise Duty will be paid by Merchant Exporter.

[RAM SHARMA]

Sir,

What is the maximum time limit for use CT-1 quantity.

thanks 

[YAGAY andSUN]

Within Six Months.

[Vijay kumar]

The validity of CT-1 certificate is one year (as per the format contained in CBEC website), but often officers are issuing the CT-1 are specifying lesser time limit. Where less quantity is exported within the validity of the CT-1, the merchant exporter has to obtain UNUTILIZED CERTIFICATE from the Range officer of the manufacturer and submit the same to his bond accepting authority to account for the entire duty amount involved.

AI Summary

CT-1 Certificate Validity: Use Within 6 Months; Adjustments Required for Unused or Excess Export Quantities A manufacturer inquired about issuing a CT-1 certificate with either projected or unspecified quantities for sales and the legal obligations for canceling unused quantities. An expert advised that if less quantity is exported, the merchant exporter must obtain a certificate from the Central Excise Department to account for the unutilized amount. If more is exported, duty must be paid. The maximum time limit for using the CT-1 quantity is six months, although the certificate's validity can be up to one year, subject to the issuing officer's discretion.