Excise duty- supplementary invoice

[Guest]

An SSI Unit claiming duty exemption within the limit of 1.5 crores issued a cenvatable invoice without duty. Subsequently they have crossed the exemption limit and then start billing invoice with payment of duty. Can they issue supplementary invoice for price revision with duty now, for invoices pertains to the period when they are in SSI exemption limit. Illustriatively, on 10.10.2012, they are crossed exemption limit, upto 10.10.2012 they are not paying excise duty from 11.10.2012, they started paying excise duty. For invoices raised on 05.10.2012 

[JAMES PG]

There is no bar in raising supplementary Invoice for payment of duty by the SSI Unit. But the Cenvat credit of such duty can be availed by the recipient only when the payment is made voluntarily and without being an offence case booked.

[Vijay kumar]

By addition of the value in the supplementary invoice, if you have crossed the exemption limit of 1.5 crore as on the date of issue of original invoice, you can certainly raise a cenvatable invoice and pay duty on which the customer can take the credit, unless it is a case of suppression of facts etc covered by Section 11A(4)/11A(5).

AI Summary

Supplementary invoicing permitted to remit duty and enable recipient credit if payment is voluntary and no suppression. Raising a supplementary invoice to discharge excise duty is permissible. Recipient Cenvat credit is allowable only when duty payment is voluntary and the transaction does not involve suppression or constitute an offence; if the exemption threshold had already been exceeded on the original invoice date, a cenvatable invoice can be issued and credit taken, subject to the same prohibition where suppression or statutory offence provisions apply.