Export without payment of duty: bond or Letter of Undertaking enables duty free clearances subject to proof of export validation.

Export without payment of central excise duty operates under bond (Form B 1) or an annual Letter of Undertaking (UT 1) for manufacturer exporters, with bond accepting authorities responsible for bond accounts and proof of export validation. Export clearance uses prescribed A.R.E. forms and invoices, seals and examination at despatch or authorised self sealing, recording of duty foregone in Daily Stock Accounts, and a self debit/self credit mechanism to provisionally debit procurement and re credit on customs certified proof within prescribed timeframes; non receipt of proof within six months leads to duty with interest and enforcement.

---

---

---