Clearance of by-products, rejects, waste, scrap, remnants, non-excisable goods, etc.

Clearance of by products: DTA sale allowed under SION with concessional duties; non entitled sales incur full duty.

DTA clearance of by products, rejects, waste, scrap and remnants by EOUs is permitted under SION with concessional duties/GST; SION covered sales are not subject to Positive NFE. Ad hoc norms may be fixed pending Norms Committee determination; sales beyond entitlement or by ineligible units attract full duties. Non excisable goods cleared to DTA trigger recovery of duty on duty free inputs plus GST. Gems/jewellery scrap may be sent to mint for conversion or cleared to DTA on duty after assay. Excisable by product duty rates are prescribed by notification.