Exemption from operation of Rule 174 to exempted goods - 11/88 - Central Excise - Non Tariff

Exemption from Rule 174 requires a prescribed declaration and annual undertaking, with licence and recordkeeping obligations following compliance thresholds.

The notification exempts goods in the Tariff Schedule from the operation of Rule 174 where they are nil rated or wholly exempt; when exemption is granted on specified bases (value, process, duty paid on inputs, clearances, or subject conditions) the manufacturer must file a prescribed declaration and annual undertaking before 15 April, undertake to apply for a Central Excise Licence if clearances reach the statutory threshold or goods become chargeable, maintain records and procedures as required, and inform the Collector of any changes to the Schedule information.