Duty on value addition set as percentage of total duty with refund mechanism and option to seek a special rate. Amendment substitutes exemption basis to the duty payable on value addition and prescribes percentage rates by tariff chapter for computing that duty. It requires manufacturers to first utilize CENVAT credit, submit monthly statements, and obtain refunds of the duty payable on value addition after verification; alternatively, manufacturers may elect to take credit in an account current subject to reporting, verification, reversal of excess credit and recovery provisions. A procedure is provided to apply for a Commissioner fixed special rate based on audited actual value addition, with provisional refunds and subsequent adjustments.