Classification of artware / handicraft items and composite goods in the Drawback Schedule - reg

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.... Excise & Service Tax Appellate Tribunal, New Delhi. Sir/Madam, Sub: Classification of artware / handicraft items and composite goods in the Drawback Schedule - reg.                                                                               It has been brought to notice of the Board that difficulties are being faced by exporters in classification of a....

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....nt circular No. 56/99-Cus, dated 26.08.99 advised the field formations that they can accept the certificates issued by either the Development Commissioner (Handicrafts) or by the Export Promotion Council for Handicrafts (EPCH). 4. It is hereby clarified that the assessing authorities should normally accept the certificates issued by the Development Commissioner (Handicrafts)/EPCH. A decision to reject the certificate issued by the Development Commissioner (Handicrafts)/EPCH certifying the goods as artware/handicraft should be taken only with the approval of the Commissioner of Customs/Central Excise and after discussions with the certificate issuing authority. The exports should not, in the mean time, be held up. 5. Doubts have also b....

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....ndicraft item made of brass, iron and wood; consisting, say, 40% by weight of brass, 35% by weight of iron and 25% by weight of wood, should be classified as artware/handicraft of brass under Drawback Schedule heading 741903 and granted drawback at the rate and cap prescribed there under. 6. Further, it is also clarified that the relevant headings/sub-headings in the Drawback Schedule for handicraft/artware items include handicraft/artware items with coating/ plating unless specifically provided otherwise. 7. Problems have also been reported in classification of composite articles. Note and condition No. 14 of the Drawback Schedule notification ibid, provides that whenever a composite article is exported for which any specific rate ha....