TaxTMI 
TaxTMI 
Exempts the goods - First Schedule CE Tariff Act, 1985 other than those mentioned in the Annexure and cleared from a unit located in the States of Assam or Tripura or Meghalaya or Mizoram or Manipur or Nagaland or Arunachal Pradesh or Sikkim
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....e thereon under the said Act as is equivalent ^1[to the duty payable on value addition undertaken in the manufacture of the said goods by the said unit] ^2[2A.The duty payable on value addition shall be equivalent to the amount calculated as a percentage of the total duty payable on the said excisable goods of the description specified in column (3) of the Table below (hereinafter referred to as the said Table) and falling within the Chapter of the said First Schedule as are given in the corresponding entry in column (2) of the said Table, ^3"when manufactured starting from inputs specified in the corresponding entry in column (5) of the said Table in the same factory," at the rates specified in the corresponding entry in column (4) of the said Table: ^4TABLE S.No. Chapter of the First Schedule Description of goods Rate Description of inputs for manufacture of goods in column (3) (1) (2) (3) (4) (5) 1. 29 All goods 29 Any goods 2. 30 All goods 56 Any goods 3. 33 All goods 56 Any goods 4. 34 All goods 38 Any goods 5. 38 All goods 34 Any goods 6. 39 All goods 26 ....
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....ommissioner of Central Excise, as the case may be, after such verification as may be deemed necessary, shall refund the duty payable on value addition, computed in the manner as specified in paragraph 2A above to the manufacturer by the 15^th of the month following the one in which the statement as at clause (a) above has been submitted. 2D. Notwithstanding anything contained in sub-paragraph 2C,- (a) the manufacturer at his own option, may take credit of the amount calculated in the manner specified in paragraph 2A in his account current, maintained in terms of the Excise Manual of Supplementary Instructions issued by the Central Board of Excise and Customs. Such amount credited in the account current may be utilized by the manufacturer for payment of duty, in the manner specified under rule 8 of the Central Excise Rules, 2004, in subsequent months, and such payment shall be deemed to be payment in cash; (b) the credit of the refund amount may be taken by the manufacturer in his account current , by the 7^th of the month following the month under consideration; (c) a manufacturer who intends to avail the option under clause (a) shall exercise ....
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....uty paid by utilisation of the amount credited in the account current, shall be taken as payment of duty by way other than utilisation of CENVAT credit under the CENVAT Credit Rules, 2004. 3. ^5(1) Notwithstanding anything contained in paragraph 2A, the manufacturer shall have the option not to avail the rates specified in the said Table and apply to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, having jurisdiction over the manufacturing unit of the manufacturer for fixation of a special rate representing the actual value addition in respect of any goods manufactured and cleared under this notification, if the manufacturer finds that the actual value addition in the production or manufacture of the said goods is at least 115 per cent of the rate specified in the said Table and for the said purpose, the manufacturer may make an application in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, not later than the 30^th day of September in a financial year for determination of such special rate, stating all relevant facts including the proportion in whic....
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....al rate. (4) Where the Central Government considers it necessary so to do, it may- (a) revoke the special rate or amount of refund as determined under sub-paragraph (2) by the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, or (b) direct the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, to withdraw the rate so fixed. Explanation : For the purpose of this paragraph, the actual value addition in respect of said goods shall be calculated on the basis of the financial records of the preceding financial year, taking into account the following: (i) Sale value of the said goods excluding excise duty, Value Added Tax and other indirect taxes, if any, paid on the goods; (ii) Less: Cost of raw materials and packing material consumed in the said goods; (iii) Less: Cost of fuel consumed if eligible for input credit under CENVAT Credit Rules, 2004; (iv) Plus: Value of said goods available as inventory in the unit but not cleared, at the end of the financial year; (v) Less: Value of said goods available as inventory in the unit but not clear....
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....fferential amount, if any, shall be refunded to him subject to the condition that the total refund made to him during the year, including the aforesaid differential amount, does not exceed the total duty payable on value addition whether at the rate specified in the Table or at the special rate fixed under paragraph 3. (2) The Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise, as the case may be, shall refund the differential amount, if any, to the manufacturer not later than the 15^th day of May in the subsequent financial year. " 5. The exemption contained in this notification shall apply only to the following kind of units, namely: - (a) New Industrial units which commence commercial production on or after the Ist day of April, 2007 but not later than 31st day of March, 2017; (b) Industrial units existing before the 1st day of April, 2007 but which have undertaken substantial expansion by way of increase by not less than 25% in the value of fixed capital investment in plant and machinery for the purposes of expansion of capacity/modernization and diversification and have commenced commercial production from such expanded capa....
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....ble, for the words and figures, "to the amount of duty paid by the manufacturer of goods other than the amount of duty paid by utilization of CENVAT credit under the CENVAT Credit Rules, 2004", the words "to the duty payable on value addition undertaken in the manufacture of the said goods by the said unit" has been substituted vide notification no. 20/2008 CE dated 27-3-2008 w.e.f. 1-4-2008 2. Paragraph No. 2,3 and 4 have been substituted vide notification no. 20/2008 CE dated 27-3-2008 w.e.f. 1-4-2008, before it was reas as under: [2. In cases where all the goods produced by a manufacturer are eligible for exemption under this notification, the exemption contained in this notification shall be available subject to the condition that, the manufacturer first utilises whole of the CENVAT credit available to him on the last day of the month under consideration for payment of duty on goods cleared during such month and pays only the balance amount in cash. 3. The exemption contained in this notification shall be given effect to in the following manner, namely;- (a) the manufacturer shall submit a statement of the duty paid other than the amount of duty paid by utilisa....
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....ount of the CENVAT Credit availed of, in respect of the duty paid on the inputs used in or in relation to the manufacture of goods cleared under this notification.; (b) the credit of duty paid during the month under consideration, other than by way of utilisation of CENVAT credit under the CENVAT Credit Rules, 2004, may be taken by the manufacturer in his account current, by the 7th day of the month following the month under consideration; (c) a manufacturer who intends to avail the option under clause (a), shall exercise his option in writing for availing such option before effecting the first clearance in any financial year and such option shall be effective from the date of exercise of the option and shall not be withdrawn during the remaining part of the financial year: Provided that, for the financial year 2007-08, a manufacturer can exercise his option on or before the 31st day of May, 2007. (d) the manufacturer shall submit a statement of the duty paid, other than by way of utilization of CENVAT credit under the CENVAT Credit Rules, 2004, along with the refund amount which he has taken credit and the calculation particulars of such credit taken, to the Assistant ....
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.... 29 All goods 29 2. 30 All goods 56 3. 33 All goods 56 4. 34 All goods 38 5. 38 All goods 34 6. 39 All goods 26 7. 40 Tyres, tubes and flaps 41 8. 72 or 73 All goods 39 9. 74 All goods 15 10. 76 All goods 36 11. 85 Electric motors and generators, electric generating sets and parts thereof 31 12. Any chapter Goods other than those mentioned above 36:" 5. Has been substituted vide Notification No. Supra before it was read as, "(1) Notwithstanding anything contained in paragraph 2A, the manufacturer shall have the option not to avail the rates specified in the said Table and apply to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, having jurisdiction over the manufacturing unit of the manufacturer for fixation of a special rate representing the actual value addition in respect of any goods manufactured and cleared under this notification, if the manufacturer finds that four-fifths of the ratio of actual value addition in the production or manufacture of the said goods to the value ....