TaxTMI 
TaxTMI 
Regarding exemption under Status Holder Incentive Scrip (SHIS) scheme.
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....of 1986), when cleared against a Status Holder Incentive Scheme duty credit scrip issued to a Status Holder by the Regional Authority in accordance with paragraph 3.16 of the Foreign Trade Policy (hereinafter referred to as the said scrip) from,- (i) the whole of the duty of excise leviable thereon under the First Schedule and the Second Schedule to the Central Excise Tariff Act, 1985 (5 of 1986); (ii) the whole of the additional duty of excise leviable thereon under section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957); and (iii) the whole of the additional duty of excise leviable thereon under section 3 of the Additional Duties of Excise (Textiles and Textile Articles) Act, 1978 (40 of 1978). 2. The exemption shall be subject to the following conditions, namely:- (a) that the said scrip has been issued by the Regional Authority to a Status Holder against exports of the products of the sectors nam....
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....p; (1) export oriented units or electronic hardware technology parks or biotechnology parks, which are availing direct tax benefits or exemption; (2) export of imported goods covered under para 2.35 of the Foreign Trade Policy; (3) exports through transhipment, meaning thereby that exports originating in third country but transhipped through India; (4) Deemed exports; (5) Exports made by Special Economic Zone units or Special Economic Zone products exported through Domestic Tariff Area units; (6) Export of items, which are restricted or prohibited for export under Schedule-2 of Export Policy in ITC (HS); (7) The exports made by the Status Holders....
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....nd for which transfer is granted: ^1[Provided further that the transfer of the said scrip shall be allowed within the group company as defined in para 9.28 of the Foreign Trade Policy, if the said group company is a manufacturer and such transfer is endorsed by the Regional Authority during the period of validity of the said scrip, mentioning the sectors for which the transferee has manufacturing facility and for which the transfer is granted.] ^2[Provided also that upon] such transfer, the validity of the said scrip shall remain unchanged; (e) that the capital goods cleared against the said scrip shall be subject to actual user condition; (f) that the said scrip is registered with the Customs authority at the port of registration (hereinafter referred as the said Customs authority); (g) that the holder of the scrip, who may either be the person to whom the scrip was orig....
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.... (l) that the said holder of the scrip, to whom the goods were cleared, shall be entitled to avail the drawback or CENVAT credit of the duties of excise leviable under the First Schedule and the Second Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957) and section 3 of the Additional Duties of Excise (Textiles and Textile Articles) Act, 1978 (40 of 1978), against the amount debited in the said scrip and validated at the time of clearance. Explanation - For the purposes of this notification, - (A) "capital goods" means any plant, machinery, equipment or accessories required for manufacture or production, either directly or indirectly, of goods or for rendering services, including those required for replacement, modernization, technological up gradation or expansion. It also includes packaging machinery and equipment, refractories for initial lining, refrigeration equipment, power generating sets, machine tools, catalysts for initial charge, equipment and inst....