The conditions and procedure relating to export under claim of rebate are contained in Notification 40/2001-Central Excise (N.T.) dated 26th June, 2001 issued under rule 18 of the Central Excise (No.2) Rules, 2001 (hereinafter referred to as the said Rules). The new rule 18 corresponds to the earlier rule 12 of the Central Excise Rules, 1944.
It is worth mentioning that as per the definition of the term ‘refund’ in section 11B of the Central Excise Act, 1944, refund includes ‘rebate’ of duty of excise on excisable goods exported out of India or on excisable materials used in the manufacture of goods which are exported out of India. Thus, the procedure specified in the said Rules and the notification issued thereunder are subject to section 11B of the said Act.
Categories of exports
There are mainly three categories of exports: - Export of all excisable goods to all countries except Nepal and Bhutan except certain mineral oils supplied as ship stores to aircraft on the foreign run; Export to Nepal; and s Export of mineral oils supplied as ship stores to aircraft on the foreign run to all the countries.
the goods shall be exported on the application in Form A.R.E. 2 specified in the Annexure and the procedures specified in Ministry of Finance (Department of Revenue) notification No.40/2001-Central Excise (N.T.) dated 26th June, 2001or in notification No. 42/2001-Central Excise dated 26th June, 2001 shall be followed.
Presentation of claim of rebate. – The claim for rebate of duty paid on materials used in the manufacture or processing of goods shall be lodged only with the Assistant Commissioner of Central Excise or Deputy Commissioner of Central Excise having jurisdiction of the place approved for manufacture or processing of such export goods.
Rebate paid to exporter on GOODS exported under notification No. 19/2004 dtd 06.09.2004 ***************************************** invoice issued under rule 11 of CER 2002 are-1 submitted on the otherhand rabate paid to exporter under rebate duty on INPUTS USED in MANUFACTURER GOODS EXPORTED AND ARE-2 ISSUE.
more info:- http://centralexcisechennai.gov.in/chennai2/tn-47/NOTFN-41%28NT%29.htm
MUST NOTED *********
Duty Drawback under section 75 of Customs Act scheme provides refund of duties (Customs & Central Excise) paid on Raw Material & Inputs that have gone in production of goods for exports. Deemed Exports provision under FTP also provides drawback for deemed export purposes. They are given on the following basis:
All Industry Rate: Government has published drawback rates for several products which are regularly exported through a drawback schedule. Exporters of these products can get the drawback at the prescribed rates for the customs of port of export.
Brand Rate: In case the export product is not covered under the schedule, the exporter can file for drawback under brand rate of fixation to recover the duties actually suffered in the process.
Special Brand rates: Can be fixed in case the All Industry rates are available but is less than 4/5th of the actual duties suffered.
Duty Drawback upon 98% of duty paid is available on goods re-exported within a specified time, under Section 74. Duty Drawback at a specified percentage is available for partly used capital goods and re-exported.
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