Excise exemption for non-ssi domestic turnover

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Shams (Querist)
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12 February 2015 There is a website that states that
1. Non-SSI manufacturing units are exempted from Excise registration if their domestic turnover is less than 50Lacks.
2. SSI manufacturing units are exempted from Excise registration if their domestic turnover is less than 100Lacks.
Export turnover will not be counted for Excise limit of 150 lacks.

I am able to find govt. websites that clearly talk about SSI (Non Cenvat) scheme where an SSI unit has option to 'not' register for Excise till his domestic (home) turnover is less then 100Lacks, irrespective of export turnover. Some websites also quote Notification number 8/99 and 9/99 for this.

But I am not able to find any govt. website that gives details (notification number) about excise exemption for Non-SSI for domestic turnover of less then 50Lacks.

Can someone please give their valuable advise on this matter (with circular / notification details if possible).

Sincerely thanking you in advance!

Santosh Soni, CEST Consultant

Santosh Soni, CEST Consultant (Expert)
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13 February 2015 In this regard, for CEx registration please refer Notification no.8/2003-CE dt.1.3.2003 as last amended vide Notification No.15/2012-CE dt. 17/3/2012.

For declaration pl refer Notification No. 22/98-CE(NT) dated 4.6.98.

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Shams

Shams (Querist)
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14 February 2015 Dear Sir,
Thank you very much for your response.

I have gone through 8/2003-CE already and it is meant for SSI units.

I also checked 22/98 and 15/2012 and they too do not talk anything about the actual "Exemption Limit".

I am not able to find any circular/notification that gives details about excise exemption for Non-SSI for domestic turnover (home consumption) of less then 50Lacks.

Can you please help in this.

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Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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21 July 2024 I understand your query regarding excise exemption for non-SSI (Small Scale Industries) units with domestic turnover below a certain limit. Here's a clarification based on the information available:

1. **Excise Exemption for Non-SSI Units:**
- The concept of excise exemption based on turnover for non-SSI units varies from state to state and is subject to specific notifications issued by the Central Board of Indirect Taxes and Customs (CBIC).
- Unlike SSI units, which historically had turnover-based exemptions, non-SSI units typically do not have a uniform turnover-based exemption under central excise laws.
- The exemptions and concessions under excise duty are usually provided through notifications issued by the CBIC. These notifications specify conditions, thresholds, and eligibility criteria for availing exemptions.

2. **Applicability and Notifications:**
- Notifications issued under Central Excise Rules or related to excise duty exemptions are periodically updated and may vary based on economic policies and government directives.
- For non-SSI units, exemptions are often linked to specific industries, products, export-oriented units (EOUs), special economic zones (SEZs), or certain schemes like Advance Authorization or Duty Drawback.
- It is essential to review the latest notifications and circulars issued by the CBIC or consult with a tax advisor to ascertain if there are any specific exemptions applicable to your industry or product category.

3. **Consultation and Compliance:**
- Given the complexity and frequent updates in excise duty regulations, consulting with a tax professional or customs consultant is recommended.
- They can help navigate through the relevant notifications, determine eligibility criteria, and ensure compliance with applicable laws and regulations.

4. **GST Transition:**
- With the implementation of Goods and Services Tax (GST), excise duty as a separate tax has been subsumed into GST. Under GST, there are provisions for exemption and concessional rates based on turnover and other criteria.
- Businesses should also consider GST implications while planning for exemptions and compliance.

In conclusion, for non-SSI units looking for excise duty exemptions based on turnover for domestic consumption, it's crucial to refer to specific notifications issued by CBIC or seek professional advice to determine eligibility and compliance requirements.