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Query- are 1

CHETAN (CA STUDENT) (154 Points)

17 February 2012

Dear Sir/Mam

Should Merchant Exporter issue the ARE-1 form to Purchase goods from supplier, without taking benefit of Excise Duty (Cenvat Credit/ duty Nil against Form CT -1 ) ?

Supplier say Duty Cess is involve and we will return two copies of Form ARE 1, after dispatch from our factory,from the set of five.

Please advice so that needful may be done.

Thanks in Advance

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2 Replies

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 19 February 2012

if the supplier is registered under excise, then ARE1 is required.

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Mallikharjun (Deputy Manager) (304 Points)
Replied 20 February 2012

First you shall get CT-1 from your range office and handover the same to your supplier. Based on CT-1, Supplier will not charge excise duty in his invoice. After bringing the material, you shall raise ARE-2 and can export the same. If you want to export the goods from supplier premises, you can raise ARE-2 after giving intimation to the excise authorities. you need not give ARE copies to the supplier.