TMI BlogExemption of excise duty to SME upto 1.5crX X X X Extracts X X X X X X X X Extracts X X X X ..... Hello This is regarding exemption of excise duty to small manufacturing unit till 1.5cr. I am small manufacturer. I am exempted of excise duty till 1.5cr. My question is 1. if I sale some machine or other non manufacturing item, will that count in my turnover of 1.5cr. 2. If apart from manufacturing, I am also doing the job work in the same premises. Basically I manufactured the same item an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d sale it. And I also do the job work of same item for other big companies. So question here is is this job work income will get count in turnover limit of 1.5cr. - Reply By Mahir S - The Reply = Vivek ji, The point wise reply to your query in simple words is as under :- (i) NO (II) NO - Reply By Vivek Agrawal - The Reply = Thank you for quick response. I have few more questions based ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on your reply. 1. right now my turnover is 1.4cr. do I need to inform excise office that i will be crossing 1.5cr and when. 2. lets when i cross 1.5cr I have stock of material of approx value 20 lacs. which includes excise duty of 2.25 lac excise duty (input). so at this time will i get this 2.25cr as input excise duty and what will be the procedure for the same. - Reply By Mahir S - The Re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ply = The point wise reply to your query in simple words is as under :- (i) YES , immediately. (ii) YES. - Reply By Vivek Agrawal - The Reply = what will be procedure to get the input of once we cross the 1.5cr. - Reply By Mahir S - The Reply = An SSI Unit is a unit whose turnover in the preceding financial year is less than ₹ 400 Lakhs. Such units have the option to avail full ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... emption from payment of duty upto turnover of ₹ 150 Lakhs in the current financial year. In respect of such an unit, if the aggregate of home clearances (i.e.excluding export turnover) is less than ₹ 150 Lakhs, then the unit need not get itself registered. For calculating the aggregate of home clearances, the total of clearances from all factories of the manufacturer and from any fact ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ory by one or more manufacturers must be taken into account. However, once the turnover crosses the specified limit , i.e. ₹ 90 Lakhs, such units have to file the declaration to the Assistant Commissioner/Deputy Commissioner. CBEC Manual provides that genuine delays in filing the declaration should not be viewed seriously and the assessee shall still be allowed to enjoy the benefit of not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... requiring registration upto the turnover of ₹ 150 Lakhs. After the turnover of ₹ 150 Lakhs, the SSI unit shall be liable to get registered and start discharging duty liability. At that point of time, CENVAT Credit of raw materials lying in stock must be ascertained and the SSI unit shall be eligible for the benefit of set-off of CENVAT Credit against duty payable. Credit is also all ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... owed on the inputs lying in stock, contained in work in process and contained in finished goods lying in stock as on the date of crossing Rs one and half crore turn over. Regarding the procedure, you have to prepare a list of all such physical inputs lying in stock and the cenvat credit available thereon and submit a detailed letter to the excise department at time of online application for exci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se registration. Simultaneously, you can also avail cenvat credit in your cenvat account register and you can then show it in your excise return and also utilize it for payment of excise duty. - Reply By KASTURI SETHI - The Reply = Sh.Mahir S. Sir, It is topmost reply. I fully agree with your views. - Exemption of excise duty to SME upto 1.5cr - Query Started By: - Vivek Agrawal Da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ted:- 17-2-2016 Central Excise - Got 6 Replies - Central Excise - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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