Notification No. 7/2004-Central Excise, issued on January 19, 2004, provides an exemption from excise duties for unprocessed fabrics, falling under Chapters 51, 52, 54, 55, 58, or 60 of the Central Excise Tariff Act, when they are cleared under Notification No. 6/2004-Central Excise and subjected to job work. The fabrics must be processed through plain roll calendaring or decatizing, and no other processes are allowed. After the job work, the processed fabrics must be returned to the original manufacturer. The exemption is provided under the Central Excise Act, 1944, and the Additional Duties of Excise (Goods of Special Importance) Act, 1957, to support the public interest. The notification defines “job work” and “job worker” in this context to specify the processes allowed and the role of the worker.
19th January, 2004.
Notification No. 7/2004-Central Excise
In exercise of the powers conferred by sub-section (1) of section 5A of the Central Excise Act, 1944 (1 of 1944), read with sub-section (3) of section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 (58 of 1957), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts unprocessed fabrics cleared availing Notification No. 6/2004- Central Excise dated 19th January 2004 and subjected to job work in a place other than the place of manufacture of such unprocessed fabrics, falling under Chapter 51,52,54,55,58 or 60 of the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) from whole of the duty of excise specified thereon in the said First Schedule to the Central Excise Tariff Act and in the First Schedule to the said Additional Duties of Excise (Goods of Special Importance) Act, subject to the condition that after job work, such processed fabrics are sent back by the job worker to the manufacturer of such unprocessed fabrics.
Explanation. – For the purposes of this notification, the expression “job work” means subjecting unprocessed fabrics supplied to the job worker, to plain roll calendaring or decatizing or both (but not subjected to any other process), and the expression “job worker” shall be construed accordingly.
G. S. Karki
Under Secretary to the Government of India
F.No . 354 / 6/2004-TRU
