Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
25th July, 2002
I am directed to refer to Part III of Chapter 7 of Central Excise Manual issued in September 2001relating to Simplified Export Procedure for exempted units and to say that representations from small scale manufacturers have been received by Board with a request to accept Sales Tax documents as proof of export for the supplies made to other domestic manufacturers who use the said goods in manufacture/packing of goods for export. Further, it has also been requested that the value of such clearances may be excluded from the total value of domestic clearances for the purpose of availing SSI exemption.
2. The matter has been examined by the Board. The Central Excise Manual provides that in the case of export by exempted units through merchant exporter, the documents prescribed by Sales Tax Department, viz H-Form or ST-XXII Form or any other equivalent Sales Tax form, will be accepted as proof of export. It is clarified that this facility is available only in respect of the exempted units which undertake exports themselves or through merchant exporters directly from the unit itself. The facility is not available for the supplies made to any other domestic manufacturer who may or may not export its finished products.
3. The field formations may suitably be informed.
4. Receipt of this Circular may please be acknowledged.
5. Hindi version will follow.
Under Secretary (CX.6)